AVI (AVI) – Evaluating growth opportunities

The challenge brought by SHP’s private label to AVI’s biscuit brands shows that AVI may not have innovated their value biscuits brand as much as their premium brand. We determine whether AVI’s new footwear brand, GX & Co. has the right pedigree to compete in the niche comfort footwear market and find the brand targets an appropriate market with the right pricing strategy,however, we caution that the brand is still under-exposed and caution the deep discounting in footwear retail.