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We Are Market Basket by Grant Welker, Daniel Korschun

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13

“The Final Straw”

Once the Market Basket management team walked off the job, relationships between Market Basket and its vendors changed. With the corporate office mostly empty, official channels disappeared overnight. Orders dried up and so did checks.

Vendors that relied heavily on Market Basket were also badly hurting. Among those most affected was Phoenix Foods, which provides some of Market Basket’s groceries and private-label items, like household goods, paper products, cereal, and pasta.

“They were the ones who stayed loyal to us, the local guys,” said John Magliano, who founded the distributor. “We haven’t had an order in about five weeks,” said his son, Jim Magliano, who helps run the business. “We are essentially out of business ...

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