Metro Group has announced yesterday it is considering entry into two markets, Myanmar and Iran. Metro’s Cash & Carry business has been performing well, enjoying its 10th consecutive quarter of positive growth, with same store sales increasing by 0.2% in Q1 2015/16.
Following this, the Group is studying the feasibility of launching in Iran and Myanmar via its Cash & Carry banner, and will make this decision by the end of 2016. CEO, Olaf Koch said” Myanmar is benefitting from opening up politically and has high growth potential. We’re also examining what opportunities Iran will offer with the end of Western sanctions.” Both markets could offer significant long term growth opportunities for the retailer, with Asia an important growth region for the Group. However, Metro has recently recommitted to strengthening on its core markets, and disposing of anything superfluous to this, i.e. its exit of Vietnam in 2014. In order to remain focused on its core markets, it will need to consider this move carefully.
Source: Global New Light of Myanmar
