Chief executive Mike Coupe faces a tough task convincing his shareholders over a £1bn-plus deal, but it is in tune with 21st-century shopping habits
Genius or madness? That’s what one City analyst wondered when news of Sainsbury’s bid approach to Home Retail Group, owner of Argos and Homebase, broke last week. Madness – or, at the very least, an unnecessary distraction – concluded most observers.
Isn’t Argos in mortal danger from the relentless march of Amazon? Isn’t Sainsbury’s itself trying to keep its ahead above water in a grocery market suffering deflation, discounting and maybe disruption from the same Amazonian monster?