In the UK, This Is Money reports that "Tesco's rivals and suppliers fear the supermarket giant may be planning a major price war if chief executive Phil Clarke’s recovery strategy does not take hold.
"The prospect that Tesco might be forced into dramatic action is being referred to as its ‘nuclear option’ and senior executives in some rival chains say this is a bigger cause for concern than the continued failure of the consumer recovery to begin." The sense, the story says, is that Tesco "has far more firepower than any of its rivals and could cut prices to a much deeper level.
"The prospect that Tesco might be forced into dramatic action is being referred to as its ‘nuclear option’ and senior executives in some rival chains say this is a bigger cause for concern than the continued failure of the consumer recovery to begin." The sense, the story says, is that Tesco "has far more firepower than any of its rivals and could cut prices to a much deeper level.
- KC's View:
