Carrefour, a French supermarket chain that expanded into China in 1995, faced several problems with their expansion including increased equipment and store concept costs, supply issues, and inefficient management. They also struggled with reducing operating efficiency, increasing energy costs, and lack of environmentally friendly practices. The document recommends Carrefour focus on store design and operations, integrating local preferences, and improving quality, deadlines, and approval processes. It suggests initiatives like pilot green projects, preventative maintenance, organic products, and using solar panels and efficient energy systems to address issues and increase sustainability.

1. CARRE
FOUR
EXPANSION
PROBLEMS
POSITIVE
SOLUTIONS
/
RECOMME
NDATIONS
1. INTO CHINA IN 1995
2. TOOK OVER TRADITIONAL MARKETS
3. 73 SUPERMARKETS IN 29 CITIES
4. CAME UP WITH “CHAMPION” & “DIA CONVENIENCE” STORES
5. PLAN TO OPEN MORE THAN 220 STORES BY 2014
IIINCREASEDEQUIPMENT
COST AND STORE
CONCEPT
NON FAMILIAR
SUPPLIERS
DELAY IN NEW STORE
OPENINGS
SERIOUS REPAIR &
MAINTENANCE ISSSUES
UNEFFICIENT
MANAGEMENT
REDUCED OPERATING
EFFICENCY
INCREASING ENERGY
COSTS
NON ENVIRONMENTAL
FRIENDLY ATMOSPHERE
NO CORPORATE
STRATEGY
LIMITED KNOWLEDGE OF
GREEN STD’S/MATERIALS
NO EXPERTS NO CONVINCTION IN
GREEN PHILOSOPHY
“GREEN WASHING” MANAGING WAS MORE
COMPLEX
LIMITTED CHOICE IN
CHINESE MARKETS
TECHNICAL ISSUES,
INTERNAL COMPETITON
& PERCEPTION
PROBLEMS
1. FOCUS ON STORE DESIGN AND OPERATIONS
2. MIXTURE OF STORE CONCEPT WITH LOCAL PREFERENCE AND FRESHNESS
3. PREFERENCE FOR FRESH PRODUCE
4. FOCUS ON QUALITY AND DEADLINES
5. QUICK PROCESSING AND APPROVALS OF STORES
IN-STORE PILOT PROJECTS, PREVENTIVE
MAINTENANCE IDEOLOGY, LAUNCH ORGANIC
PRODUCTS, THEME ON “ GREEN CONSERVATION” IN
STORES, USE OF SUFFICIENT LIGHTING AND HEAT
SYSTEM, SOLAR PANELS, EFFICIENT ENERGY
MANAGEMENT SYSTEM,
FLEXIBILITY OF EQUIPMENT
MOVEMENT BETWEEN
DIFFERENT STORES AS EFFICIENT
AND SUFFICIENT SUPPLIERS WHO
WORK ON LONG TERM
RELATIONSHIPS
CENTRALIZAT
ION &
STANDARDIZ
ATION OF
EQUIPMENTS
ENHANCE
QUALITY TO
REDUCE COSTS
ORDERING
PROCESS
IMPROVEMEN
T
DEVELOP
LOCAL
ENGINEERING
TEAM TO
SPPED UP
CONSTRUCTIO
N TIME
Focus on:
1. Low Energy Use
2. Water Recycling Systems
3. Intelligent Integrated Design
4. Material Use Efficiency
POTENTIAL
PASSIVE
ENERGY
SAVING
MATERIAL
SAVING
MEASURES
10-15%
MONTHLY
SAVINGS