Retail Industry News
Retail giants compete for dominance in modern market
Monday, 31, May 2010
Only less than a month after taking over a majority stake in Carrefour Indonesia, tycoon Chairul Tanjung unveiled his plan to enter the country's growing minimarket business.Chairul, who owns the expanding Para Group, is targeting to open 10,000 convenience stores in 10 years through the business group's retail unit PT Trans Retail. His entry in the retail business has raised pros and cons.Retail analysts consider his business expansion into the country's massive retail industry as normal practice from an investor who sees the retail industry has not been fully untapped.
Indonesia, with its high population and growing middle class, is among the most attractive retail markets in the world. No wonder the competition in the country's retail market is getting fiercer day by day.This year, minimarket chain Indomart is targeting to open 750 new outlets while its main competitor Alfamart plans to open 600 new outlets. Both minimarket chains operate their outlets through franchising contracts.In the bigger market segment such as in hypermarkets and supermarkets, the competition is also growing, especially between Matahari, the operator of Hypermart, and Carrefour.
