Consolidation--The Ties That Bind?

Having the advantage of being just "around the corner," DeWese feels the smaller independents will thrive through increased flexibility, responsiveness and better customer service. Complacency, on the other hand, is not a luxury these companies can enjoy.

"[Smaller independents] must sell well and compete hard, or they will suffer extreme price competition from the economies of scale associated with the consolidators' purchasing power," DeWese notes.