Mr Price (MRP) – A Quality issue

Drawing on our 2017 merchandise range review results, we make the case that quality issues may be contributing factors to the topline contraction in MRP. We argue that MRP’s hastened shift to direct import sourcing may have resulted in a diminished level of quality, which is not appealing to customers. Fixing quality issues may take some time, in our view, and this could weigh on the performance of the company in the near term.