Asda has started a new price war to become more competitive as it loses over 5% market share historically.

As Amazon Grocery enters this market there is some big structural issues to deal with. Amazon operate on a 15% margin model in most areas while typically major retailers in the UK run on 40%.

This structural shift isn’t going to end well for the UK’s largest retailers. 

Retailer shares fall as Asda signals supermarket price wars