Swedish breweries cooperate in recycling used bottles and therefore have no way to differentiate their offers in the minds of the customer.

Question

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Close competitors that differentiate themselves in the eyes of consumers may work together behind the scenes to achieve industrywide efficiencies. Breweries in Sweden cooperate in recycling used bottles, but still compete for customers on the basis of taste and variety.

Swedish Breweries Cooperate in Recycling Used Bottles and Therefore Have