Tesco will perform well in the Far East thanks to a well-defined plan, analysts have said after the supermarket’s bosses toured the area this week.
The retailer reported like-for-like sales in Korea were down 2% in the 10 weeks to 1 November, and up 8% in China.
But Philip Dorgan, Panmure Gordon analyst, said the “rapid expansion of Express should create another £1bn of sales by 2012″, reports Retail Week.
“Global retail companies will be affected by global recessions. However, they can also benefit so long as they listen to their customers and tailor their prices and ranges accordingly.”
He added the long-term growth picture for Tesco in the area does not change and it could benefit by making cheap acquisitions.
Fresh & Easy, Tesco’s US arm, said this week that it will slow down a planned rollout of stores due to the global recession.
Wal-Mart has revealed similar plans in the last month.
