Asda plans to expand

According to The Times today, the new roles will be created ‘through a mixture of new stores, shop extensions and business expansion’.

7000 jobs will be created as between 10 and 12 new stores are opened 1500 jobs will be created by growing its Home Business and online retailing function 500 jobs will be created through the opening of 50 in-store pharmacies

Asda is the UK’s second largest supermarket, with a 16.9% share of the market, just ahead Sainsbury’s with 16.4% and Morrison’s with 11.5%. Of course, Tesco lead the way with a staggering 31.4% market share.

Is the growth of a value supermarket a sign of a strong economy - or weakening market conditions? A knowledge of income elasticity of demand gives some insight into the impact of changes in (average) income on patterns of demand: will there be an expected shift to cheaper brands as the economy falters? Or do households find other ways of cutting spending?

Andy Bond, Chief Executive of ASDA, speaks to BBC Business here.

For anyone interested, you can check out the radio station ASDA FM here!