Carrefour - One of the largest Hypermarket Chains in the World

Carrefour - One of the largest Hypermarket Chains in the World

Carrefour S.A. is a French multinational retailer headquartered in Boulogne Billancourt, France, in Greater Paris. It is one of the largest hypermarket chains in the world (with 1,395 hypermarkets at the end of 2009), the second largest retail group in the world in terms of revenue, and the third largest in profit (after Wal-Mart and Tesco). Carrefour operates mainly in Europe, Argentina, Brazil, China, Dominican Republic, United Arab Emirates, Qatar and Saudi Arabia, but also has shops in North Africa and other parts of Asia, with most stores being of smaller size than hypermarket or even supermarket. Carrefour means "crossroads" and "public square" in French. Previously the company head office was in Levallois-Perret, also in Greater Paris.

 

History

 

The first Carrefour store opened on 1 January 1958 in suburban Annecy near a crossroads (carrefour in French). The group was created by Marcel Fournier, Denis Defforey and Jacques Defforey and grew into a chain from this first sales outlet. In 1995 it merged with Promod s, known as Continent, one of its major competitors in the French market.

 

Marcel Fournier, Denis Defforey and Jacques Defforey had attended several seminars in the United States led by "the Pope of retail" Bernardo Trujillo, who influenced them to move forward with Carrefour idea.

 

The Carrefour group was the first in Europe to open a hypermarket, a large supermarket and a department store under the same roof. They opened their first hypermarket on 15 June 1963 in Sainte-Genevi ve-des-Bois, near Paris in France.

 

Carrefour's trading logo

 

In April 1976, Carrefour launched a private label Produits libres (free products libre meaning free in the sense of liberty as opposed to gratis) line of fifty foodstuffs, including oil, biscuits (crackers and cookies), milk, and pasta, sold in unbranded white packages at substantially lower prices.

 

In September 2009, Carrefour updated its logo.

 

In May 2011, Carrefour reviewed its situation under conditions of stagnant growth and increasing competition in France from rivals including Casino Guichard-Perrachon SA, and planned to invest 1.5 billion ($2.1 billion) to change the supermarket with the new concept of Carrefour Planet in Western Europe.

 

Slogans

 

French slogans

 

1988 2003 : With Carrefour, I'm positive (Avec Carrefour je suis positive)

 

2003 2007 : Energy Wise

 

2007 2009 : Quality for all

 

2009 2010 : Positive is back (Le positif est de retour)

 

2010 2011 : Positively every day

 

Since 2012 : Low in price... but high in trust (Les prix bas... La confiance en plus)

 

International Slogans

 

Carrefour Batu Pahat, Malaysia, which is located in Taman Flora Utama

 

Hypermarkets: "Choice and quality for everyone"

 

Hypermarkets: "Est bueno para vos" and "Los precios m s bajos, siempre" (Argentina), it means "It's good for you" and "The lowest prices, always" respectively.

 

Hypermarkets: "Ningu m faz melhor que o primeiro" (Brazil), meaning "Nobody does better than the first", referring to the fact that Carrefour is the world's first hypermarket and also Brazil's first hypermarket and to other Carrefour firsts, such as the "Lowest price or the difference back" policy.

 

Hypermarkets: "Carrefour, ch vere!" (Colombia), it means "Carrefour, nice!".

 

Hypermarkets: "Life, the way I want it"(Singapore)

 

Hypermarkets: "Untuk hidup yang lebih baik" (Indonesia), it means "For a better life"

 

Hypermarkets: "Pentru o via mai bun " (Romania), it means "For a better life"

 

Supermarkets: "The prices people want, close to home"

 

Hard Discount: "Grocery products at low, low prices"

 

Convenience Stores: "Just what you need, right next door"

 

Cash & Carry: "Proximity and accessibility for catering professionals"

 

Hypermarkets, Cash & Carry: " "(Cyprus) means "Every day, for you"

 

Hypermarkets: "Pozytywnie ka dego dnia" (Poland), it means "Positively every day"

 

French operations

 

The chain's Carrefour Hypermarket division has its head office in Courcouronnes, Essonne, France, near vry.

 

International operations

 

Albania

 

In November 2011, Carrefour opened its first store in Albania as part of TEG Shopping Center (Tirana East Gate) with the same rights as in the European Union and throughout the rest of Europe. Carrefour is integrated in the new shopping center in the same format as in other countries extending into a space of about 7000 square meters. Carrefour will have a policy of supplying imported products while promoting Albanian products, particularly agro-industrial ones.

 

Austria

 

In 1976 Carrefour opened a store in the Shopping City S d at the southern edge of Vienna. Due to limited success the store closed soon after. Courrefour has not made any other attempt at entering the Austrian market thereafter.

 

Belgium

 

Carrefour starts its internationalization and that's how the group is established in 1969 in Belgium with a strategic alliance with GB Group. Between 1970 and 2000 several formats work with multiple brands and names Carrefour GB, but only until 2000, the Carrefour Group takes over GB. So officially born Carrefour Belgium, but keep some formats GB, only until 2007 becomes official unification of its various formats and being in operation Carrefour and Carrefour Express GB. In May 2008, starts EcoPlanet Carrefour, also starts selling gas and green energy in the whole of Belgium. In 2009, the formats are established Carrefour Hyper, GB Carrefour, Carrefour Market and Carrefour Express. Furthermore, launches online shopping, In February 2010 Carrefour announced the elimination of 1,672 jobs and the closure of 21 stores and the possibility of acquisition of 20 stores by the group Mestdagh.

 

Bulgaria

 

From 2009 to 2011 in Bulgaria are opened five hypermarkets resided in Sofia, Plovdiv, Pleven, Varna, Burgas and Ruse.

 

In 2010, Carrefour and Marinopoulos Group, the largest group of retail in Greece, established a franchise company MSC Bulgaria to develop hypermarkets and supermarkets under the Carrefour banner on the Balkans.

 

Brazil

 

Carrefour in Brazil was founded in 1975 and today it is one of the major super markets of Brazil in competition with Wal-Mart, Groupe Casino and others and now sell more than 25 million products per year.

 

Bahrain

 

Carrefour has also opened a franchise owned branch in the Bahrain City Centre in 2008.

 

China

 

In 2007, expansion accelerated outside France, particularly in Asia, with the building of 36 new hypermarkets, including 22 in China where the Group broke its record for store openings in a one-year period. It was the leading foreign retailer in terms of sales figures, until 2008 and has since lost its No. 1 position to RT-mart.

 

78th store of Carrefour China ZhongShanPark, Shanghai, open 6 June 2006.

 

Egypt

 

Carrefour has 10 outlets under franchise in Egypt, which are often situated in shopping malls and frequented by the Egyptian upper class. The location in Alexandria was severely looted during the Egyptian Revolution of 2011. Another 8 outlets or more are coming in 2012/2013. Opened Hyper Markets: (Maadi City Center, Dadny Mega Mall, Sun City Mall, Obour Golf City Mall, Alex City Center). Opened Express Markets: (Maadi, Tiba Mall, Sharm-El-Sheik, Green Plaza Mall, Down Town Mall). Coming Hyper Markets: (Alex West, CFC, Shorouq, Capital Mall). Coming Express Markets: (Royal Plaza Mall, Dolphin Mall, Zezenya Mall, Alsaraya Mall).

 

Georgia

 

Carrefour has opened its first store in Georgia at Tbilisi Mall (newly opened shopping mall in the northern exit of Tbilisi) on 13 September 2012. Occupying approximately 12000 sq m.

 

India

 

Carrefour operates cash and carry stores in India under the name "Carrefour Wholesale Cash&Carry". The first store opened on 30 December 2010 in Shahdara, Delhi. This was followed by a store in Jaipur in late 2011 and one in Meerut in October 2012. Carrefour currently operates 3 cash and carry stores in India.

 

Prior to September 2012, the FDI policy in India did not allow foreign companies to open multi-brand retail stores in the country. However, 100% FDI in cash-and-carry was permitted in 1997. As a result most global retailers, including Carrefour, opted for the cash-and-carry route to establish their presence in India. The new FDI policy, allowing up to 51% FDI in multi-brand retail, came into effect on 20 September 2012. Following the change in policy, Carrefour managing director Jean Noel Bironneau, in a letter to Minister of Commerce and Industry Anand Sharma, expressed his "whole hearted gratitude to the Government of India for taking this great initiative". Bironneau called the move a "decisive step" and said that the company believed the move would benefit the Indian farmers and consumers positively in the long run.

 

Indonesia

 

Besides Carrefour stores, at the end of November 2011 Carrefour also has 5,670 Alfamart (IDX=AMRT) which mostly minimart, while at the end of December 2010 has 4,812 Alfamart.

 

Iran

 

In February 2009, Carrefour opened its first store in Iran in Western region of Tehran. It opened its second store in Iran in April 2012. this store located in Shiraz. Four other stores are to be opened in Isfahan (2012), Eastern region of Tehran, Mashhad and Tabriz.

 

Iraq

 

Carrefour is to open 5 stores in Iraq in the city of Erbil in 2011.

 

Jordan

 

Carrefour also operates in the United Arab Emirates and Jordan in a joint venture with Majid al Futtaim.

 

Kuwait

 

In March 2007, Carrefour opened a store in Kuwait in the Avenues mall.

 

Macedonia

 

In October 2012, Carrefour opened its first store in Skopje. The store is part of a brand new shopping mall (City Mall) that opened the same day in Skopje, the capital of Macedonia.

 

Morocco

 

Carrefour has 10 hypermarkets in Morocco, with the most being located in and around the Casablanca metropolitan area. Carrefour Maroc is a partner of Label'vie, a Moroccan supermarket chain. All the Label'Vie stores are transformed into Carrefour Markets. There are 30 of them widely spread around the kingdom. Carrefour is still expanding its presence in Morocco by opening more supermarkets and hypermarkets to face the settled competition like the Moroccan hypermarket chain Marjane.

 

Oman

 

In Oman, Carrefour opened a store in 2001 on the outskirts of the city of Muscat. And in 2008, another branch opened in Qurum. In May 2011 Carrefour opened a store in Sohar. The fourth Carrefour opened in March 2012 at Muscat Grand Mall. The fifth branch opens in Salalah in 2013.

 

Pakistan

 

Carrefour opened up its first store in Lahore, Pakistan in a joint venture with MAF in 2009 under the name of Hyperstar, and a second store in Karachi in 2011, with a third store under construction in the city.

 

Portugal

 

In Portugal, Carrefour retail sold their stake in Continente Modelo to Sonae for 345 million on 16 November 2004.

 

In 2008, Carrefour sold its Portuguese retail ventures existing under the Carrefour ensign to Sonae.

 

Romania

 

In 2011, Carrefour had a turnout of 1,007,000,000 Euro in Romania.

 

Saudi Arabia

 

Carrefour has 12 franchise operated hypermarkets in Saudi Arabia, with 5 of them being in the capital Riyadh itself.

 

United Arab Emirates

 

Carrefour also operates in the United Arab Emirates and Jordan in a joint venture with Majid al Futtaim.

 

Taiwan

 

In 1989, Carrefour became the first international retailer to establish a presence in Asia when it entered Taiwan through a joint venture with Uni President Enterprises Corporation. It leveraged the experience it gathered in Taiwan to expand into other Asian markets.

 

United Kingdom

 

Carrefour had several hypermarkets in the UK until the 1980s. They were located in Leyland,Caerphilly (Mid Glamorgan), Merry Hill in Dudley, Sutton Coldfield (Birmingham), Glasshoughton (near Castleford), Eastleigh (near Southampton), MetroCentre in Gateshead, Telford Shopping Centre (Shropshire), Boroughbridge (North Yorkshire), Swindon and Cribbs Causeway in Bristol. All stores were later acquired by the Dee Corporation, but continued to trade as Carrefour for some time before being converted to Gateway Superstores. Some of the old Carrefour stores in the UK are now branches of Asda, for example the Merry Hill store which opened on 1 July 1986 but was converted into a Gateway in 1988 and since 1990 has traded as an Asda.

 

As of 14 July 2011, a range of Carrefour's products are sold in the UK via Ocado.

 

Previous Operations

 

In 2006, Carrefour sold all 16 stores in Korea to E-Land and exited Korea. In the same year it also sold all 11 Czech stores to Tesco in exchange for 6 stores and two shopping centers in Taiwan, plus 57.5 million. In 2010, Carrefour announced a decision to leave Malaysia, Singapore, and Thailand. In November 2010, Carrefour sold its Thailand operations and kept its Malaysian and Singaporean stores. Carrefour had already exited Singapore's market since 30 September 2012. On 31 October 2012, Aeon Co. Ltd bought over Carrefour Malaysia and its subsidiaries for 147 million and being rebranded as Aeon Big.

 

Stores Per Region

 

Carrefour around the world. Current locations To be closed Former locations

 

Asia

 

Country First store Hypermarkets Supermarkets Hard Discounters Cash & Carry India 2010 4 1

 

2

 

China 1995 212 Indonesia 1998 70 15 Bahrain 2008 1 Japan 2000 7 Jordan 2006 1 3 Kuwait 2007 2 Malaysia 1994 26 5 Oman 2000 4 Pakistan 2009 2 Iran 2009 2 Iraq 2012 Qatar 2000 3 1 Saudi Arabia 2004 11 1 Syria 2009 1 Taiwan 1989 70 United Arab Emirates 1995 11 2

 

Africa

 

Countr First store Hypermarkets Supermarkets Hard Discounters Cash & Carry Egypt 2002 5 5 Morocco 2000 10 30 Tunisia 2001 1 2 1

 

Carrefour has left Algeria in 2009, and opened in Morocco.

 

Europe

 

Country First store Hypermarkets Supermarkets Hard Discounters Convenience Stores Cash & Carry Albania 2011 1 Belgium 2000 45 370 225 Bulgaria 2009 5 3 Cyprus 2006 7 8 France 1960 221 1,021 897 3,245 134 Georgia 2012 1 Greece 1991 28 210 397 216 Italy 1993 45 485 1,015 20 Macedonia 2012 1 Monaco 1 Poland 1997 84 277 5 Portugal 1991 365 Romania 2001 25 50 Spain 1973 172 115 2,912 3 Slovakia 1998 4 0 0 Slovenia 1998 15 12 6 1,98 2 Turkey 1993 73 99 519 United Kingdom 1972 Carrefour has 161 hypermarkets in Spain, the second most important country of the Carrefour group.

 

On 15 October 2009, Carrefour announced plans to sell its Russian business, citing "absence of sufficient organic growth and acquisition opportunities".

 

Americas

 

Carrefour has a presence in four countries in the Americas: Brazil, Argentina, Colombia, and the Dominican Republic. Carrefour is active in three types of retail distribution: hypermarkets, supermarkets and hard discounters, and entered the Cash & Carry market in Brazil, after the purchase of Atacad o. Carrefour was also active in Mexico between 1995 and 2005, when the 29 hypermarkets opened at the moment were sold to Chedraui.

 

Country First store Hypermarkets Supermarkets Hard Discounters Convenience Stores Cash & Carry Argentina 1982 59 103 395 Brazil 1975 150 38 300 5 34 Colombia 1998 70 24 4 Dominican Republic 2000 5 10 20 85

 

Store brands

 

8 Huit store in tretat Hypermarkets

 

Carrefour, Atacad o, Hyperstar.

 

Supermarkets

 

Carrefour Bairro, Carrefour Express, Carrefour Market (Formerly Champion as of 2008), Champion Mapinomovaoe, Globi, GB, GS, Carrefour Cafe, Carrefour mini, Gima.

 

Hard discount stores

 

Dia, Ed, Minipre o.

 

Convenience stores

 

Carrefour City, 5 minutes, 8 Huit, Marche Plus, Proxi (supermarket), Sherpa, D perd , Smile Market, Ok!, Express, Shopi (supermarket).

 

Cash & Carry

 

Carrefour Contact, Promocash, Docks Market, Gross IPer.

 

Carrefour City, Paris

 

Criticism and controversies

 

The Carrefour supermarket at Faa'a, Tahiti, French Polynesia

 

On 1 May 2007, more than 30 employees of the now closed Carrefour Ratu Plaza, Jakarta, Indonesia, were taken to the Central Pertamina Hospital (Rumah Sakit Pusat Pertamina), after being poisoned by CO2. The hypermarket was located on the mall's basement, which offered insufficient ventilation.

 

On 26 June 2007, the company was convicted in a French court for false advertising. The suit alleged that Carrefour regularly stocked insufficient quantities of advertised products for sale. In addition, the company was convicted of selling products below cost and accepting kickbacks from wholesalers. Carrefour was ordered to pay a fine of 2 million and to prominently and legibly display a notice in all of its French stores disclosing the false advertising.

 

In Carrefour Mangga Dua Square, Jakarta, Indonesia, a 5-metre high metal rack fell on top of a 3-year old boy, killing him almost instantly due to internal bleeding. Afterwards, the victim's family claimed that Carrefour has refused to meet with them to settle the case. However, Carrefour Corporate Affairs Officer denied this allegation

 

Carrefour has also received criticism for engaging in sweatshop practices.

 

On 7 May 2009, the French government asked a tribunal to fine Carrefour some 220,000 for more than 2,500 violations. Meat products lacked proper tracking information (more than 25% of inventory at some locations), and some products had incorrect labels such as meat products that "shrank" in weight by 15% after receiving labels. The chain sold products that had long since passed their expiration dates, including, in one case, packs of baby formula that had expired six months earlier. Some 1,625 frozen and refrigerated products were found that had been stored in warehouses at ambient temperature.

 

Boycott of supplies in China

 

A Carrefour outlet in Beijing, China, promotes the use of canvas bags as opposed to plastic bags prior to the 2008 Summer Olympics.

 

In April 2008, after the 2008 Olympic torch relay was disrupted by Tibetan independence advocates in London and especially Paris, where some protesters attempted to wrest control of the torch from torch bearers, Chinese activists have promoted boycotting Carrefour because of its French roots. The boycott of Carrefour in particular was further fueled by unsubstantiated rumours that a major shareholder, Mo t Hennessy Louis Vuitton, had donated to the Dalai Lama. In its response, Carrefour China stated that it does support the Beijing Olympics; and that they will never do anything to harm the feelings of Chinese people. Protests occurred in and around a number of Carrefour outlets throughout China, and anti-Carrefour advocates campaigned for a one-day boycott of Carrefour on May Day, a public holiday in China.

 

As a result of the boycott, Chinese search engines Baidu.com.cn and sina.com blocked access to Carrefour's website in China for a short time. Users searching Carrefour in China, were sent an error page indicating "The search result may contain illegal content, so we can not display the result." in Chinese.

 

Former stores

 

Former Carrefour store in Minoh City, Osaka Prefecture, Japan Former Carrefour store in Bangkok, Thailand Previous branch of Carrefour in Niter i, Brazil (will be replaced by an Atacad o branch)

 

Chile In 2004, Carrefour sold its 8 hypermarkets in Chile to D&S;

 

Czech Republic In September 2005, Carrefour sold to Tesco (the biggest UK retailer) 11 stores in the Czech Republic. Tesco paid 57.4 million as well as its stores in Taiwan. Carrefour had opened its first store in 1998 in the Czech Republic. The stores use the Tesco name and brand now;

 

Hong Kong On 18 September 2000, Carrefour closed its stores in Hong Kong after complaints from manufacturers about selling products (especially electronics) at prices far below those of its competitors. A company spokesman said at that time that the closures were due to "difficulties in finding sites suitable for developing its hypermarket concept and quickly acquiring a significant market share". Carrefour had entered the Hong Kong market in December 1996 with a store in Heng Fa Chuen and had later added stores in Tsuen Wan (Skyline Plaza), Tuen Mun and Yuen Long. Plans to open additional stores in Ma On Shan and Tseung Kwan O had been cancelled.

 

Japan In 2005, Carrefour sold its 8 hypermarkets to AEON Group;

 

Mexico In March 2005, Carrefour sold its 29 hypermarkets in Mexico to Chedraui. Carrefour had opened its first store in 1995 in Mexico, However, there were rumors he returned Mexico trough Comercial Mexicana stores;

 

Portugal Carrefour entered Portugal by buying its first stores in 1991 two Euromach hypermarkets, in Telheiras (a Lisbon neighbourhood) and Vila Nova de Gaia (suburbs of Porto); This chain was known to have very good quality products, mainly from French origin, when in July 2007 Carrefour sold all of its 12 hypermarkets and 9 fuel stations to Sonae for 662 million. Also included were 11 licenses for opening new commercial spaces. Nowadays only the 365 hard-discount supermarkets (Minipre o) are supported by Carrefour in this country, not included in the takeover.

 

Russia Carrefour entered Russian market in Summer of 2009. In October 2009, only a month after it opened its second hypermarket in the country, Carrefour announced it was exiting Russia.

 

South Korea In 2006, Carrefour sold its 32 hypermarkets to E-Land. The stores have been re-branded as Homever.

 

Switzerland In August 2007 Carrefour sold its 12 hypermarkets in Switzerland to Swiss retailer Coop for $390 million;

 

Thailand Carrefour's business in Thailand was sold to Big C Supercenter Public Company Limited, the owner of Big C hypermarket stores in Thailand. The transaction is completed in March 2011, with the Suwintawong branch being the first changed brand store from Carrefour to Big C. Carrefour entered the Thai market in 1996.

 

United Kingdom Carrefour had several hypermarkets in the UK until the end of the 1980s. The first of these was opened in the early 1970s in Caerphilly, South Wales. Subsequent outlets were opened at Merry Hill, Dudley; Sutton Coldfield, Birmingham; Glasshoughton (near Castleford); Eastleigh, Hampshire; MetroCentre (Gateshead); Telford Shopping Centre, Shropshire; Boroughbridge, North Yorkshire; Swindon and Cribbs Causeway in Bristol. All stores were later acquired by the Dee Corporation, but continued to trade as Carrefour for some time before being converted to Gateway Superstores. Today many of the old Carrefour stores in the UK are branches of Asda, notably the branch at the Merry Hill store in the West Midlands; it had opened in July 1986 as one of the complex's first tenants, only to become a Gateway when Carrefour pulled out of Britain in 1988; it became an Asda in 1990 when Gateway withdrew from Merry Hill. In 2011, they returned to the UK market via a supply deal with Ocado.

 

United States Carrefour opened hypermarkets in Philadelphia and Voorhees Township, New Jersey, in 1988 and 1992 respectively. Both stores closed in 1994. Some associates wore roller skates to facilitate moving about the large building. The Voorhees location now houses a Kohl's department store, a Raymour & Flanigan furniture store, and a Marshalls discount clothing store. The Philadelphia location (within the Franklin Mills Mall complex) houses a few stores, including a Walmart, which will close and move to the main Franklin Mills complex later in 2011, and Dick's Sporting Goods.

 

 

 

 

 

 

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