Carrefours Exit from Japan Case Study Example | Topics and Well Written Essays - 500 words

intersection points Exit from Japan - Case Study ExampleIt is plainly clear from the discussion that one of Carrefours criteria for entering a new market is that small-scale rationalization and reorganization were not in effect and that large-scale compass supermarkets were absent from the market. However, at the time of entry, Japan already had large-scale special discount stores for clothing, electrical appliances or furniture. With strong competitors in the market, it would have been difficult for Carrefour to establish a strong entry presence. When Carrefour entered the Japanese market, the real estate prices were high. Carrefours global store strategy of obtaining a large amount of basis seat at a low price to provide wider space, free parking and one-stop shopping options for its customers did not meet its objective. Another Carrefour marketing criteria were to quip fresh products at very low prices and with high-value additions and an array of choices. After entering the market, the company followed its basic strategy of purchasing directly from the producers to keep buying be low. However, the concept of Everyday Low Prices was not feasible in Japan as the customers were accustomed to frequent shopping and buying goods in smaller quantities to because of space restraints at home. Also, the Japanese were also very quality and fashion conscious and low pricing products did not convey that message.