Abstract

The case is about Carrefour`s attempt to enter the Japanese retail market in 2000. It`s divided into two parts. Main character of the first part is Mr. Loic Dubois, CEO of Carrefour in Japan and is situated from 2000 – 2004. Carrefour entered Japan with a strategy that worked well in Europe: offering food and non-food European/French products in huge portions on a large sales area for discount prizes. To achieve low prizes in France, Carrefour built it`s hypermarket in suburban areas, close to highways on cheap land. Further, Carrefour purchased goods directly from producers, which was possible because of their high bargaining power in France. In 2004, Carrefour ran 8 hypermarkets (instead of the original planned 13) and had a market share of only 1.4%. That year resulted in an estimated loss of € 235.9 million. At the end of part one Carrefour received a take-over bid from one of it`s biggestcompetitor, AEON. The students now have to step into Mr. Loic Dubois`s shoes and write a recommendation to the Board of Directors in Paris regarding the future of Carrefour Japan. Part two is situated in 2012. Carrefour was finally overtaken by AEON, which ran the concept of Carrefour`s hypermarkets under its own name but with a modified product offering. The second part gives insights to AEON`s product offer strategy by conducted interviews and an observation made in one of these hypermarkets. Part two should be handed out to students after they answered the questions of part one.

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