Walk into a typical Save-A-Lot, and you're likely to find it clean and tidy, if uninspiring. Products, mostly house brands, are stacked on the floor, still in their cardboard boxes. Signage is minimal and generic. Looking for the grocery bagger? You're it. The limited-assortment channel is a small but steadily growing segment of so-called extreme-value retailing. Save-A-Lot, the biggest player with nearly 1,300 units, has been expanding at a rate of 10% per year for the past five years, ...

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