Discounters Are Doing Just Fine

The Wall Street Journal reported that TJX Cos.'s earnings rose 7%, revenue increased 5.4% to $5.53 billion, and same store sales increased 1%. President and Chief Executive Carol Meyrowitz also stated that the company's stores have seen an increase in customer traffic.

This is more evidence to support that discounters are the retailers who are seeing success despite decreased consumer confidence resulting from high unemployment and the "sluggish" economy. During this time consumers are still looking for "bargains"and so they shop at "off-price" stores such as T.J. Maxx and Marshalls rather than at luxury department stores such as Nordstrom.

The discount sector of the retail industry deserves some attention because it has been experiencing growth despite the economic slow down, maybe even some investment attention.

http://online.wsj.com/article/SB10001424052748704312504575618413183843870.html?mod=WSJ_hp_LEFTWhatsNewsCollection