Could Dollar General's New Business Model Bring Growth?
Retail is a harsh industry with competition coming from nearly every direction. But it's been proven time and again that a niche within such a massive industry can find success. Discount retail chain Dollar General (NYSE: DG) is a prime example of this; the company's built an empire of more than 18,000 stores across the United States, selling low-cost products in rural markets.
But rather than rely on what's already worked for the company, it's launched a new store brand to pursue long-term growth. Here's what investors should know about pOpshelf, its potential impact on the business, and why Dollar General is poised to be a long-term winner moving forward.
Dollar General is taking notes from the success of companies like Five Below, which became a $9 billion company by offering shoppers a treasure hunt-like experience. Their stores feature fun and flashy low-priced items like cheap makeup, toys, home decorations, and clothing accessories.
Source Fool.com
