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This isn't about investing, but I thought I would ask a question that's been on my mind on this board in case anyone might know the answer, perhaps having worked in the industry.

I was curious if different supermarket chains pay the same price for items, even though they might charge different prices. Here's an example of what I mean: consider three chains, one has a business model based solely on price while the other two might be more about customer experience and added services (high-end bakery, pharmacy, whatever). We all probably have such supermarkets in our respective areas. For a single-serve frozen pizza, the low-price chain charges $3.50, while the one in the middle charges $3.99, and the priciest charges $4.29.

What I'm curious about is if each supermarket chain pays the same wholesale price from the company. I'll make up a number...let's say the pizza company charges $2.50 to one of the chains...would that price hold for the other two? Or, if the pizza company sees the pricier chains selling higher, would the pizza chain perhaps up its price a bit (obviously it can't take away the entire higher margin as it would interfere with the respective business model) and make a little more money? Going in the other direction, if the low-end chain lowered the price, would the pizza company be obligated to do so as well?

We see this with all products (Coke and other beverage companies fascinate me, as the difference in prices can be quite interesting). I would assume the manufacturers must attempt to benefit from higher prices at pricier locations, especially at convenient stores, but I really don't know.
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