business news in context, analysis with attitude

In the UK, The Independent reports that Tesco has slashed the prices on more than 3,000 items by as much as one-third, saying that this represented savings of more than $200 million (US).

Wal-Mart owned Asda Group responded to the move by cutting prices on some 10,000 SKUs.

According to The Independent, the two retailers “indulged in tit-for-tat name calling, with Asda accusing rivals of ‘conning’ their customers while Tesco said its cuts were ‘genuine, unlike some of our competitors' price claims’.”

Regardless of which company holds the high hand, the competitive moves have been welcomed by local analysts, who note that, according to The Independent, “a report by Royal Bank of Scotland said the price of groceries was rising nearly three times as fast in Britain as in the rest of Europe, with UK consumers paying 5.6 per cent more to fill their trolleys than a year ago, compared with a rise of just 1.9 per cent in the eurozone.”
KC's View:
We love it when the proper Brits engage in “tit-for-tat name calling” – it has just so much more class than when we do it here in the US.