Tesco has begun legal action in Thailand against opponents of the retail giant’s expansion in the Asian country.
The company told just-food today (17 March) that it had been “seriously defamed” after an academic and a former Thai MP claimed that its expansion in Thailand had been aggressive.
Tesco claimed that its Tesco Lotus business had been the subject of a “sustained campaign of false and misleading statements”.
“The suggestion that profits from Tesco Lotus are not reinvested in Thailand is blatantly untrue,” the retailer said. “The reality is that we have invested well over GBP1bn. While we believe that people are entitled to their opinions, it is our belief that in these cases Tesco Lotus was seriously defamed. Both cases are being dealt with by the Thai courts and we await the outcome.”
Tesco’s expansion in Thailand has attracted protests from local retailers wary of losing their livelihoods.
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By GlobalDataTesco entered in Thailand its business there now stands at 370 stores across four formats, including 75 hypermarkets.