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I believe that Woolworths taught that trick to the world of big business. They would place an order with a small manufacturer at a good price. Then they would increase the size of the next order and the manufacturer would have to go to the bank (partners in the conspiracy, you might say) for funding to increase his factory space and buy new machinery. All would go well until the manufacturer was deep in debt and then Woolworths would reduce the price they paid him on the next order. The manufacturer either went bankrupt because the bank sued or Woolworths bought his business at a bargain price.
It's already been said; the solution is in our hands. Buy from the quality small producer. Low priced goods that we throw away and replace with new are made to fall apart so that we will buy again. Good quality lasts and may even be cheaper in the long run. The trouble is we all want everything now and are no longer prepared to wait until we can buy the best.
Shoes are a good example of the advantage of quality. In the days when I needed city shoes I learned to buy an expensive hand finished brand from a small English factory. When the soles or heels needed repair, they would go off to the factory where the shoe was stripped down and completely rebuilt for next to nothing. They even gave me a new pair once because the upper was scratched during repair. Those shoes lasted for years. There's a lady on BYC who is thinking of buying some bagpipes. I hope that she buys some made in a small business in Scotland or Ireland. Cheap ones are available from Pakistan. But why buy a shoddy instrument that will probably produce a poor sound and can't be sent for repair? Remember also that some people in Pakistan make copy Kalashnikov's for a certain group in Afghanistan. Why support a country that allows that?