So, the largest supermarket chain in the UK (and second largest in the world) Tesco has mislaid £250 million pounds, while it is already ‘suffering’ financially. I have a couple of thoughts on this.
- How does money like this ever get lost? I always find it funny. It’s essentially money that never existed. It’s not like somebody’s going to come out and say, ‘Shit! Here it is in my old jacket. Well this is embarrassing. It was never real money, just a theory dreamed up by an accountant. It has as much substance in the real world as Horndog, the wrestling unicorn who’s one dream is to win the WWE tag team title, despite his difficulties in tagging his partner with hooves. And should be treated with the same level of seriousness.
- Who is loyal to a supermarket? They seem to think disloyal customers have been heading to Lidl and Aldi, the Teutonic value supermarkets. The only loyalty I know that people have is geographic. Asda is nearest, it’s Asda then. Morrisons is only a five minute walk? Morrison’s own brand chicken nuggets it is, then. I can’t see why anyone would want one particular brand of poorly kept chicken breast pumped full of water over another.
- Finally, if your turnover is in the billions and your profit margin is that marginal, you are not running a successful business. You are running a business on shaky ground, as much so as any independent high street shop that struggles to keep it’s head above water year in, year out.