The Financial Times reports that the world’s second largest retailer, Carrefour, is pulling out of Russia just four months after opening its first hypermarket there. The company said that it was withdrawing because of the “absence of sufficient organic growth prospects and acquisition opportunities in the short-and medium-term.”
Carrefour opened a second store just last month. As recently as last week, it denied that it was considering pulling out of emerging markets such as Russia.. Management says that it is not planning to pull out of any other markets, though it is always in the process of evaluating its portfolio.
Walmart has long been rumored to be interested in Russia, but has not made a move there.
Carrefour opened a second store just last month. As recently as last week, it denied that it was considering pulling out of emerging markets such as Russia.. Management says that it is not planning to pull out of any other markets, though it is always in the process of evaluating its portfolio.
Walmart has long been rumored to be interested in Russia, but has not made a move there.
- KC's View:
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Hard to believe, but apparently Russia is a tougher market for Carrefour to business in than Philadelphia, where the French retailer actually lasted about five years.
I would have put my money on Philly. Go figure.
