Did anything ever come of BGP talking aobut acquiring another business? Either I missed something - or nothing.
Both Warehouse & Briscoes hungry for a big acquisition - good time to be a retail operator with a possibility of two big fish hungry to acquire you.
Fascinating to me at least to consider what sort of business both of these firms might be looking into acquiring, and whether they are biding their time pending the outcome of the commerce commission review of the Supermarket Duopoly. If ComCom decides the big two need to divest and/or allow others to access their supply chain, then that would be a big opening for many large players.
Fascinating to me at least to consider what sort of business both of these firms might be looking into acquiring, and whether they are biding their time pending the outcome of the commerce commission review of the Supermarket Duopoly. If ComCom decides the big two need to divest and/or allow others to access their supply chain, then that would be a big opening for many large players.
Likely to be a disaster move for them to get into the supermarket game. Low margin with a logistics nightmare. The is a reason why Aldi hasn't started here.
Likely to be a disaster move for them to get into the supermarket game. Low margin with a logistics nightmare. The is a reason why Aldi hasn't started here.
Woolworths (who countdown are a part of) has 30% gross margins. The reason Aldi hasn’t entered NZ is due to the exact reasons the ComCom are doing their review of Countdwon and Foodstuffs: Anti-competitive behavior by a duopoly. Aldi cant open here because any of NZs food suppliers that currently supply Countdown and/or Foodstuffs have been repeatedly threatened with bad outcomes if they dare to trade with a new entrant.
Woolworths (who countdown are a part of) has 30% gross margins. The reason Aldi hasn’t entered NZ is due to the exact reasons the ComCom are doing their review of Countdwon and Foodstuffs: Anti-competitive behavior by a duopoly. Aldi cant open here because any of NZs food suppliers that currently supply Countdown and/or Foodstuffs have been repeatedly threatened with bad outcomes if they dare to trade with a new entrant.
Woolworth NZ GM is 25% of sales - with distribution and store costs etc being 21% of sales it has to be relatively high eh
“ At the top of every bubble, everyone is convinced it's not yet a bubble.”
Woolworths (who countdown are a part of) has 30% gross margins. The reason Aldi hasn’t entered NZ is due to the exact reasons the ComCom are doing their review of Countdwon and Foodstuffs: Anti-competitive behavior by a duopoly. Aldi cant open here because any of NZs food suppliers that currently supply Countdown and/or Foodstuffs have been repeatedly threatened with bad outcomes if they dare to trade with a new entrant.
Not likely. Aldi know they can't do it with the low margins. The inquiry has mis calculated the margins. Think of here in the South Island with the distances, roads and volume. How does another player make it work? And then expect it will make it cheaper for consumers and pay suppliers more. How will that work? Still this government doesn't want to listen and will push on regardless.
Still, Costco is coming and that will hurt a few different companies.
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Originally Posted by Sideshow Bob
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