Future of tesco, morrisons

grey_gym_sock

robatwork wrote: »

Tesco's was pretty dead today.
Aldi on the other hand was rammed - some were queuing for car park.

I think that tells its own story.

that tesco just needs to sort its stores out - it already has big enough car parks?

Thrugelmir

robatwork wrote: »

Aldi on the other hand was rammed - some were queuing for car park.

I think that tells its own story.

Yes, even Aldi has it's limitations. I see plenty of people walk out of our local store. As the queues for the tills are horrendous on occasions.

Tesco's is still an impressive outfit. Domination never lasts in any industry.

robatwork

Thrugelmir wrote: »

Tesco's is still an impressive outfit. Domination never lasts in any industry.

Apart from the domination industry of course.

Ask Max Mosley.

planteria

haha rob

i agree, Thrugelmir. i actually think that both Morrisons and Tesco are impressive businesses. they both get a lot right.

Bazofts_Revenge

I already hold Morrisons and Sainsburys shares as they are the retailers I prefer to use. I tried online shopping when I was a full time carer and it was ok but I'd rather select my own fresh produce. I've always avoided Tesco shares but some of the arguments here are swaying my opinion. Some people were saying Morrisons were slow to move to convenience stores which may be true down south where they took over a lot of Safeway and Somerfield stores but up North in their heartland I don't know of any that are really out of town. Most are on the Highstreet of the towns they are situated in. In Leeds City centre there has been a large store for decades which is about 200 metres from the Town Hall and just by the new Leeds Area. I'm sitting on a loss with Morrisons right now but I will hold in fact I've been buying small amounts each month £100 a time as my broker only charges £1.50 for each purchase. I'd like to see the British supermarkets jointly advertise the benefits of buying there and keeping the profits in the UK. Profits at ALDI and Lidl go abroad!

Thrugelmir

Bazofts_Revenge wrote: »

Profits at ALDI and Lidl go abroad![/B]

ALDI are very clever in promoting UK produce. Better this than buy abroad.

Profits from the UK supermarkets go abroad. Around 25% of Sainsburys shares are held in the Middle East. So that's where the dividends go. Tesco's are also an internationally quoted share.

planteria

Bazofts_Revenge wrote: »

I'd like to see the British supermarkets jointly advertise the benefits of buying there and keeping the profits in the UK. Profits at ALDI and Lidl go abroad!

an interesting idea, but well answered by Thrugelmir. co-ordinated advertising 'against' German discounters is not going to happen. Sainsbury's and Morrison's biggest concern is still Tesco, for example. and don't forget Asda is American;)

Conrad

We're all becoming savvy consumers and as such I imagine many firms will become value players in the UK which might mean lower returns for investors. For this reason I am looking for a more global exposure with my own ISA planning.


I find this general propensity to seek out value quite ironic given so many of us claim we want permanent contracts, higher wages and paternity benefit for employees. In the end we all want lowest price, stuff the workers.

planteria

there is a lot of truth in that...
arguably, there are two things to do with UK grocers: 1. Enjoy the good deals on offer. 2. Avoid the shares while they make less money competing with each other to offer the deals.
straying off subject, i realise, but i wonder what effect the process will have on the likes of Unilever. will their margins be squeezed down effectively by Tesco, who accept a squeeze of their own? or do the multinational suppliers ride that out effectively, and concentrate their resources in parts of the World where they generate more profit?

blizeH

Still holding onto my Tesco shares, though I have a feeling I may regret it. ;_;