Read Case 6: Aldi and the Hard-Discounters March Across America from your HBS coursepack and answer the following question:

1. How would you describe the competitive structure of the U.S. grocery retailing industry? What are the key forces driving the competitiveness of the industry? What major changes can one envisage looking ahead to the future?
2. Why had Aldi emerged as a leader among hard-discounters in the grocery business? What are the roots of its competitive advantage? How has Aldi deployed its resources to secure competitive advantage in the industry? Do these advantages appear to be sustainable?