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Abstract

U.S. grocery sales were over $820 billion in 1993. Profits from operations for food manufacturers and retailers rose in 1992 and 1993 because of continued wage and producer price stability, a weaker dollar, and lower interest rates. Merger and leveraged buyout transactions fell in 1991, rose in 1992 but fell again in 1993. Debt levels increased. In 1993, aggressive competition for market shares resulted in record new product introductions, intensive couponing, strong private label sales, and price weakening. New plant and equipment and research and development expenditures reached new highs.

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