Wednesday, July 3, 2024

Why do investors still flock to retailing business despite thin margins and risks?

Every generation needs a revolution - an entrepreneurial revolution

One wonders at sudden surge in investment in retailing business.  There are Dali and Save branching out furiously aside from 7-11 and Alfa Mart.   I have former employee having a new retailing outlet and now putting up a second one.

We had a small grocery before but we excited this because of :  1.  paper thin margins.    2.  inventory shrinkage from shoplifting and inside theft.   3 stiff competition who undersell you.   Thats the strategy of a huge retailing firm, they undersell you at a loss and then  resume normal prices when you have closed.

Thats the same phenomenon say at USA where new civil rights embolden thieves and looters.   Thus retailers are leaving NYC. Chicago and San Francisco in droves.   

What do they see that we  dont?

Will you invest in retailing business

Dali Reports P1.88 billion loss  (Dali is discount retailer which is funded by ADB)  They are every where.  In our municipality, they have 3 outlets.  








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