TESCO to continue investing in Asia

Planet Retail 13 Jul 2009

Tesco will continue to invest in Asia despite the global economic downturn. "We had terrific success and we are the biggest retailer in Asia. It is important for us to expand as there are still huge opportunities in Asia, including China and Japan," said Andrew Higginson, Tesco's CEO of Retailing Services. Higginson said that Tesco plans to spend GBP3.6 billion (USD5.11 billion) this year on capital expenditure to support growth around the world, of which slightly more than half will go to the Asian markets.

He named Malaysia as an important market for the retailer as the country is the third major anchor for Tesco in Asia, after South Korea and Thailand. "It is important for Tesco to establish its third anchor before pushing into China," he said.

UPDATE: TESCO plans investment in China

Planet Retail 9 Oct 2009

Tesco plans to divert the bulk of its capital investment over the next 12 months to China, Just-Food reported. Chief Executive Sir Terry Leahy described China as a market set for investment. "At the moment we're looking at GBP500 million (USD817.38 million) over the next year in China," Leahy said. The retailer has 66 stores in China and has secured a lease on a store in Dongying. The company is trialling its Express format in the north east of the country and said it is looking to open 19 hypermarkets this year.

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