Dollar Stores Have Forgotten Who Made Them Rich: Leticia Miranda

Mid-price companies such as Swedish furniture retailer Ikea and bulk goods store Costco Wholesale Corp. are cutting prices as the economy cools down. But prices are rising in a corner of the retail market known for dirt-cheap goods: dollar stores.

Some of the country’s largest discount chains are expanding their price range to cater to a fresh influx of high-income shoppers. Last week, Dollar Tree Inc. told investors in an earnings call that it plans to add 300 items that cost up to $7 across 3,000 stores this year. CEO Rick Dreiling said that a new wave of customers earning ...