The supermarket sector is under intense pressure as consumers tighten their belts. So it is no surprise that the German discounter Lidl is on the acquisition trail.
In the past year, Lidl has bought the majority stake in the fashion retailer Kaufland, as well as the British grocery chain Aldi. It has also been rumoured to be interested in taking over the German department store chain Karstadt.
Lidl’s ambitions are clear – it wants to be the biggest player in the German retail market. But is it buying up the best businesses?
Kaufland, for example, has been struggling to turn a profit. And Aldi’s UK business is not doing as well as its German parent company.
So while Lidl may be on a spending spree, it is not clear if it is buying wisely. Only time will tell if Lidl’s strategy pays off.
Is Lidl buying best market?
The supermarket sector is under intense pressure as consumers tighten their belts.
In the past year, Lidl has bought the majority stake in the fashion retailer Kaufland, as well as the British grocery chain Aldi.
It has also been rumoured to be interested in taking over the German department store chain Karstadt.
Lidl’s ambitions are clear – it wants to be the biggest player in the German retail market. But is it buying up the best businesses?
Kaufland, for example, has been struggling to turn a profit.
