Barriers to getting a product on shelves in major retailers like Target and Walmart?

jwehner02jwehner02 subscriber Posts: 1 Member

Does anyone know if major retailers like Target and Walmart have non-compete contracts with their suppliers (specifically candy & gum) that prevent them from selling competitive products? For example, would Target or Walmart be prevented from even considering a new chocolate product to sell in their stores because of some existing non-compete contract with Hershey's? Just an example.


Thank you,

Julie W.

Comments

  • rocking-mrocking-m subscriber Posts: 11 Bronze Level Member

    You'll see exclusivity clauses more than non-compete in the area you are talking about.

    For example: You have a great chocolate product that a retailer is interested in, they will ask to be the exclusive retailer for your product so none of their competition can sell it.

    I can't think of any of the big retailers that would have an agreement that prevented them from selling a new product because of a relationship they have with a current supplier.

    Hope that helps.

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