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ntluser · 07-07-2004, 06:45

I think it demonstrates once again that Tesco arre prepared to break new ground in search of profit.

The store markets very aggressively and has shown that it is prepared to challenge the banks by offering competitively priced financial services and is equally prepared to challenge high street stores like WH Smiths by offering books for sale at much lower prices.

Essentially, they are increasing their potential for profit by taking slices of a wider number of markets.

Who knows? Maybe other stores wil retaliate by offering food at lower prices and pinch a slice of Tesco's food market.

The danger with all this competition is that, as one by one competitors go out of business we move nearer and nearer to a monopoly situation where the remaining company can charge what it likes and where the customer is the loser.

07-07-2004, 06:45	#10
ntluser Inactive Join Date: Jun 2003 Location: Manchester Age: 79 Services: Virgin Media XL Telephone,TV with Tivo box & Superhub3 upto 150Mb Broadband, Sky World, & Freeview+ Posts: 1,901	Re: Tesco, a step too far? I think it demonstrates once again that Tesco arre prepared to break new ground in search of profit. The store markets very aggressively and has shown that it is prepared to challenge the banks by offering competitively priced financial services and is equally prepared to challenge high street stores like WH Smiths by offering books for sale at much lower prices. Essentially, they are increasing their potential for profit by taking slices of a wider number of markets. Who knows? Maybe other stores wil retaliate by offering food at lower prices and pinch a slice of Tesco's food market. The danger with all this competition is that, as one by one competitors go out of business we move nearer and nearer to a monopoly situation where the remaining company can charge what it likes and where the customer is the loser.