Institute for Simplicity

Consulting Based on the Principles of Simplicity
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Discounters: The success story also in foreign markets and a guarantee for growth

Article published on 2019-01-08

The French magazine Linéaire describes how the French full assortment retailers withdraw from foreign markets. French retailers have left 30 countries. Tesco pulled  back from South Korea and Taiwan and suffered in the USA. Walmart has not only not succeeded in Germany but also stopped its expansion into South Korea.

Will Jack´s strike back? Does Tesco know Discount?

Article published on 2018-08-07

In 2012, we have published on the internet page of our Institute for Simplicity an article about Lufthansa´s plans to launch a discount airline. Our doubts were justified. Eurowings is not a discounter. Discounters are disruptive. Eurowings is just another airline, only low cost with low quality and more complexity than before.

Now, Tesco is planning to launch a Discount concept called „Jack´s“ to fight ALDI and Lidl. Already this fall 60 stores are going to be opened with sales areas of 1000 to 2700 sqm. We agree with Marcel Corstjen who calls Tesco „desperate“.

BMW understands Simplicity: The new Model 3 will have 80 % less Options

Article published on 2018-07-05

The second step of our „3-Step-to-Simplicity“ Method is about reduction of complexity by reducing the number of options. A typical car manufacturer has lots of such options. When ordering a car many features need to be defined: pages filled with interior details have to be selected as well as several exterior options like colors, tires and so on. All of these need to be developed, tested, negotiated, ordered, planned, certified, stored. Many are kept available for years after the model has already been withdrawn from the market.

Older entries:

06.04.2018: ALDI Trying to Compete Desperately

03.04.2018: Impossible but true: ALDI without profits

06.03.2017: Walmart is next

01.02.2017: Aldi wins again “Global Simplicity Index”

28.12.2016: About the complexity of modern payment methods

22.11.2016: ALDI is becoming a very normal company – ALDI today and the ALDI system

14.10.2016: Eurowings: The complexity of Wining and Dining

07.10.2016: Mixed boxes: Discounters heading into the wrong direction

12.02.2015: Tesco: Caught by complexity and What is Top Management good for?

17.12.2014: Sales per Squaremeters or Concentration on the Essentials

24.10.2014: Concentration and Working in Focus Areas

29.09.2014: “The greatest shortcoming of the human race is our inability to understand the exponential function.”

25.07.2014: What remains after Karl and Theo Albrecht have passed away

30.01.2013: Marissa Mayer: a little bit of Google at Yahoo Inc.

03.01.2013: Interview of Retail News, Turkey, with Nils Brandes, Co-Author of “Bare Essentials – The ALDI Way to Retail Success”

21.10.2012: What is essential?

23.09.2011: Out of Control: UBS Investmentbanker Adoboli causes loss of more than 2 Billion Franks

08.09.2011: About today´s complexity: crazy European Union

25.08.2011: The “Koefte-Consultant”

07.08.2011: Ploughhorses or Showhorses