US supermarket giant Wal-Mart, already No. 1 in the world thanks to its global operations, is reported to be planning further expansion in Europe and entry into Italy – and may do so even through strategic partnership with established outlets.
Go deeper with GlobalData
“We are a group with strong global vocation,” Wal-Mart Chairman and CEO John Menzer is quoted as announcing in Italy’s main business daily newspaper Il Sole 24 Ore yesterday [24 June]. “Europe is strategic in our development plans.”
Pete Netzel, company Vice President for International Food Merchandising, is reported as saying that Wal-Mart is in the process of evaluating opportunities in Italy, adding that the company is open to the idea of partnership without full control.
Possible entry by Wal-Mart into the Italian supermarket business is bound to cause an upheaval in a sector in which foreign companies are already prominent and hold 50% share of the market, principally through Auchan and Carrefour. The Italian business daily, reporting from a meeting in Prague, said a new round of price wars is likely if Wal-Mart enters the sector.
Il Sole 24 Ore said senior Wal-Mart officials declined to name specific targets or potential partners.
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Thank you!
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form
By GlobalDataWal-Mart, offering steep discounts and its overall sales reaching US$200bn, is said to have doubled its turnover in the past five years due to its international operations.
By Hilmi Toros, just-food.com correspondent
