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March 30, 2011

Where Wal-Mart Failed, Aldi Succeeds

The New York Times
by Stephanie Clifford

While Wal-Mart revives its plans to get into New York City, a giant German retailer has slipped in relatively unnoticed.

In February, with virtually no opposition — a Queens politician even showed up at the grand opening in Rego Park, Queens — a discount retailer called Aldi opened its first store in the city, and plans to open a second one, in the Bronx, later this year.
...

Even though Aldi, like Wal-Mart, is nonunion, it has faced little resistance, compared with the heated opposition often headed by unions and politicians that Wal-Marts have encountered in larger markets.

Why so little push back? Here's why.

“There’s no reason to oppose an Aldi — it’s a small format, and they usually get space from an existing landowner or landlord, a small guy who’s plugged into the community, not a big guy like a Forest City Ratner,” Mr. Johnson said.

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Posted by eric at March 30, 2011 11:34 AM