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Carrefour
Agenda
Background History Industry Competition Success Factors Challenges
Background
A French international hypermarket chain. Headquartered in Levallois-Perret-France. 1-Size, 2-revenue, 3-profits. 11,000 stores. More than 30 countries and areas. Over 495,000 employees (2009).
History
The Carrefour company is created
by:
- Marcel Fournier
- Denis Defforey
- Jacques Defforey
History
Carrefour opens its first
supermarket in Annecy,
Haute-Savoie.
History
Carrefour invent a new
store concept:
the Hypermarket
History
Carrefour introduces
“produits libres” which are unbranded
products but “just as good and cheaper”
History
Carrefour brand-name products are introduced.
History
Carrefour creates
filiere quality systems,
which guarantee
product origin and
traceability.
History
Carrefour group adopted
a new governance
structure with leading to a
more fluid and effective
operation able to respond with greater speed.
History
1969- the first overseas hypermarket was built in Belgium. 1973- hypermarket in Spain 1975- hypermarket in Brazil 1982- hypermarket in Argentina 1989- first hypermarket in Asia, in Taiwan 1990- first hypermarket in Philadelphia,United States 1991- second hypermarket in New Jersey 1993- first hypermarkets in Italy and Turkey. 1994- first hypermarkets in Mexico and Malaysia 1995- first hypermarket in China mainland 1996- hypermarkets in Thailand, Korea, and Hong Kong
Industry Analysis
Oligopoly. growing Continually. 3 essential reasons why hypermarkets
stand out from typical supermarkets and retail chains:
Products: Diverse. Location: more convenient. Prices: lower.
Competition
Indirect: Convenience Stores - general merchandise and
various supermarket items. Shopping Canters - variety of items all in one
location. Grocery Stores - sell food items.
Direct Competition
Wal-Mart - world's number one retailer. Leclerc - cooperation of over 550 food retail
franchises. Auchan - French grocery chain. Aldi - European discount chain. Ahold - largest grocery retailer in Amsterdam. Tesco - Britain’s largest retailer of grocery and
general merchandise.
Success Factors
Competing low prices. Effective promotion system:
taking full control of its end-to-end promotion systems.
in-store and outside promotions. loyalty cards…etc.
Several corporate strategies such as : inexpensive construction. low-cost land acquisition: cheap lands near high
ways. decentralized management.
Challenges
Existing and potential competitors. Global Marketing Challenges. New legislations:
Example: Legal amendments, which came into effect on January1-2006 under the Dutreil Law, have updated the French Commerce Code to redress the balance of power between manufacturers and distributors, while attempting to lower retail prices.
THANK YOU
Presented by:
Kenan Al Sayed
Anjad Qusaibaty
Muhannad Akkash
Abdel Rahim Abou Al Shamat