- Off-price retailers TJ Maxx and Marshalls buy surplus inventory from department stores at discounted rates.
- This is how they sell brand-name merchandise and keep their prices low.
- Comparison prices convince shoppers that they are getting a good deal.
Stores know that the thrill of a bargain motivates shoppers to spend money, and they have many ways to conjure up that instant gratification. TJ Maxx and Marshalls do it with their price tags.
The off-price retailers, which are both owned by TJX Companies, buy surplus inventory from department stores and specialty retailers at discounted rates. This is how they sell brand-name merchandise and keep their prices low. While many retailers have struggled during the economic downturn, TJX has benefitted from other brands’ store closures.
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