Sign Up Now
Get instant access to over 1 million+ study documents
OR
Already registered? click here to login
By creating your account, you agree to our terms of service, privacy policy and student honor code.
Thus Carrefour must do the following:
Inform the local government if problems arise in running the business
Understand local government's incentives and also its limitations
In the media, Carrefour should never disclose the preferential treatment given to foreign retailers. This will embarrass the state and can cause problems for the government.
Carrefour should also support government's policy of join venture and include locals in the expansion plan. This will allow the retailer to learn more about the buying habits of Chinese people. When a big retailer enters a nation with considerable psychic differences, it's best to include the locals and this helps in understanding cultural views.
Carrefour has successfully adopted localization strategy. However with such formidable rivals as the Wal-Mart, the firm should learn from its competitors and see if it really...
While Wal-Mart is all about low prices always, Carrefour offers discount on selected items at a given time. Chinese people love discounts and low prices. They are money savvy and hence any company offering lower prices with good quality is likely to cut through. Thus Carrefour should stay competitive by offering items at prices that Chinese customers would be attracted to.
It must also try to enter areas where Wal-Mart has not yet made its presence. This can allow for deeper penetration and larger share of market. It can also give Carrefour the advantages arising from being the first mover.
References
China Economic Review (2001) 'Carrefour faces possible restructuring', China Economic Review, September.
Chinaonline (2001) 'Wal-Mart awaits approval of first Shanghai store', Chinaonline 15 November http://english.sina.com/news/trade/2001/1115/trade.html
Repatriation of profits have proven to be a problem as well. Fourth, as stated by Staff (2004) is the challenge presented by poor training in the sector which is stated to be "...weak both at a practical level as well as at a higher strategic level" and the problem has only been exaggerated due to the government and other regulatory authorities in China to promote logistics programs." (Staff, 2004)
Pakistan and China Infrastructural Development and Labor Availability in Pakistan Pakistan is a third-world predominantly Muslim republic located in the Continent of Asia between longitudes 610 and 75.450E and latitudes 23.30 and 36.450 N. It borders China in the north, Afghanistan in the north-west, India in the east, Iran in the west, and the Arabian Sea in the south. It covers a total land area of 796, 096 sq. km, with
WMT Wal-Mart faces significant challenges in the Chinese market. There are many barriers to trade and issues that constrain the company from using tactics that proved successful in the United States. As a result, the company needs to balance being able to follow the classic Wal-Mart business model with being able to handle the unique characteristics of the Chinese market. Faced with these strategic challenges, Wal-Mart needs to have a human
Giants in Asia: The two largest retailers i.e. American -- based Wal-Mart and France's Carrefour have targeted the Asian market with varying results. These varying results have been realized despite of the fact that these two giants have provided large stores stocked with general merchandise and groceries. Notably, the entry of Wal-Mart and Carrefour into new national markets is basically a major shock to local retailers who have seen the contemporary
global strategy, retail giant Wal-Mart has a few different factors to consider, as is evident in the Newsweek article, "Wal-Mart World." Not only does Wal-Mart have certain factors that must be taken into account when considering their global strategy, but these choices differ from country to country. According to the article, "Wal-Mart is the No. 1 retailer in the United States, Canada and Mexico, growing rapidly in Asia, but still
Strategy & Decision Making Vision Wal-Mart has become a global corporation. The company's primary vision focuses on a more global presence and promotion of the organization's ethical culture across global stakeholders. The company's concept of a vision statement focusing on a culture of ethics is vital in globalization. The company has embraced diversity and culture in their global operations thus leading to a competitive advantage and good reputation. By promoting a culture