Dollar Tree Pressured to Change Price Model — Chain Store Age

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An activist investor is asking Dollar Tree to reconsider its pricing model. The investor argues that the current price-point of $1 has negatively impacted the retailer’s assortment quality:

“Starboard Value LP, which has acquired a 1.5% stake in the discounter, also wants Dollar Tree to adjust its everything-for-$1.00 pricing model to a “multi-price point” strategy.”

P.S. A change in pricing could represent a significant shift for Dollar Tree. If keeping up with industry trends is a challenge for your supplier business, consider seeking help. Our experts stand ready to provide advice and assistance. Schedule a consultation today.

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