Kroger Is Falling into the Diworsification Trap
Were you hoping to pick up some yoga pants the next time you go to the grocery store? Apparently that's what Kroger Inc (NYSE: KR) thinks.
The supermarket giant said last week it would launch its own modern lifestyle apparel brand as part of its Restock Kroger initiative. The new clothing line will include "elevated basics and fashionable highlights," and management says the launch of Our Brands will reinvigorate its apparel line. It's set to debut at 300 Fred Meyer and Kroger Marketplace locations next fall.
The announcement follows news in September that Kroger would open its first restaurant, called Kitchen 1883. The eatery, which is expected to open this fall, will offer a "New American Comfort" menu and will be located inside a Kroger marketplace in Union, Ky.
Source: Fool.com
Kroger Co. Stock
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