Is it a sign of things to come in the U.S.? Aldi, according to reports, has opened three service stations in Austria and it is following its standard script of undercutting the competition on price to capture market share.
Aldi's prices were so low that long lines were created by motorists looking to fuel up. Motorists from nearby Germany crossed the border to get fuel at prices well below market rates. According to Datamonitor, Aldi plans to settle on prices in Austria that are E0.02-E0.03 below market rates.
The chain operates 8,400 stores in Europe and more than 1,000 stores in the United States.
Discussion Questions: Is opening gas stations a good move for Aldi? How much more formidable a competitor would it become with gas operations in the U.S.?