HomeLatest ThreadsGreatest ThreadsForums & GroupsMy SubscriptionsMy Posts
DU Home » Latest Threads » Forums & Groups » Main » General Discussion (Forum) » Lost in translation - Wal...

Thu Feb 18, 2016, 11:44 AM

Lost in translation - Wal-Mart stumbles hard in Brazil

When Wal-Mart Stores Inc. (WMT.N) first expanded into Brazil's midwestern farm-belt city of Campo Grande seven years ago, the economy was booming and executives were eager to open stores even in sub-prime locations on one-way streets heading out of town.

It didnít last. At the end of December, the U.S. retailer closed both of its Maxxi brand cash-and-carry stores in Campo Grande as part of a restructuring that shuttered 60 locations across Brazil, including some Supercenters. Shoppers said the stores could not compete on assortment, price or location.

"It was never clear who Maxxi was for. It wasn't cheap enough for the poor. But there was no appeal for the middle class," said Ordecy Gossler, 40, a public accountant filling his cart with cleaning supplies and toilet paper at Atacad„o, a rival chain run by France's Carrefour (CARR.PA).

Today, Wal-Mart has just one Supercenter left in this city of 850,000 people, whose demographic of thrifty shoppers had once seemed suited to the world's largest retailer. It shuttered the cityís other one at the end of the year, as traffic dwindled in the shopping mall it was meant to anchor.

The retreat from Campo Grande is emblematic of Wal-Martís broader issues in Brazil, a once-red-hot destination for foreign retailers and other companies that has turned stone cold. And the lackluster performance in Latin America's largest economy shows how tactics that helped Wal-Mart build success in the U.S. sometimes get badly lost in translation overseas.

http://www.reuters.com/article/us-walmart-brazil-idUSKCN0VQ0EQ?=rrpromo

1 replies, 695 views

Reply to this thread

Back to top Alert abuse

Always highlight: 10 newest replies | Replies posted after I mark a forum
Replies to this discussion thread
Arrow 1 replies Author Time Post
Reply Lost in translation - Wal-Mart stumbles hard in Brazil (Original post)
Blue_Tires Feb 2016 OP
dembotoz Feb 2016 #1

Response to Blue_Tires (Original post)

Thu Feb 18, 2016, 12:11 PM

1. maybe they are not drawn to a clothing brand called faded glory

i know i could never figure that out

Reply to this post

Back to top Alert abuse Link here Permalink

Reply to this thread