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Strategies & Market Trends : Value Investing

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To: jeffbas who wrote (6088)2/22/1999 6:14:00 PM
From: Daniel Chisholm  Read Replies (1) of 78508
 
Hi Jeffrey,

The point you make about avoiding the "big faceless chain" syndrome is a good one, however they (the consolidators) understand this well, and have taken great pains to avoid it. When they buy up the various local operators they always keep existing management and business names. I recall seeing some U.S. TV show on this (one of those aggressive, annoying dirt digging kinds) that criticized this, basically pointing out that the supposed "variety" of "independent" funeral homes in an area were in fact mysteriously and perhaps sinsterly owned by just one or two of the big corporate operators, thus depriving consumer of any chance at getting competitive pricing. Of course this is something (lack of competition) that the companies would probably think of as a good thing ;-)

- Daniel
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