Vertical Quasi- Integration. Mercadona's Keiretsu, Growth and Performance (2012-2018)

Abstract

The literature on company networks is based on analyses of qualitative and strategic aspects, but lacks empirical studies that compare the isolated economic results of the participating companies. In this study, fieldwork was carried out and access was gained to accounting information comparing the distribution company Mercadona (the largest Spanish company in terms of turnover) and its suppliers over a period of six years.

 The company studied uses a business model similar to the Japanese keiretsu based on the balance of satisfying the expectations of both its suppliers and the rest of its stakeholders. In this paper we analyse whether Mercadona's success has been shared with its suppliers by studying the evolution of the performance, growth and employment figures of the distributor and 87 of its stable suppliers (which account for 79% of the companies considered by the firm as inter-suppliers).