It makes sense from a business standpoint. Smart and strategic acquisitions can be an effective means to reduce competition in an area or gain a foothold in a part of the country that you're not presently in, while quickly adding potentially hundreds of "new" stores to the existing family of stores, and thus boosting revenue and leading to a stronger stock price. That, in turn, means more money and bigger bonuses... but not for us, of course.
This is how Kroger grows and competes. It keeps our wages low and slashes benefits with every new union contract. The money the company saves by not paying its employees well/providing great benefits and adequately staffing stores is passed along in the form of savings for customers and investment income for acquisitions/store remodels/new stores/new technology.
Again, makes sense from a business standpoint. Sucks for us, though.
-- Edited by GenesisOne on Thursday 15th of January 2015 08:40:51 PM
Kroger would sooner push you into the mud and stomp you to death before letting you see any positive change from a move like this one.
As long as customers encourage their bad behavior the company will continue its current path.