Last month, the Leeds-based company decided to abandon its Black Friday sale following the mayhem that took place in previous years, when fights broke out .
At the time, Mr Clarke said customers had told the grocer they would prefer lower prices in the run-up to Christmas than big discounts on just one day.
In an interview with the Mail on Sunday, Mr Clarke said his decision had been vindicated.
He told the newspaper: “There is still a lot of stock around at other retailers – TVs, DVD players, Xboxes and PlayStations.
“That suggests a lot of demand shifted online and I wouldn’t like to be holding on to that unsold, marked-down stock at this point,’ he added.
Mr Clarke said he was ready to open fire on rivals in the crucial Christmas season.
He told the Mail on Sunday: “What we saved we’re now putting into deals right through to Christmas... And last weekend we dropped the price of petrol to below £1 a litre... We’re spreading the benefit.’
“We’re making some very deliberate choices about the stability of our commercial position and that’s allowing us to make choices for the long term,” he said.
Last month, Asda said it expected Christmas to be very tough after 90 per cent of its customers said they would spend the same amount or less money on festive treats this year.
All the major players have faced increased competition from German discounters Aldi and Lidl.