Smart Trade Insights
  • Business
  • Economy
  • Investing
  • Politics
Top Posts
Chemical assay confirms high-grade uranium
How to Invest in Manganese Stocks
$14M Placement to Fund Acquisition & Exploration
Green Technology Metals
Laramide Identifies Targets for 15,000 Meter Drill Program...
Coinbase Expands USDC Rewards to Canada
NVIDIA Facing Weak Demand for New Chip as...
Newmont Withdraws from Mount Coolon Joint Venture, GBM...
LimeWire acquires Fyre Festival, asking ‘What Could Possibly...
Gold Market Dynamics Shifting as China-US Trade Tensions...
  • Business
  • Economy
  • Investing
  • Politics

Smart Trade Insights

Business

Target CEO addresses price gouging accusations in retail

by admin August 23, 2024
August 23, 2024
Target CEO addresses price gouging accusations in retail

There’s no room for price gouging in a ultra-competitive business like retail, Target CEO Brian Cornell said on Wednesday.

In an interview on CNBC’s “Squawk Box,” the retail chief disputed campaign talking points accusing grocers of inflating prices. He said retailers have to be responsive to customers or risk losing business.

He was asked by CNBC’s Joe Kernen, who referred to comments by Democratic presidential candidate Vice President Kamala Harris and asked if Target or its competitors ever benefit from price gouging. Harris last week proposed the first-ever federal ban on “corporate price-gouging in the food and grocery industries,” saying some companies are charging excessively and fueling household inflation.

“We’re in a penny business,” Cornell responded, noting the small profit margins in the retail industry. He described the many places that customers can turn to check for lower prices or to find merchandise elsewhere, from going to stores to browsing on their phones to compare the prices of a gallon of milk at different retailers.

Target’s retail chief made the comments after the discounter beat Wall Street’s expectations for earnings and revenue on Wednesday, but struck a cautious note with its full-year guidance. It said it expects comparable sales, which take out the impact of store openings and closures, to be on the lower side of its range of flat to up 2%. Yet it raised its profit guidance, saying it expects adjusted earnings per share to range from $9 to $9.70, up from the previous outlook of $8.60 and $9.60.Inflation and consumers’ outrage about high prices has continued to loom large for companies like Target. A wide range of retailers, including Home Depot, Walmart and Macy’s, have reported over the past two weeks that cautious consumers are being picky about where they’re spending.

Cornell said on “Squawk Box” that the retailer is trying to appeal to “a consumer who is managing their budget carefully” and said “value is in our DNA.”

Target is one of the consumer brands that has responded to shoppers’ concerns by lowering prices. It cut prices on about 5,000 everyday items, such as diapers and peanut butter, to try to drive higher traffic and sales. Others, such as McDonald’s, have debuted value meals.

So far, those discounts have shown signs of resonating at Target: In the quarter, customer traffic across Target’s stores and website rose 3% — even as shoppers put a little less in their shopping carts than they did a year ago.

Walmart CEO Doug McMillon said last week that prices have come down in many merchandise categories, but said that inflation “has been more stubborn” in the aisles that carry dry groceries and processed foods.

On an earnings call with investors, he said some brands “are still talking about cost increases, and we’re fighting back on that aggressively because we think prices need to come down.”

This post appeared first on NBC NEWS

previous post
U.S. added 818,000 fewer jobs than thought, adding to concerns about a slowing economy
next post
Euro index and yen: The euro is losing its bullish momentum

You may also like

Procter & Gamble to cut 7,000 jobs as...

June 15, 2025

Hurricane Milton could reduce Disney earnings, Goldman says

October 9, 2024

Why JPMorgan Chase is prepared to sue the...

September 30, 2024

Babies R Us is back: Here’s why Kohl’s...

August 3, 2024

Comcast and Harris Blitzer to build new NBA,...

January 14, 2025

FDA officially authorizes Zyn nicotine pouches for sale...

January 18, 2025

There’s been a ‘meaningful shift’ in CEO confidence...

January 16, 2025

Boeing to raise as much as $25 billion...

October 16, 2024

Surging grocery prices have settled down, but shoppers...

August 16, 2024

Tariffs or not, a Chinese baby products company...

May 21, 2025

    Fill Out & Get More Relevant News


    Stay ahead of the market and unlock exclusive trading insights & timely news. We value your privacy - your information is secure, and you can unsubscribe anytime. Gain an edge with hand-picked trading opportunities, stay informed with market-moving updates, and learn from expert tips & strategies.

    Recent Posts

    • Chemical assay confirms high-grade uranium

      September 17, 2025
    • How to Invest in Manganese Stocks

      September 17, 2025
    • $14M Placement to Fund Acquisition & Exploration

      September 17, 2025
    • Green Technology Metals

      September 17, 2025
    • Laramide Identifies Targets for 15,000 Meter Drill Program at Kazakhstan Uranium Project

      September 17, 2025
    Promotion Image

    banner ads

    Categories

    • Business (856)
    • Economy (829)
    • Investing (2,834)
    • Politics (737)
    • Privacy Policy
    • Terms & Conditions

    Disclaimer: smarttradeinsights.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.


    Copyright © 2025 smarttradeinsights.com | All Rights Reserved