Author Topic: Third Supermarket chain  (Read 2188 times)

Offline Adrian

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Third Supermarket chain
« on: September 21, 2008, 11:51:39 AM »
Are we going to have another supermarket chain over here in the near future. I can't see why not C.I. traders is own by Sandpiper a city equity group and the co-op is not own by jersey establishment figures. If tesco, asda or sainsbury's came over here, it would be good proper competition for once. The only people who lose is the exsiting operators with them having proper competition at last.

There is plenty of other reasons for having someone like tesco's over here it would drive down prices for one.

Offline Paternoster

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Re: Third Supermarket chain
« Reply #1 on: October 15, 2008, 05:42:49 PM »
Have spoken to several people coming back from the UK who said they were stunned at the increase in prices in Tesco.  I have recently been to France on a shopping run and was horrified at how expensive things were.

Offline Fritz

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Re: Third Supermarket chain
« Reply #2 on: October 20, 2008, 02:38:08 PM »
You only have to visit the local ,"iceland", franchise to see that the general public want a proper low-cost supermarket.

The local supermarkets are already feeling the pinch since Iceland opened. Just look at the price reductions, two for one offers etc.

Get Asda or Lidl in and see what happens.

Offline Sarah Ferguson

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Re: Third Supermarket chain
« Reply #3 on: October 20, 2008, 02:50:42 PM »
If you want to ruin the little shops and the farm shops and generally convert the Island to a Watford clone, then by all means support the call for another supermarket.

Have a look at this for an interesting take on it:

www.competition-commission.org.uk/Inquiries/ref2006/grocery/pdf/hearing_summary_lady_cranbrook.pdf

Many of you supported the Greens in the Senatorials - this is the sort of action they would, I think, support.

Offline Fritz

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Re: Third Supermarket chain
« Reply #4 on: October 20, 2008, 03:09:02 PM »
Local producers would still survive in the, "Designer Food", market if the 1(1)k myth is believable.

Normal working class people need normal working class affordable food. Simple as that.

Who ,in Jersey, gives a flying fish-finger what, "Lady Cranbrook", thinks?

Offline Sarah Ferguson

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Re: Third Supermarket chain
« Reply #5 on: October 20, 2008, 03:31:17 PM »
There is also an interesting battle going on in the Shetland Islands.

Tesco are being extremely difficult about using local products.  In addition their prices are the same as those in the local stores.

Local producers in the Isle of Man saw their turnover drop 50% after Tesco "we'll stock local produce" opened in the Island.

Offline Al

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Re: Third Supermarket chain
« Reply #6 on: October 20, 2008, 03:37:44 PM »
Firstly...for Jersey being turned into a 'Watford' clone, have you looked at Fitness First, AquaSplash, CineWorld and the complex around there lately? The conversion of Jersey into an unsightly part of the  Home Counties is already happening! (Reminds me more of Stevenage personally).

And, secondly, we've already had large chains from the UK move over here and seen the consequences... HMV came and Seedee John closed up his town shop to concentrate on his business at the Powerhouse and the Music and Video Exchange closed (and, incidentally, HMV were initially able to undercut other retailers but took advantage of the introduction of GST to raise their prices to UK ones adding an extra 17% throughout the store), WH Smiths took over the Lexicon and were followed over here by Ottakars (now Waterstones) and so the Jura bookshop closed both its branches, the Printed Word shut down and the bookshop in de Gruchy, having been taken over by Waterstones, is now closed - now there are only two places in Jersey to find a decent range of books and they are both UK multiples...and, yet, the States did nothing about these examples so why should the introduction of a UK supermarket chain justify such delay and consideration...it may be lamentable, it may be unpleasant but this is the way of the market, the way of the world, the law of the business jungle...if a shop is offering consistently what the customer wants, high quality items at a good price combined with a good level of customer service and is agile and able to react to demand, knowing what the customers want in the local marketplace and offering it to them, then it should have little to fear from competition - in fact, the competition should act as an incentive towards higher standards. The current situation over here is all too often one of lousy customer service, the most obvious items being consistently out-of-stock or unobtainable and ridiculous over-charging because they think they can (The worst example I have come accross was two shops opposite each other with a price difference of £1 on identical bottles of spring water - £1.48 in one and 48p in the other!). In fact, with very few exceptions, the poor level of retail service over here seems only to be justified by the fact that these shops can get away with it, with employing staff to whom serving customers is secondary to discussing their activities the previous evening, with failing to carry consistently in stock the most obvious and everyday items, with charging whatever they feel they can get away with, and customers let them continue doing it because they can't get to a hypermarket offering decent prices to shop every day, because these are goods they can't buy online or simply because the customers don't know, don't expect or have never experienced any better. Open the doors wide and invite over Aldi and Lidl (and let's have Primark over here as well) and, ok, some local shops will go to the wall but, as I already said, that's happened before when UK retailers have been allowed in - the shops that fail will be the ones who do not react, who do not concentrate on offering a core service and doing it very well, who do not develop a unique selling point to differentiate themselves from the competition and, quite frankly, they will deserve to fail - it's a tough world out there. With competition there will be an incentive for local retailers to try harder in all areas of their business and the result would be positive for customers islandwide. By maintaining restrictions on supermarkets over here the local customer is condemmed to continuing high prices and low standards in the retail industry.

(And what is going to happen with the old Abbattoir site? Conventional retail logic has it that any developement of a mall or shopping centre has at least one and preferably two large flagship stores from large multiples to anchor it and ensure footfall. Will this not happen for fear of introducing undue competition in the local market?)
« Last Edit: October 21, 2008, 03:01:05 AM by Al »

Offline Fritz

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Re: Third Supermarket chain
« Reply #7 on: October 20, 2008, 03:53:57 PM »
Well put Al.

I want to have your babies. ;D

Online danrok

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Re: Third Supermarket chain
« Reply #8 on: October 20, 2008, 04:12:34 PM »
I'm always amazed just how busy it can get in HMV Jersey.  You don't see that many customers in their UK branches.

I always track down the the lowest price for a CD, or whatever, on the internet.

Offline Pomme de terre

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Re: Third Supermarket chain
« Reply #9 on: October 20, 2008, 04:26:52 PM »
I still think there is room for a third supermarket, particularly in the area of non-fresh food.

I'd like to see more competition in the areas of: cleaning products, laundry consumables, tinned food, wines beers and spirits, frozen food, most things that Unilever make, own brand versions of the former, etc, etc.

I'm not aware of any (possible incoming) supermarket on a "we must be allowed to do what we want with fresh food and to hell with local businesses, or else" crusade that would threaten local fresh food suppliers, are you?

Online danrok

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Re: Third Supermarket chain
« Reply #10 on: October 20, 2008, 04:31:44 PM »
There is also an interesting battle going on in the Shetland Islands.

Tesco are being extremely difficult about using local products.  In addition their prices are the same as those in the local stores.

Local producers in the Isle of Man saw their turnover drop 50% after Tesco "we'll stock local produce" opened in the Island.

Shetland is even more remote than Jersey, and has a much smaller population of 22,000.

Iceland prices in Jersey are the same low prices as mainland UK.  If they can do it, perhaps Tesco can as well.  ;)

Offline Fritz

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Re: Third Supermarket chain
« Reply #11 on: October 20, 2008, 04:39:54 PM »
I,ve been buying , "Local Fresh Food", from local suppliers in the LOCAL pub for the last twenty-five years.

They dont sell tinned soup, or ,"Locally caught pizza", though. ;D

Online danrok

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Re: Third Supermarket chain
« Reply #12 on: October 20, 2008, 04:47:27 PM »
I was wondering why there's so few dogs wandering the streets these days.

Offline The Rev Peter Sarkey

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Re: Third Supermarket chain
« Reply #13 on: October 21, 2008, 12:19:11 AM »
Shetland is even more remote than Jersey, and has a much smaller population of 22,000.

Iceland prices in Jersey are the same low prices as mainland UK.  If they can do it, perhaps Tesco can as well.  ;)

I thought shetland was close to iceland and iceland had gone bust? Isnt this another reason to buy local?
Seriously speaking.. Iceland has its major shareholding by a well known St Brelade 1(1K) so how do you reconcile this between the hatred of richies, wanting to buy local and shopping in a cost busting supermarket - you can't. Sarah, if you bought a pizza in Iceland, would you consider yourself guilty of a) doing a Parish local out of a deal b) Shopping sensibly in an eco friendly fashion or c) supporting the wealthy to get wealthier? Hmmmmm... Give it the treasury call I think.
"That's not in the effing good book!"

Offline Al

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Re: Third Supermarket chain
« Reply #14 on: October 21, 2008, 06:50:14 PM »
I thought that I had made a pretty coherent & cogent argument on here, and, by particular reference to the comment about Jersey becoming a Watford clone, made this fairly specific - I was hoping for a response...perhaps with futher reference to perhaps the Hebrides or the Shetlands...I didn't get it...perhaps only certain questions without notice are acceptable...

(Oh, and as for http://www.competition-commission.org.uk/Inquiries/ref2006/grocery/pdf/hearing_summary_lady_cranbrook.pdf ... It begins "Lady Caroline Cranbrook told us that she is a partner of Great Glemham Farms in East Suffolk and is a campaigner on rural issues. Lady Cranbrook has links with a number of organisations including: the Country Land and Business Association (she is the president of the Suffolk branch and sits on the national executive), the Suffolk Development Agency Board (as a board member), Otley College (as a governor), Grazing Forum for the East of England (as chair), Tastes of Anglia (as patron and board member), East Anglia Food Links (as board member), and Suffolk ACRE (Action with the Community in Rural England as president), and is associated with numerous other organisations connected to food and farming.". Well, at least she is honest enough to admit it, that she has specific vested interests and that it is only in the context of these that her argument can be understood- any claim to preserve small local retail shops over here isn't aimed at ensuring the survival of local speciality shops or craftsmen of local handcrafted turnips - it's aimed at preserving the status quo in which businessmen with a near monopoly and good relationships with the States are able to charge what they like and offer what they want. I'm sure that I can expect further reference to this important hearing on these relevant issues (http://www.competition-commission.org.uk/Inquiries/ref2006/grocery/), perhaps with reference to the followng terms 'exogenous', 'heterogeneity', and 'DT assume that consumer i’s utility from shopping in store j, uij , is a function of cost variables xij , where costs include trip and mission costs, uij = ? f(xij ) + þij . (1)
In equation (1), þij represents factors that in uence utility that are unobserved by the analysist (the error). Consumer i chooses to shop in the store that yields the highest utility. In other words, she chooses store j if uij þ uik for all stores k. (http://www.competition-commission.org.uk/Inquiries/ref2006/grocery/pdf/expert_report_margaret_slade.pdf)'.

I look forward to it.