Carrefour Inventory Management Case Studies

The 21st century, China's economy has entered a world of economic globalization era, the rapid development of the retail trade, there has been a trend of the market economy has become an important component.At the end of year 2004, foreign retail companies develop very fast in China. Now, foreign retail companies are one of the most important parts in China retail trade. It stimulates foreign companies to invest to China's retail trade after China entered in WTO. More and more foreign retail companies develop in China. Recently, War-Mart of America,Carrefour of France,Parken Shop entered in China. They are welcomed to China's customers by good services, special sales skills, and now their marketing shares grow quickly.There are primary 7 styles in China marketing of foreign company: First is hyper market, stands by Carrefour,War-Mart; the second is warehouse; Third is Cash & Carry stores; the forth is department stores; the fifth is Convenience stores; the sixth is super market; the seventh is franchised store.At the view of strategy of foreign company in China, mostly have the following points: First is to develop hyper market. China's Engel's coefficient is much higher than America. But food super market and hyper market's marketing share is less than 10%, it stands we still have space. So foreign companies develop hyper market in China, such as Carrefour. Second is to extend to all Provincial capital and developed areas. Third is to create super center.Carrefour is one of the most development companies in those foreign companies. Form 1995, it entered in China developed very soon by its low price and good service. It is provides a good model to success in China.Though, it have large marketing share in China, about its inventory management still have some problems. So inventory Management is a key point to solve.