TSX:RON.PR.B - Post Discussion
Post by
cfa981 on Nov 18, 2012 5:54pm
Rona at a Cross Roads
I firmly believe that the BOD must now decide if it is going to be a distributor to independent retailers or a retail operations. They cannot do both. You need to set of management and mind set to make it work and we all know 2 heads cannot operate as one.
If they are a distributor to independent retailers they cannot be a public company because the demands for profit at a public company level takes away profit from the independent dealers. Dealers are too smart to let this happen over the long term.
So here is the strategy - sell the coroporate owned box stores to LOWES. Keep the distribution centres and go back to the roots of supporting the independents. This is what Rona is good at. LOWES win by gaining access to prime retail locations accross canada.
Let the dealers take back the distribution with CAISSE and other private equity. This is the future of retail.
TIME TO ROCK AND ROLL.
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