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 - worlds 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 AkkashAbdel Rahim Abou Al Shamat