Another famous chain, retreating from Poland. Going just announced the British Marks&Spencer. To close 11 stores and fired all employees. The decision of the parent company. Or brand of your company will turn into a grocery store?
according to a press release, Marks & Spencer now wants to talk about the release of the band staff. This is the effect of inspection 466 foreign chain stores. In Poland were analysed business activities in the last five years.
- Our activities in Poland, is untenable. We are aware of the impact of a proposed in Poland changes on our employees and you want to get their feedback about our proposal – said Jonathan Glenister, regional Director for Europe, China and India in marks & Spencer.
the Review related results and potential of each of the foreign markets of the group. He showed that international activities, Marks & Spencer can be divided into two parts: its own activity, which in many markets brings losses, and cost effective franczyzową, which last year generated a profit of $ 87 million pounds.
last year, the activities of the own group on ten markets yielded a loss of $ 45 million pounds in revenue is 171 million pounds, and some markets brought losses over the past five years. The report says that it was caused by many factors, including fragmentation of its own stores and the insufficient scale of activity. In addition, opportunities for future growth in these markets is limited.
In the last quarter, the company also showed the biggest decline in sales in the mods section of the crisis in 2008. Russia is not the only country where shops are closed. In General, it will happen 53 companies in ten countries, in particular China, France, Holland or Belgium.
the Costs associated with the reduction in the number of stores could reach 150 to 200 million pounds. This is the cost of paying penalties for early termination of leases for real estate and registration for employees. At the same time in September Marks&Spencer announced the closure of its office in London. Job lost more than 500 people.
a Few days ago the company announced that it intends to limit its activities in the field of clothing sales. Instead, he wants to focus on their food stamps and continue to develop them. Plans are also opening in a few years 200 small grocery stores.
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