Carrefour SA is in the first phase of the expansion in Africa; Analysts at the Group believe there is huge profit potential for Woo the retailer. In the past, retail companies bother spread to Africa due to the lack of distribution networks and available real estate. But Carrefour seems to have solved this problem; They formed a partnership with CFAO SA, the largest provider of cars, trucks and pharmaceutical products in Africa. Carrefour is now planning to open outlets in eight African countries by 2015.
CFAO, the company's property, of which 55% plan to generate 1 billion a year in 10 years from the joint project and shopping centers that it has planned. "The venture will benefit from an increasing number of Africans who are a one stop shop with modern amenities such as cooling. The challenge is to create distribution channels, but with local connections to Governments and corporations recommended CFAO s will greatly facilitate the process, "said Dr. Lian Cheung, head of the analysis of the investment.
Carrefour shares are nearly 70 percent since took over as CEO last year Geroges Plassat, stimulated by leaving the markets, especially Greece and Colombia and ' promises to focus on key markets in particular France. While expansion in Africa unlike recommended Plassat s strategy can seem, it reduces the risk for strong partnership with CFAO Carrefour.
Their first joint project later this year will start in Côte d'Ivoire and 2015, according to a statement by CFAO to perform. Outlets are also planned for, Nigeria, Ghana, Cameroon, Congo, Gabon, Senegal and the Democratic Republic of Congo.
The largest 18 cities in Africa will have a combined purchasing power of $ 1.2 trillion in 2030 compared with France recommended s estimate of 539 billion, according to the Group Woo, Carrefour has more than 4,500 stores in France, which means that there is the potential to open hundreds if not thousands of outlets in Africa. The continent is significantly lacking in retail options. A considerable part of the population has the means to buy music from these stores, but the shops are not there.