By George Anderson
Gigante, the Mexican retailer, has announced it plans to speed up its store expansion in the US to meet the needs of the growing Hispanic market. The chain plans to open three stores this year instead of the one it has been opening on an annual basis since 1999.
Manuel Cullen, investor relations manager, Gigante told Reuters, "There was always an intention to grow at a faster pace, but for one reason or another it hasn't been possible. Now we're maintaining the intention to expand. We've learned, and results are coming quickly."
Moderator's Comment: What are your thoughts on Gigante speeding up new store openings in the US?
We found it interesting to see Gigante speeding up store openings here when its Mexican same-store sales were down seven percent in the last year. Presumably, Gigante’s sales are being hurt by the Wal-Mart de Mexico juggernaut. We wonder whether it will do any better north of the border against Wal-Mart and others? [George Anderson - Moderator]