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Cramer: Obvious consolidation coming for four sectors to survive

Looking at the current environment, Jim Cramer sees too much of everything. Too many companies try to compete against one another, and consolidation will come for the retail, food, technology and pharmaceutical cohorts.

"We have too much of pretty much everything in this market. We need more last-man-standing situations and fewer dogfights if we want stock prices to go higher," the "Mad Money" host said.

The need for mergers has become a major prop to the market, Cramer said, and that's why stocks sank when Mondelez walked away from its bid for Hershey.

The food companies have such little growth that even the strong players like General Mills hope for flat earnings next year. Fierce competition has hit nearly every aisle of the supermarket, and it made Cramer question if Campbell Soup or Kellogg need to stand alone. Mondelez clearly has the capital to buy another company, and he expects it will.

Retail has faced tremendous pressure, with only brief breaks when the stocks...