from John Gallanders, Hermitage Consultancy Services
Sir; There appear to be certain sectors of the trade that are giving a negative view of the impending takeover of T&S by Tesco.
Any business that expands will always have a major impact on the competition and often force others to refocus or sharpen their approach.
The Tesco move certainly took many by surprise, but that is because they have short memories.
It is fewer than 18 months since the chief executive of Tesco announced its expansion plans the predicated store numbers were never going to come from one-off' developments.
The so-called transport problems of large lorries on small estate roads have been dealt with for many years by symbol group suppliers. The logistical practicalities for Tesco will no doubt be overcome by the use of local superstores' effectively as stockrooms for the smaller units in their surrounding area. The local distribution network is already in place with Tesco Direct to ensure a constant top-up of fresh products, etc.
With on the doorstep' warehousing, Tesco Express will soon get the reputation among consumers that it is never out of stock. Other problems areas affecting independents are staff recruitment this is a not a problem in the majority of Tesco stores.
The reality of the Tesco takeover is that it is not just a case of a multiple increasing store numbers, but what effect it will have on the wider picture. Certainly many retailers are going to have to change their attitude and become business people, not just retailers.
{{COMMENT & LETTERS }}
Sir; There appear to be certain sectors of the trade that are giving a negative view of the impending takeover of T&S by Tesco.
Any business that expands will always have a major impact on the competition and often force others to refocus or sharpen their approach.
The Tesco move certainly took many by surprise, but that is because they have short memories.
It is fewer than 18 months since the chief executive of Tesco announced its expansion plans the predicated store numbers were never going to come from one-off' developments.
The so-called transport problems of large lorries on small estate roads have been dealt with for many years by symbol group suppliers. The logistical practicalities for Tesco will no doubt be overcome by the use of local superstores' effectively as stockrooms for the smaller units in their surrounding area. The local distribution network is already in place with Tesco Direct to ensure a constant top-up of fresh products, etc.
With on the doorstep' warehousing, Tesco Express will soon get the reputation among consumers that it is never out of stock. Other problems areas affecting independents are staff recruitment this is a not a problem in the majority of Tesco stores.
The reality of the Tesco takeover is that it is not just a case of a multiple increasing store numbers, but what effect it will have on the wider picture. Certainly many retailers are going to have to change their attitude and become business people, not just retailers.
{{COMMENT & LETTERS }}
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