for those outside the Aus, i would like to know if something like this happened were you are and what happened because of it. 

Basically there is an massive price war occuring between our supermarket giants: coles and Woolworths. They control basically 80% of the food retail with around 40% each. Basically if there is an coles there is an woolworths there or in the next area. 

Basically right now they have started the price war which has started with coles Milk dropping the price to 1 dollar an litre from around 1.60-1.80 or so an litre for there own brand milk (taking an lose on each sale Ps3 style. Woolworths with no choice but to match it. Coles has reponded with all other goods and same with woolworths. 

Basically this is an sinister plan to destroy the 3rd party milk companies (pure), destroy the local milk bar(local corner store) and destroy ign by luring in customers with the cheap essietential in milk and soon to be bread. 

But like being the oldest trick in retail competition, once the compeition is gone the prices will sky rocket because no one is going to compete against them and everyone loses. 

And at the same time this is happening Petrol prices have been rising very high. Now the Middle east turmoil is being blame as well as Japan natural disaster. which is bullocks (thats another discussion). 

But they only recently have linked that the recent price rises are connected to coles and Woolworths which also dominate the petrol distribution as well, and have been using the Petrol rises to fund there loses on the Bread. Which is where the discussions when it started were pointing to for were they were going to fund there loses. 

Well thats the load down on the situation. I think one happened in the UK/Europe. Anyways what you think of this

You may think the 2 big chains are fighting each other but that's simply a disguise to kill of the small guys, namely, the other 20%.

i said that.

they are trying to kill the other 20%

Wondering what Aldi the big German chain thats hit australia the past few years is going to do. But they have there own thing going and they are great. 

The regulators need to get off their arse in Aus.

That said, you'll probably either see Tesco or Wal*Mart enter Australia in a big way at some point within the decade. Global expansion is their main game, atm... and Australia's population of around 20m with relatively high incomes should make it a lucrative enough market for their investment.

we have i believe 1 or 2 costcos in australia now. 

Exprópiese!

Time to invest in a cow!