why is the discount giant no longer profitable?

Low prices all year round: this is Gifi's argument for attracting customers to its stores. On the outskirts and in the city center, consumers of the brand often find what they are looking for at low prices. Launched in the 1980s, the family business has enjoyed incredible success by selling decoration, tableware and even furniture at knock-down prices. Nearly nine out of ten products sold at Gifi are less than ten euros.

To obtain these prices, the brand has chosen to have its goods manufactured in China, without an intermediary. But today the discount giant with 600 stores in France faces tough competition. “Today Gifi is very competitive […] Action has been established in France for 12 years and now has 800 stores.explains Franck Rosenthal, trade marketing expert, who also cites online sales.

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