Prices at Tesco could drop thanks to a supermarket war

Tesco anticipates a potential profit drop of up to £400 million due to increased competition among UK supermarkets, particularly from Asda's price cuts.
CEO Ken Murphy highlighted the "intensification" of competition and aims to reduce costs by £500 million to maintain competitiveness and offer customers the best value.
Tesco plans to achieve these cost reductions through automation, supply chain improvements, and other measures, but job cuts haven't been ruled out.
Despite the competitive landscape, Tesco reported strong sales for the last financial year, reaching £63.6 billion, and increased its market share to 28.3 per cent, the highest since 2016.
The supermarket remains committed to providing value to customers amidst inflationary pressures and a challenging economic environment.