Carrefour's troubles

 Quickly staking their claims in the competition process, the disharmony between zero for Carrefour in China are dragging the hind legs

Shao good press coverage
Jinan

2010   is a Carrefour's bothering an attached one. Consumers have complained:



12 days, Economic Herald reporter saw Carrefour supermarket in Jinan, in the other supermarkets have price increases and Master Kong noodles Pa Series Classic Series is still out of stock. In this regard, the supermarket staff said, Master Bag Series has been out a long time, because the two sides reached a settlement yet, is expected to remain out of stock before the Spring Festival.

Although both sides said the negotiations were not closed the door, it is clear from Master Kong and Carrefour have started early in December last year, the Herald reporter learned that the negotiations for some time, but still insisted on deducting Carrefour Master Kong classic series in the half price of 0.2 yuan, compared with Wal-Mart and other stores in the successful completion of the move increases, which raises the very Master Kong great dissatisfaction.

Carrefour headquarters
director of public relations, said Chen Bo, Master Kong is on the above statement was a clear stand of the counter, its said that the new round of negotiations, Carrefour made the request too harsh rebate, can not meet their requirements for Master Kong was stopped buying Carrefour.

competitors to catch up

Moreover, Carrefour market development in China can be described as faltering. Herald reporter, according to statistics, last year, net of cooperation in the acquisition of private enterprises in Hebei Paul Long Wharf after 11 stores, Carrefour has opened in China is only less than 20 stores. Due to continuous losses, Carrefour stores closed last year by 4, Foshan shop will be closed on December 20, At this point, Foshan, Guangdong, Carrefour will completely withdraw from the market.

contrast, rival Carrefour, the world's number one retail, Wal-Mart's new stores in the mainland last year, 47, and its stores in China, the total number of 224 is reached. Late entry into the Mainland market, RT-Mart and Tesco are also a great come from behind the trend, last year, RT-Mart and Tesco opened in the mainland were 22 and 21 new stores. As of December 31 last year, the total number of RT-Mart stores in the mainland reached 143, catching up with Carrefour, the total number of 172 stores, while the number of Tesco stores in China also broke the 90 mark.

in the international market, Carrefour is intensified contractions, exit multiple markets. First, early last year in southern Italy reluctantly withdrew from the market, have since closed 21 stores in Belgium and France, the headquarters building; March 11, in Japan 10 years Carrefour sadly hard to leave.

business model

as a Through bank loans, transferring costs to suppliers charge Carrefour, the above model do the extreme.

the traditional sense, the retailer's revenue should come from the difference in buying and selling, rather than However, due to intense competition, reduced profit in the current main retailers, non-retail credit to the increase. Industry estimates, on Carrefour and other large retailers, suppliers slotting allowance to account for nearly 40% of turnover.

But this transformation of the business model is double-edged sword. When the cost of a retail business channels, the main source of profit, it will weaken to a certain extent, its own management ability and competitiveness.



China researcher at Samsung Economic Research Institute Swei-Ming Lin Strategy Group analysts believe that, after a number of stores in China in 2009 and turnover of the critical situation is not ideal, the Carrefour's dilemma has not been much improvement in the last year, but problem-prone, downward trend is accelerating. Such as Dalian, Xi'an and many stores closed down, and burst in June and July last year,

Herald reporter noted that in the zero-for relations, Carrefour did not seem good enough. Last June, that is, Qingdao suppliers slotting allowance and arrears of payment to receive the grounds Carrefour court.

opponents quickly complete the process of staking their claims after the discord between zero for Carrefour in China are dragging the hind legs.

Further reading



present, neither the supply chain, Wal-Mart, Carrefour use information to create a vertical supply chain advantages, it is difficult and the Trust-Mart, companies such as Wing Fai Short supply chain Carrefour board effect seems more and more obvious, if you do not focus on improving the short-board, still rely on In the information age of today, Wal-Mart, Carrefour would like to learn, to enhance the application of information technology, to create the most modern logistics information management system, efforts to improve the profit model, enhance the effectiveness of single-store operation.

industry analysis, Carrefour to change the status quo, we must profit model and the internal improvements system and so on at the same time. Of course, going through the pain of contraction of the global front, Carrefour, it is not easy. Currently, Carrefour is the most controversial in the management of the procurement of commercial bribery, corruption in these areas poisoned Carrefour's growth. Carrefour, the occurrence of the problems are often not Thus conclude that it's self-positioning, management and business philosophy are significant problems, if not corrected, will eventually be abandoned by consumers.

(Integrated Youth) by: Shao good Jinan