This week I learned all about how groceries are bought and sold to the grocery store. It is a fascinating world of loss leaders, large ordering, and transportation of goods. I found out why couponing is really a good thing for our economy. You see, coupons and other rebates give manufacturers more control over the market. When the farmers are unloading a ton of wheat, the manufacturer can get it for a good price. Then they make lots of yummy things we like to eat but can't always afford. The manufacturers then offer discounts and rebates to the grocery stores and coops so they will order more. The store puts out a great sale (some of us smart folks add a coupon to it) and, voila! Products are flying off the shelves! And we are eating what the farmer has in surplus! What a great world we live in! (At least here in the U.S. where we have a free market.)
On a side note, my father takes exception to couponing and advertising in general. He believes that if Madison Avenue would just leave well enough alone we could all pay lower prices at the grocery store. He pointed out to me that all those sales are just there to bring you in so you will buy all the other stuff on the shelf too. I guess he feels bad for the poor chumps who are willing to pay full price. But I am happy to be living in a great country where we Americans are free to buy things we don't need for prices we can't afford! And I reserve the right to coupon!
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