Carrefour

[Ray.Charles]

Excerpted from the New York Times:

Carrefour Chief Pursues Strategy to Strengthen Home Market
By MATTHEW SALTMARSH
Published: June 3, 2010

PARIS — The chief executive of Carrefour is staking the future of the giant French retailer on a simple strategy: strengthen at home, then either dominate or withdraw abroad.
Just after taking the helm, he initiated what he called a “reset” in the core markets of France, Spain, Belgium and Italy.
As the ship steadies, he plans to invest further in China, Brazil and India. But where prospects are less certain, the group may scale back.
Carrefour did this before Mr. Olofsson took over, leaving Japan, Switzerland and Mexico. Under his leadership, it has also pulled out of Russia, and scaled back in southern Italy, Portugal and Belgium, where he has just signed a deal with unions to allow for job cuts and the sale of some stores.
Next up could be Thailand, where, “we were the pioneer, but we didn’t concentrate our efforts, and we lost leadership,” he said.

[Texpat]

Why do multinational meglo-mart superstores feel they have to spread their influence into unwelcoming markets?
The blight on pristine Thailand countrysides is a largely unwelcome scar that shames those massive, multi-acre monstrosities. Inexcusable.

Who is to blame?

[KHONDAHM]

Well, if they pull out of Thailand, I sure hope they stay in Udon!

[Khun Paul]

personally if they do leave not toomuch will go with them, maybe the occasional wine or cheese will be missed but not much else, whenever I pass I see that the tesco and nissoon carparks are always fuller than carrefours.

[parrot]

"Why do multinational meglo-mart superstores feel they have to spread their influence into unwelcoming markets?
The blight on pristine Thailand countrysides is a largely unwelcome scar that shames those massive, multi-acre monstrosities. Inexcusable."

Probably for the same reason that you decided to retire in Thailand and build your own monstrosity.

Welcome back, Tex. It's good to see a few days of bread and water didn't do anything to dim the commentary.

[jingjai]

A little of topic but...
A new Tesco Express is being built on Nong Sam Rong Road. Across the street from an existing 7-11 and next to the evening market in Nong Sam Rong.

[thalenoi]

Ah well, in Belgium Carrefour took over most of the GB hyper- and supermarkets, showed their utmost French arrogance and let the stores rot. I stopped buying there after a few visits.
Now they decided to close or sell 27 of their shops, ran into strikes from the unions closing the shops near important shopping days in April and May (Easter, 1st May etc)

Next I was not impressed with the Udon Carrefour, hardly have been there twice since they opened.
I am off to France tomorrow for a roundtrip and not sure many Carrefours will be on my list of places to visit.
I will be driving around, buying an icebox and picnicking around, so supermarket visits are on the list, but so many other brand names to shop at....

[Khun Paul]

You've hit the nail on the proverbial there, Not wanting to upset our French friends but on occasions the sheer french arrogance is what has caused so many upsets.
The management attitude sucks hence now they think of closing or even removing themselves from Thailand....Good riddance.

[simpsonp]

Udon Carrefour have got some great deals on btw!

[DRILLER]

thats the upside of an unpopular mall...bargains at the expense of shareholders whom continue to buy into capital raisings to keep these unprofitable outposts afloat.

i went with a girl that worked there at the beginning of the year. i didnt even ask her why it was so quiet there but she volunteered an opinion that caught me off guard at the time....she said that carrefours is for farang not for thai....go figure.

[KHONDAHM]

she said that carrefours is for farang not for thai....go figure.

Ha! I can confirm that attitude. The perception to Thais is that there isn't much there that they would typically use that they couldn't get somewhere else. The perception to falang (well, at least back in Pattaya) is that it is a better place than Tops to get things from back home. That said, I do find the Udon location lacking in variety compared to what is available in Pattaya.

[douglas]

Hi,
Not just Carrefour that seems to be doing badly. The last three times I was in the new Tescos there were more staff than people buying things. If the girls on the check out counters smiled, as they do in Carr. it would make it more pleasant parting with your money. I was in Tescos one morning just before eight, Sadly they do not open that early now. Only one check out open, and 2 customers, the second one with a full trolley. A cashier opened the next desk to this so I went there, she said to me she was only training and I would have to wait at the other check out. I know it is not the poor girls fault, but seeing a supervisor smiling at the same desk made me mad. I politely told the girl what she could do with my shopping, and told her this is part of her training for customer relations. And left the store.
Cheers Doug.

[JimboPSM]

It appears that the rumours may have some substance to them - Bloomberg is now reporting that Carrefour may be seeking buyers for the Southeast Asia Units (including Thailand) for $1 Billion:

Carrefour Said to Seek Buyers for Southeast Asia Units, May Get $1 Billion

Carrefour SA, the world’s second- biggest retailer, plans to exit Singapore, Malaysia and Thailand, and is seeking offers for its operations in the Southeast Asian countries, said four people familiar with the matter.......

......... The retailer will consider selling the units separately as potential buyers may not be interested in bidding for all three combined, according to two of the people. Carrefour’s Thai business may have a value of $500 million to $600 million, while the Malaysian and Singapore operations may be valued at $350 million to $400 million, the people said. Carrefour plans to retain its units in China and Indonesia, they said.

“It’s a positive move, in line with what the company has been doing,” Fabio Fazzari, an analyst at Equita Sim in Milan, said by telephone. “The new management is more focused on non- capital intensive retail. What they’ve been seeking to do for about a year now is get rid of all underperforming assets.” ...........

Full article: http://www.bloomberg.com/news/2010-07-0 ... llion.html

CNBC business news also have a similar story (sourced from Reuters):

• http://www.cnbc.com/id/38090294

[pompui]

Hi,
If the girls on the check out counters smiled, as they do in Carr. it would make it more pleasant parting with your money. I was in Tescos one morning just before eight, Sadly they do not open that early now. Only one check out open, and 2 customers, the second one with a full trolley.
Cheers Doug.

Am I missing the point somewhere but Tesco having far better opening times than Big C and Carrefour who insist that 9am is the starting time.Douglas,why go at 8am,wait till 9am for Carrefour to open.
Went Carrefour 1 week ago and still no French selection of cheeses, when they first opened in Udon,a decent selection,now same same with all the supermarkets

[stoneman]

I was in Tescos one morning just before eight, Sadly they do not open that early now. Only one check out open, and 2 customers, the second one with a full trolley. A cashier opened the next desk to this so I went there, she said to me she was only training and I would have to wait at the other check out.

We were in Tesco about 8:30 one morning last week,,,They open at 7:00AM and I fully expected the produce, meat and bakery departments to be fully displayed and staffed...The only meat that was available was the remains of yesterday's leftovers and the produce section was full of empty racks...Bakery...same thing...There was no shortage of employees, but rather seemed to be a shortage of management staff...

I tried to find a manager to voice my complaint, but no one was able to help me find a manager...

Stoneman

[parrot]

I don't care how big the population is in Udon/surrounding areas, there aren't enough big-store-shopping people to support a Makro, a Big C, 3 Lotus, a Carrefour, 2 Ngeesoon, Tops, Top World, Savemart and a bevy of Lotus Express and 7-11's. The majority of villagers don't ever shop at these stores, and a good number of city folks and well-to-do villager folks still do their food shopping in the wet markets: the produce is fresher and cheaper, and if you find a good butcher, you can get fresher meats in the markets. Who will be the first to fail? I'd say Carrefour.

[douglas]

Hi,
Pompui, As the topic was about the stores I did not think I had to explain to everyone why I was there just before eight-o-clock when they were open and carr. were not. I checked Carr. first and they were closed. If you MUST know I was getting picked up at 0830Hrs and going down to Kalasin for a couple of days for personal reasons which I do not want to name on this public board.
I might be wrong but I thought Tesco's had scrapped the earlier opening time. Will check tomorrow when I go there. The T.W. told me this but she does get things mixed up a bit. Bless her.

[arjay]

I heard on Bloomberg today that Carrefour are withdrawing from the Asia Pacific region and Thailand was specifically mentioned as one of the countries affected.

[Prenders88]

I heard on Bloomberg today that Carrefour are withdrawing from the Asia Pacific region and Thailand was specifically mentioned as one of the countries affected.

Perhaps the writing was on the wall when Carrefour pulled out of the UD Town area. Another Tesco's opened instead.

Went past yesterday on the way to Nongbualamphu and the Carrefour car park was empty compared to Tesco's and Ngeesoon.

[UdonExpat]

Carrefour Said to Seek Buyers for Three Southeast Asia Units
By Cathy Chan - Jul 5, 2010

Carrefour SA, the world’s second- biggest retailer, plans to exit Singapore, Malaysia and Thailand, and is seeking offers for its operations in the Southeast Asian countries, said four people familiar with the matter.

http://www.bloomberg.com/news/2010-07-0 ... llion.html