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Large-scale distribution, what do Federdistribuzione, Confcommercio, Confesercenti and Coop do?

Large-scale distribution, what do Federdistribuzione, Confcommercio, Confesercenti and Coop do?

Facts, positions and scenarios on representation in large-scale distribution (GDO). Mario Sassi's in-depth analysis from his blog

Daniele Cazzani has put his finger in the wound. The large-scale retail trade does not seem capable of becoming aware of its own role and weight in managing the different phases of the pandemic. Giorgio Santambrogio in his capacity as vice president of Federdistribuzione could not react differently. He thus reiterated the role in favor of the companies of his association and the commitment of those who adhere to it in carrying out "deflationary policies in favor of tens of millions of Italian customers / citizens". Obviously no one denies it.

Federdistribuzione, Confcommercio, Confesercenti and Coop know very well that one of the keys to their success and credibility in these moments of disorientation is to try to match the interest of businesses with that of consumers. Hence the resistance to the requests, even if in some ways justified, of the upstream distribution sectors. And the proposal to tackle the issue together, perhaps under the aegis of the same confederation (see the Retail Institute's choice to join Confindustria intellect). All this, however, is not enough if the business associations are serious about counting.

However, it is a mistake to think that this relates exclusively to the inability of the various associations to be protagonists in such a complex context. Above all, it concerns the companies that give them a mandate. And this mandate is objectively weak. In Italy, pharmacies have long understood the difference between lobbying strategy, social role, sector unity and competition. The GDO, no. Therefore, the examination of conscience should be done first and foremost by companies rather than the numerous associations that represent them.

The retail chains since the beginning of the pandemic have limited themselves to doing their job well. They have accepted limits and closures of entire departments that are sometimes incomprehensible, they have demanded the utmost commitment from their collaborators, they have taken on costs, braking and accelerating their business in order to remain open, guaranteeing the service both in terms of quantity and quality. Except for the first moments for which no one was prepared, and certainly not for internal responsibilities, the different brands reacted well. So what was missing?

There was a lack of capacity and therefore the will to capitalize on this positive role towards institutions, politics and the country. Not only in terms of costs and prices where each brand (more or less) has seen fit to play for itself but also in terms of supplies, the offer of masks and the provision of vaccination hubs have been seen and interpreted. as elements of differentiation and competition in the sector. Not as elements of an all-out negotiation with the institutions.

The tactics of the respective commercial directors, the obsession with the counter-digit, the “preaching good and scratching badly” typical of the sector's lack of political vision prevailed. Elsewhere it did not happen. In France, the large-scale retail trade has given a strong signal of leadership and ability to manage the phase. She didn't get lost behind panettone or nevel oranges below cost while covid-19 raged. Nor does it make vain price promises in the long run.

With us the feeling that has prevailed is that, sooner or later, we will return to the previous situation. We must therefore limit ourselves to managing this phase, avoiding the "hardest holes". Few have grasped that the changes forcedly induced by the management of the emergency will drag on for years, profoundly modifying the DNA of our country. And therefore of the sector. A new phase has now begun which also deeply involves consumer orientations which therefore need to be reinterpreted. And for this we need unity, collective vision, farsightedness and economic resources.

The cycle that preceded the pandemic is coming to an end. The role of social and economic representation is inevitably destined to take on greater weight and responsibility. The PNRR is the operational tool of this change but behind it there is the size of the accumulated debt to be managed in relation to the needs of the next generations, the ecological transition with its consequences on the level of social stability, the impact on consumption, technological innovation.

There is a sense of community to be rebuilt. And, in the new community, it will not be "only" the initiative of individual companies that will make the difference as in the past. The resources necessary for this overall reorientation of society, both economic and human, require a vision and an effort that also impose a qualitative leap in associative contexts. Thinking of going through this phase with four competing associations is simply ridiculous.

And the fact that the two major brands are not in Federdistribuzione but their political and strategic weight intersects with other economic sectors represented by Confcommercio or present in the cooperative system more generally should make us reflect. The point is therefore not the algebraic sum of the signs that guarantees listening and real representativeness but whether or not it is part of a strong dialogue capable of proposing and accepting mediations between different interests.

It is clear that rather than being "forced" to choose between Confindustria and Confcommercio (or Confesercenti) the issue is whether to continue talking to each other by focusing on occasional folding seats, leaving the larger brands the free field of interlocution that counts or opening up a ground for discussion. new, having as its objective the reunification of the sector in the ways and forms still to be identified. The decision is obviously up to the companies because the respective representatives are, by their nature, self-referential.

The cycle that preceded the pandemic and that is accompanying us in its frantic management signals the need for a change of associative strategy. Will the visual navigation we are unfortunately used to be caught or will prevail?


This is a machine translation from Italian language of a post published on Start Magazine at the URL https://www.startmag.it/economia/gdo-cosa-fanno-federdistribuzione-confcommercio-confesercenti-e-coop/ on Fri, 04 Feb 2022 09:13:21 +0000.