The Economics of Gasoline Retailing: Petroleum Distribution and Retailing Issues in the U.S.
May 5, 2009 by admin
The U. S. petroleum retailing industry is one of the
most competitive in the world. Despite this, industry
practices in gasoline retailing continue to be
controversial. In part, this controversy occurs
because integrated refining companies use a variety
of distribution methods to maximize their efficiencies
while moving gasoline from the refiner to the
consumer. These different distribution methods
can come into conflict with each other. The goal of
this study is to examine why integrated refiners use
different distribution methods, how those methods
are manifested in retailing and pricing of petroleum
products, and the important policy issues that surround
those distribution and retailing choices.
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