British food retail capital in the USA ‐ Part 2: Giant prospects?
International Journal of Retail & Distribution Management
ISSN: 0959-0552
Article publication date: 1 March 1997
Abstract
Offers an appraisal of the corporate experience and prospects of J. Sainsbury plc in the USA, ten years after its market entry. Part 1 focused on Sainsbury’s New England subsidiary, Shaw’s. Heavy capital investment, and the determined export of a British model of food retailing, is shown to have produced a chain of 119 stores enjoying rapid growth and impressive improvements in profitability. Part 2 focuses on Sainsbury’s acquisition of 50 per cent of the voting stock (20 per cent of total equity) of Giant Food Inc., the market leader in the Washington DC‐Baltimore area. Shows Sainsbury is poised to purchase full control of Giant (at an estimated cost of approximately $2 billion), is promoting a major expansion of Giant northwards into Philadelphia and is on the verge of becoming one of the top ten firms in a US industry worth $410 billion per annum by 1995.
Keywords
Citation
Wrigley, N. (1997), "British food retail capital in the USA ‐ Part 2: Giant prospects?", International Journal of Retail & Distribution Management, Vol. 25 No. 2, pp. 48-58. https://doi.org/10.1108/09590559710160346
Publisher
:MCB UP Ltd
Copyright © 1997, MCB UP Limited