2. METRO CASH AND CARRY
METRO opened its first cash & carry wholesale center in Pakistan in 2007 &
expanded to 5 wholesale centers in a short span of 18 months. In July 2012
METRO and Makro-Habib combined their wholesale business in Pakistan
marking the beginning of a long-term partnership to the mutual benefit of both
companies. The company has a simple and efficient concept of cash & carry
wholesale business.
3. LOCATION OF NEW
BRANCH
After a survey, we found one of the best possible location for the
METRO Cash and Carry that is “RAIWIND ROAD”. It is right down
the southern end of the city. Approximately,15 km away from Thokar
Niaz Baig, Lahore.
Apparently, it looks a bit less developed area but certainty contains a
huge potential for any big department store.
4.
5. REASONS OF SELECTED LOCATION
The population of Lahore is spreading thick and fast specially to the southern end
of the city.
There are so many famous housing societies like Bahria town and lake city which
are trying to make lavish livings which opens up the huge trend of quality
shopping.
The cost of land and its registration dues are lower which could save a handsome
amount of capital.
The people which are living near this area are financially healthy so they would
prefer quality shopping under roof.
6. PROS AND CONS
ADVANTAGES:
This area contains very wide and comfortable roads which will make life smooth
for the visitors.
It will also attract the whole sellers due to less distance.
It will help in the development of whole area which will definitely increase the sales
of METRO Cash and carry.
The reasonableness of METRO rates will also drag the nearby village people to
shop and at the same time civilized themselves.
Availability of labor.
7. Less populated (under construction)
Industrial area
Entrance of competitors (e.g. Hyper star)
DISADVANTAGES
8. CRITICISM
A criticism was raised that as RAIWIND road is a less
populated area and due to less population there will be
low sales and low profit generation and the entrance of
competitors can be a threat.
9. RESPOND TO CRITICISM
As this location strategy is for the after 4 to 5 years plan, during this time period the
area will become:
more populated
societies will be developed
High value property
high class and luxury living standards
Developed goodwill
Availability of skilled and talented labor
Increase productivity