Metro Cash & Carry: Profitability in the Indian Market

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Metro Cash & Carry: Profitability in the Indian Market

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Publication Date:
July 15, 2020

Industry:
Retail & Consumer Goods

Source:
Ivey Publishing

Metro Cash and Carry India Private Limited (Metro C&C) was a chain of wholesale stores owned by the German retailer Metro Group, which opened its first store in India in the southern city of Bangalore in 2003. By 2018, the company led the cash-and-carry segment of the Indian wholesale market, but was still not profitable. It faced challenges related to high real estate costs, competition from domestic and international wholesale firms, and competition from a strengthening e-commerce sector. Its most important customer segment-small, unorganized retailers, or kiranas-faced similar challenges. With considerable investments in the country, Metro C&C needed to develop a strategy to become profitable in the country after 15 years of operations. How could it build active engagements with different customer segments to improve its performance and turn a profit?

Rakhi Thakur is affiliated with SP Jain Institute of Management & Research.

Copyright © 2021 Harvard Business School Publishing. All rights reserved. Harvard Business Publishing is an affiliate of Harvard Business School.

Metro Cash & Carry: Profitability in the Indian Market

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