Asda and Sainsbury's merge-good news?

I think (but don't know for sure) that they give them six months at a reduced rate.

Jalimall and mostlyharmless yes it is sad but a sign of the times.

It can take up to 2 years for a new business to become established so an increase in rents and/or council tax within a few months often results in failure before they've even begun.

It’s sad to see long established family businesses like yours closing down smileless.

Our town seems to attract businesses by charging low rents/council tax for the first few months so we get lots of enterprising small retailers setting up. The the rent goes up and some of them fold, unfortunately.
I suppose it does give them a chance to try to make a go of things. We do have more and more charity shops too.

I'm sorry to hear about your business.

Staff costs increase year on year with the employers national insurance contributions rising and now employers contributions to employees pensions.
I do know because DD and SIL have a business and the cost of employing their seasonal workers is very high indeed.

Mr. S. is finding the prospect of the business finally closing down rather stressful Jalimall but he can't go on forever and there are so many factors against us.

The small market town where we are has a lot of charity shops who have heavily discounted business rates so the local council needs to get as much of other businesses as possible.

We get nothing for them. We have to pay for every item of rubbish to be taken away. A lot of our customers still pay in cash or by cheque and the bank charges for handling cash and cheque deposits are high as are the charges for taking payments by cards.

Staff costs increase year on year with the employers national insurance contributions rising and now employers contributions to employees pensions.

I suppose the saddest thing is that it is a good and profitable business but with all the pressures that independent retailers face, no one would want to buy it and take it on, and I can't say I blame them.

It will be a sad day when we close our doors for good but also a relief for Mr. S.

As for he rest of the news, it is indeed very worrying as so many well-known and not so well-known High Street businesses disappear.

I'm sorry about yours Smileless2012, it's sad when a small business established so many years ago falls victim to online shopping and out-of-town retailers.

petra
I love it! Thank you for the laugh

My friend told me that Marks & Spencer's is going to merge with Poundstretchers: it's going to be called StretchMarks

The high street is suffering like never before. Mr. S. retires at the end of the year and our family run independent retail business will close. It was established in 1890 by his GGF.

It's been a good business but that said, like so many businesses we've seen the effects of online shopping and out of town retail parks.

And today House of Fraser has been taken over by a Chinese investor and they expect to close twenty UK stores. More problems for the High Street.

They should be looking at job cuts but will they bother?

That's 2 reports of job cuts on this thread. Can it be that there won't be any job cuts after the merger because they have been done beforehand? Is this something the Competitions Panel should be looking at?

Our neighbours both work for Sainsbury. One who has a higher position was told at the end of January she'd have to apply for another job as her's would no longer be available; staff cut backs were being made.

It was hoped that enough would accept voluntary redundancy so no one would be forced to leave and I think that more than expected did go for redundancy.

She found at this week after 2.5 very stressful months that she's got her new job.

No mention of a merger with Asda was ever mentioned.

We have 2 small Sainsbury locals in our town and 1 huge Asda, with another one not far away. Not sure how that will work. Will the big Asda’s become big Sainsbury’s ?

Like Pittcity I am an Aldi convert but there are some brands that I can’t give up, so usually go to Asda for them. I find Sainsbury’s too expensive.

I find this potential merger of these two companies quite odd.
Sainsbury's has always tried to show a rather up market style and business ethics and they are intending to get into bed with ASDA which is not generally considered as a posh supermarket.
Asda is part owned by the USA Walmart company and have been notorious about how they treat their staff with wages etc .
Maybe when operating in the UK they might have to comply with British employment legislation.
I do most of my grocery shopping in ASDA.

I am an Aldi convert and have a Lidl opening two minutes away in a few months.
I worked for Sainsburys many moons ago and still have shares but won't make a fortune from the merger. I have heard that there is already staff "restructuring" going on.
I would love to be able to afford to support local markets, farm shops etc.

I can't see a merger like this being good for suppliers. As soon as they start talking about buying power your heart sinks.

I heard one marketing expert yesterday telling us that Tesco carries 20,000 (or was it 50,000 ?) lines while Lidl only carries 2,000. He didn't seem to realise that some of us see this as a good thing. I like being able to walk round the entire store in 10 minutes and just pick up the things I want.

Should have said I do enjoy a trip to Lidl’s when I get the chance to go with a friend who’s a driver etc.etc.

I shop at Asda it’s the only supermarke I can get to,
I use the bus as I do not drive.But I am more than happy it’s a nice clean shop with good staff and meets all my needs for choice. I do occasionally go into Sainsbury’s when visiting a friend in another town and I certainly couldnt afford to do a big weekly shop there as find it very expensive. I do enjoy a trip to Lidl’s when my get the chance to go with a friend who’s a driver or my son is able to take me in his car.

Although we do have a Budgens not far away which is very good!

It is time everyone started voting with their feet and going to their local markets and shops before they disappear for ever. Many people already don't have the choice to do that as the high streets are empty.

We are those people.
However, we do have (rather expensive) farm shops a short drive away.

Yes, they are bound to close stores where two are near together. Doesn't make economic sense not to. We used to shop at Sainsburys and have recently switched to Asda, as we got fed up with the poor service at the former. We have noticed that prices have risen in the last few weeks at Asda - maybe so that they can be reduced by 10%?!

Only a co-op in my small town. We have to drive ten miles to find more choice.
This merger would mean Sainsburys/ASDA would be the biggest supermarket chain way bigger than Tesco.
But perhaps there are too many retailers for the market. ASDA, Morrisons, Tesco, Sainsburys, Co-op, Aldi, Lidl, Waitrose, Marks and Spencer Food Halls, Iceland, Ocado plus Booths in some areas.
That’s still quite a lot of competition and consumer choice.

I quite like the clothes in ASDA but don't like it for food shopping - too big; can't find things quickly. It's just like an aircraft hangar + the noise! For food I prefer the smaller supermarkets and our local garden centre which has just included fresh food and a wonderful butchers along with some frozen meals which don't upset my tummy!!!

We certainly don't need any "bigger" organisations running our supermarkets. It is bad for consumer choice, and even worse for the suppliers.

It is time everyone started voting with their feet and going to their local markets and shops before they disappear for ever. Many people already don't have the choice to do that as the high streets are empty.