Wednesday, 31st August 2011
In Business In Japan,
British supermarket pulls out of Japan
A leading British supermarket chain has revealed it is pulling out of the Japanese market.
Tesco plc has planned to sell its business in the country over the coming months because its efforts to make gains have not been profitable.
Recently appointed chief executive officer, Phil Clarke, expects the retailer to continue with business as usual until its formal sales process begins.
He said: "We have reviewed our portfolio in Asia and the performance of our business in Japan.
"Having made considerable efforts in Japan, we have concluded that we cannot build a sufficiently scalable business."
The group operates 129 small stores in the Greater Tokyo area, though it is still the smallest of Tesco's international retail businesses.
In Japan, the brand works under such names as Tsurakame, after its acquisition of the C2 Network in 2003, Tesco and Tesco Express.
Mr Clarke concluded: "I want to thank our colleagues in Japan for their continued dedication to the business."
Posted by Susan Ballion
Database updating - please try again momentarily.