Morrisons seals supply deal with Big C
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UK supermarkets group Morrisons has secured a supply partnership with Thai grocery chain Big C.
The firm will be sending 100 branded products to feature on Big C shelves in what represents a major international partner for Morrison’s, which otherwise has a minor presence in Gibraltar and the Channel Islands. The company also previously supplied its own-label products to a Hong Kong e-commerce platform British Essentials.
Morrison’s CEO David Potts has stated the company is not currently pursuing an international strategy – the partnership with Big C is the result of unexpectedly fast growth in the company’s wholesale business.
Morrison’s revenues increased 4.5 per cent over the past half year compared to the same period last year. While same-store retail figures grew 2.1 per cent, its wholesale business grew 2.8 per cent.
Questions & Answers
Q.What kind of products will Morrisons be supplying to Big C?
What kind of products will Morrisons be supplying to Big C?
Morrisons will be supplying 100 branded products to feature on Big C shelves. These are the company's own-branded items rather than third-party goods.
Q.Why is Morrisons pursuing this international supply deal if its CEO stated no international strategy?
Why is Morrisons pursuing this international supply deal if its CEO stated no international strategy?
The partnership with Big C is not part of a deliberate international strategy. It resulted from unexpectedly fast growth in Morrisons' wholesale business.
Q.How significant is Morrisons' current international presence?
How significant is Morrisons' current international presence?
Morrisons currently has a minor presence internationally, with operations in Gibraltar and the Channel Islands. It previously supplied an e-commerce platform in Hong Kong.
Q.What was the growth rate of Morrisons' wholesale business in the past half year?
What was the growth rate of Morrisons' wholesale business in the past half year?
Morrisons' wholesale business grew by 2.8 per cent over the past half year. This contributed to the company's overall revenue increase.
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