Thai Commerce Ministry touting idea of 'Low Cost Department Stores'

[Thian]

Just let Aldi open up in Thailand and the cost of living will be half.

[wabothai]

Mr.general wished he wouldn't have said that.

Generals are there to keep themselves busy with army affaires. Certainly not this one.

[mca]

Commerce Ministry touting idea of 'Low Cost Department Stores'

Good for them, doing something constructive instead of mulling, considering and debating.

Now that's hardly fair ratcatcher mate. There's been quite a lot of pondering and runimating going on as well.

[Eric Loh]

The ministry would ask manufacturers sell at cost all items to be sold in the these low cost stores.

No profit ???..............Good luck with that one.

Why not? Junta will donate the land, bring in slaves to construct and prisoners as staffs.

[marcusd]

"The ministry would ask manufacturers sell at cost all items to be sold in the these low cost stores, which do not focus on package design but rather on function and quality."

Um, no store can sell at cost and remain open (here comes another populist subsidy!). Further, ten stores are to be in Bangkok, with one in Nonthaburi, one in Pak Kret, one in Hat Yai and one in Korat. I feel certain fourteen stores can significantly add to the well-being of 76 million people.

This has become the Administration of Good Starts (with no follow through)....beach vendors, sukhumvit sidewalk hawkers, corrupt taxi drivers, and on and on and on and on and on.....

Now lets get all political and use colours to start.

The areas mentioned by you are well, umm, YELLOW SHIRT hubs. So populist they may be and dedicated to win support of those people for sure come election time (if Thailand really needs on now there is such a great Government)

[Thakkar]

Government-mandated cheap stores:

Well that's one way to segregate the population and hope for fewer riff-raff in the posh stores.

If people aren't earning enough to buy the things they need, increase their earning power through improving workers' skill sets with better training and education, increase minimum wages, improve overall productivity by reducing red tape, better infrastructure, find areas of friction and reduce/eliminate those frictions.

If prices are too high, it's usually because of inefficiencies and lack of competition, monopolies and collusion. If so, enact and enforce strong pro-competition and anti monopoly, anti collusion laws. Efficiencies will follow.

The suggested policy sounds like a short term fix for a structural problem.

T

[Thai at Heart]

Commerce Ministry touting idea of 'Low Cost Department Stores'

Good for them, doing something constructive instead of mulling, considering and debating.

Lets forget practical or useful though

Practical ? Useful? They are irrelevant.

What we have here is an idea designed to help the poor, maybe a populist idea.

Sort of like a Thai version of Value Village or the Sally Ann.

If I was to walk 1km along the road where my house was upcountry, I would pass 2 markets, 10 mom and pop shops selling everything, 5 printers, 5 stationary shops, 10 chemists, 20 sunglasses shops, 10 mobile phone shops, 5 pet food shops, 3 large electrical shops, 10 bars, 2 wats, 5 hotels.

What dent can these shops possibly put on the retail sector in Thailand. Farmers are losing money but they want cheaper rice, eggs and sugar. Mom and pop stores are largely living in poverty, and meanwhile 7-11 and tesco and others pop up nationwide day after day.

They would be better to insist on the mimimum wage being ruthlessly imposed on all companies. Could any of us live on mimiumum wage?

Selling from these shops solves nothing. A plate of rice and meat and veg is 30 to 45 baht. IT CANT BE DONE CHEAPER. If it is done at 29 to 44 baht, NO ONE BENEFITS. They need to look at the supply side of the markets and remove all the obstacles to market to get the prices down not start to sell stuff at cost

Edited January 29, 2015 by Thai at Heart

[losworld]

WAIMART coming to Thailand...

[phoenixdoglover]

This looks like a solution in search of a problem.

As for big, low costs stores not putting smaller shops out of business...oh, really?

[slapout]

if the government of Thailand were really interested in the welfare of the general public and were inclined to help those in need, they may want to contact the monks/temples, this may be the place to make distribution centers for cheap food and goods.

They have a collection system in place, facilities to store/display goods/distribute food. Most have plenty of bodies around to handle the muldane chores/duties that would be required. The hours could probably be made to fit into the monks and general publics schedule. They could solicite used clothing, furniture, electronics, etc and put the novices to learn a trade and repair goods for those in need.

Now I may offend some of the Buddist beliefs/doctrine with this proposal, but not intentially. I just got to thinking how some organizations in the real world approach proposed projects without shelling out huge sums for start up costs by usings groups/facilities already in place. Churches, salvation army, meals for those who need it, senior meals, etc.

Edited January 29, 2015 by slapout

[maidee]

education ....

why is there none of quality ?

that would teach people to not spend money on things they really don't need or can afford ...

much face gained when you get a loan to get the lastest iphone crap

[noahvail]

Generally in a Democracy the government lets the business sector find its own momentum , only in a dictatorship , totalitarian or commo governments do you ever see governments strutting there stuff showing the population we are here for you, if this idea had been suitable for Thailand don't you think it would have already been done and as rightly pointed out who is the Idiot that picks up the short fall in costs, it is alright to wake up one morning with a vision it is another thing to put into practice, one thing for sure Thailand isn't short on being the HUB of brainstorming ideas.

You did start with the word "Generally" so I almost let you off the hook. But then you followed with "...only in a dictatorship..." and so on. Richard Nixon (in the USA, generally referred to as a democracy) established nationwide price controls during his ill-fortuned term as President. It was a disaster, as was foretold by anyone who has read world history. It had been tried many times before, but has never succeeded.

So I am agreeing with you in concept, just disagreeing over bringing democracy into it.

[emilymat]

A Primark in Pattaya Yeh!

Yep Dave, and Aldi. That's how they started out with customers just taking the articles out of the cardboard boxes in which they were delivered. (I did it!).

Mind you, they didn't sell items at cost, with no profit, otherwise they wouldn't be so big now in the UK.

These proposals almost sound like cheap food banks!

[realenglish1]

"Selling at Cost" now that is a great idea Ummm The Soviet Union tried this its called "Not for Profit' Needless to say we know what happened with that concept

[realenglish1]

Just bring in Wall Mart They will do the job

[Ricardo]

Commerce Ministry touting idea of 'Low Cost Department Stores'

Good for them, doing something constructive instead of mulling, considering and debating.

Now that's hardly fair ratcatcher mate. There's been quite a lot of pondering and runimating going on as well.

I've heard mutterings about declaring a Hub of low-cost sales, perhaps 'they' will set up a committee, to permanently consider this option, and issue press-releases every few months ?

Edited January 30, 2015 by Ricardo

[madmitch]

Possibilities for dual-pricing or Thais only?

[Benmart]

Interesting, bizarre and funny.

"Proxy servers are wonderful".

[siampolee]

Perhaps this might be of some help vis a vis the style of these proposed low cost department stores.