• Economy
  • Editor’s Pick
Money Rise Today – Investing and Stock News
  • Investing
  • Stock
Stock

Target CEO addresses price gouging accusations in retail

by August 22, 2024
written by August 22, 2024

There’s no room for price gouging in a ultra-competitive business like retail, Target CEO Brian Cornell said on Wednesday.

In an interview on CNBC’s “Squawk Box,” the retail chief disputed campaign talking points accusing grocers of inflating prices. He said retailers have to be responsive to customers or risk losing business.

He was asked by CNBC’s Joe Kernen, who referred to comments by Democratic presidential candidate Vice President Kamala Harris and asked if Target or its competitors ever benefit from price gouging. Harris last week proposed the first-ever federal ban on “corporate price-gouging in the food and grocery industries,” saying some companies are charging excessively and fueling household inflation.

“We’re in a penny business,” Cornell responded, noting the small profit margins in the retail industry. He described the many places that customers can turn to check for lower prices or to find merchandise elsewhere, from going to stores to browsing on their phones to compare the prices of a gallon of milk at different retailers.

Target’s retail chief made the comments after the discounter beat Wall Street’s expectations for earnings and revenue on Wednesday, but struck a cautious note with its full-year guidance. It said it expects comparable sales, which take out the impact of store openings and closures, to be on the lower side of its range of flat to up 2%. Yet it raised its profit guidance, saying it expects adjusted earnings per share to range from $9 to $9.70, up from the previous outlook of $8.60 and $9.60.Inflation and consumers’ outrage about high prices has continued to loom large for companies like Target. A wide range of retailers, including Home Depot, Walmart and Macy’s, have reported over the past two weeks that cautious consumers are being picky about where they’re spending.

Cornell said on “Squawk Box” that the retailer is trying to appeal to “a consumer who is managing their budget carefully” and said “value is in our DNA.”

Target is one of the consumer brands that has responded to shoppers’ concerns by lowering prices. It cut prices on about 5,000 everyday items, such as diapers and peanut butter, to try to drive higher traffic and sales. Others, such as McDonald’s, have debuted value meals.

So far, those discounts have shown signs of resonating at Target: In the quarter, customer traffic across Target’s stores and website rose 3% — even as shoppers put a little less in their shopping carts than they did a year ago.

Walmart CEO Doug McMillon said last week that prices have come down in many merchandise categories, but said that inflation “has been more stubborn” in the aisles that carry dry groceries and processed foods.

On an earnings call with investors, he said some brands “are still talking about cost increases, and we’re fighting back on that aggressively because we think prices need to come down.”

This post appeared first on NBC NEWS
0 comment
0
FacebookTwitterPinterestEmail

previous post
Nifty and German 40 Nifty is slowly closing the August gap
next post
Oprah Winfrey makes surprise DNC appearance to rail against man she once considered running for office with

related articles

Kraft Heinz to remove artificial dyes from U.S....

June 17, 2025

Trump-branded wireless service launches — with a gold...

June 17, 2025

Meta is finally bringing ads to WhatsApp

June 17, 2025

Starbucks moves to the next phase in its...

June 17, 2025

Trump made millions on guitars, Bibles and watches...

June 16, 2025

Anne Wojcicki to buy back 23andMe and its...

June 16, 2025

Trump says national security concerns in Nippon-U.S. Steel...

June 15, 2025

Howard Schultz says he ‘did a cartwheel’ when...

June 12, 2025

U.S. online stores put up ‘out of stock’...

June 12, 2025

U.S. online stores put ‘out of stock’ signs...

June 11, 2025
Enter Your Information Below To Receive Free Trading Ideas, Latest News, And Articles.


Your information is secure and your privacy is protected. By opting in you agree to receive emails from us. Remember that you can opt-out any time, we hate spam too!

Latest News

  • AI accusations mar UK election as candidate forced to defend authenticity: ‘I am a real person’

    July 21, 2024
  • Biden announces cease-fire plan between Israel and Hezbollah ending 14 months of fighting

    November 26, 2024
  • Fox News Power Rankings: Harris ticks up and Senate Republicans take charge

    September 25, 2024
  • First on Fox: Republican senators urged to ‘go on offense’ on DOGE goals, highlight work with Trump, Musk

    March 24, 2025
  • Trump sounds off after ‘Highly Conflicted’ Obama-nominated judge assigned Signal chat lawsuit: ‘Disgraceful’

    March 27, 2025

Popular Posts

  • 1

    Secret Service admits leaning on ‘state and local partners’ after claim it ignored Trump team’s past requests

    July 21, 2024
  • 2

    Elon and Vivek should tackle US funding for this boondoogle organization and score a multimillion dollar win

    December 4, 2024
  • 3

    Forex Profit Calculator: Maximize Your Trading Potential

    July 10, 2024
  • 4

    Five more House Democrats call on Biden to drop out, third US senator

    July 19, 2024
  • 5

    Biden calls to ‘lower the temperature’ then bashes Trump in NAACP speech

    July 17, 2024

Categories

  • Economy (829)
  • Editor's Pick (4,979)
  • Investing (634)
  • Stock (805)

Latest Posts

  • 65-year-old quit his job and emptied his life savings to start a business — now he’s worth $11 billion

    July 17, 2024
  • U.S. online stores put ‘out of stock’ signs as Nintendo Switch 2 sales hit record highs

    June 11, 2025
  • Lack of charging infrastructure hinders electric vehicle adoption in Europe, new poll reveals

    July 23, 2024

Recent Posts

  • Lawmakers push to revive low-income broadband subsidy as providers pivot

    September 11, 2024
  • Boeing workers to vote on new proposal that could end strike

    October 21, 2024
  • Nvidia’s Jensen Huang is ‘dead wrong’ about quantum computers, D-Wave CEO says

    January 9, 2025

Editor’s Pick

  • Ted Cruz wants Uncle Sam to give each American baby $1,000

    May 13, 2025
  • Tim Walz’ claims about using IVF to have family aren’t exactly true

    August 20, 2024
  • Nifty under heavy pressure: German 40 steady on Tuesday

    August 13, 2024
  • About us
  • Contacts
  • Privacy Policy
  • Terms & Conditions

Disclaimer: moneyrisetoday.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

Copyright © 2025 moneyrisetoday.com | All Rights Reserved

Money Rise Today – Investing and Stock News
  • Economy
  • Editor’s Pick
Money Rise Today – Investing and Stock News
  • Investing
  • Stock