Opinion: Welcome to the Age of Kayfabe Capitalism!

In today's market landscape, the illusion of competition reigns supreme, often overshadowing the reality of corporate monopolies and oligopolies. This concept, aptly coined "kayfabe capitalism," draws its name from the world of professional wrestling, where the feuds and rivalries you see are often staged and scripted. Just like the surprising moments when a wrestler reveals their true self, genuine competition in today's economy is increasingly rare and often just a facade.

Take a moment to recall an emotional scene from WWE, where the imposing wrestler Roman Reigns disclosed his battle with leukemia. As he stood before thousands in the arena and shared that he was relinquishing his title due to his condition, the audience witnessed a moment of stark authenticity that shattered the scripted illusion known as kayfabe. It's a reminder of how seldom we encounter truth in realms that claim to be competitive and diverse.

This same scripted performance has crept into the corporate arena. Many businesses, rather than genuinely competing, have mastered the art of appearing competitive while they consolidate power through aggressive mergers and acquisitions. The resulting market conditions often leave consumers trapped in a cycle of rising prices and diminishing choices.

For instance, the eyewear market is dominated by EssilorLuxottica, a conglomerate that manipulates the narrative of rivalry while actually controlling nearly every major eyewear brand and retail outlet, like Sunglass Hut. Their sprawling empire includes over 250 acquired companies, creating a false sense of competition for consumers. As a result, customers often pay exorbitant prices for glasses, despite the minimal production costs. The company’s remarkable revenue growth—a staggering 57% increase since their merger—raises questions about the ethics of such consolidation at the expense of consumer choice and fair pricing.

The agricultural sector presents a similar picture of concentrated power. A handful of megacorporations control significant portions of essential agricultural inputs like fertilizers. For instance, Nutrien alongside its counterparts controls a whopping 95% of the ammonia fertilizers market. This consolidation not only impacts farmers by driving up costs but also reveals a paradox: companies like Nutrien are simultaneously benefiting shareholders while potentially harming the very farmers who play a crucial role in the food supply chain.

The grocery industry doesn’t escape unscathed either. A few corporations dominate the market, limiting consumer options and worsening price inflation. With major players like Loblaws and Walmart accounting for a staggering 80% of the market, consumers face an uphill battle against inflated prices for everyday goods. This economic environment fosters an illusion of choice while consolidating further control within a select few companies.

What’s striking is that this dynamic is not only limited to particular sectors; it reverberates through virtually every aspect of our economy. The rise of private-label products in grocery stores and the continuous mergers across industries only further blur the lines of real competition.

The term "kayfabe capitalism" encapsulates this dangerous trend. As major corporations continue to play their roles in this theater of economic rivalry, consumers are left to grapple with the fallout: reduced competition, higher prices, and a marketplace that increasingly serves the interests of the wealthy few over the many.

In this era of kayfabe capitalism, it becomes vitally important for consumers and policymakers alike to recognize the illusion for what it is and advocate for genuine competition that benefits all. The stakes are high, and only through awareness and action can we hope to break the script and reclaim our economy from the hands of a few powerful players.