With Walmart joining the acquisition war of Family Dollar, many people have been expressing their opinions of the matter; while some people consider this a good move on Walmart’s part, most people seem to be entirely against this decision.
Interactive Edge’s CEO, Zel Bianco, is one of the many in disagreement with the decision. He comments:
With all of the facts laid out, it sounds to me like a strategically all-around bad decision for Walmart to consider making a bid for Family Dollar specifically. The potential reward in this situation is just not worth the risk. Not only is Walmart facing problems of its own, such as same-store sales being flat for the most recent quarter following declines in the additional five quarters that preceded it, but they additionally have had customer traffic fall for seven straight quarters. It needs to handle these issues, and consider them top priority over a new acquisition.
To read the full article on Retailwire, visit http://www.retailwire.com/discussion/17752/should-walmart-make-a-bid-for-family-dollar