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Why Walmart failed in Europe?

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Thoughts on this video and its comment section? I think this is a very interesting conversation 

 

 

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3 minutes ago, glitch said:

Doesn't Walmart own Asda in the UK?

Sold it in 2020 I believe 

2 minutes ago, glitch said:

Doesn't Walmart own Asda in the UK?

they sold it in 2021 for basically the same price they paid for it in 1999 so they kind of flopped

Probably same reason why European supermarkets didn't take off in the US, there's no demand for more of them

the video was so long I didn't finish it so idk why it failed in Germany, but I'm guessing a big problem in Europe is each country is a lot smaller than the US. If you want to open a mammoth store then the costs of buying the land for it will be huge compared to in the US.

 

Plus the supermarket sector is mature with Tesco, Sainsbury's, Morrisons, Asda, M&S, Waitrose, Aldi, Lidl and probably some more flop ones that I can't remember right now. If they wanted to dominate Europe with their concept they should've launched it a long time ago

Aldi, Carrefour, Mercadona, Tesco are superior. 

 

Honourable mentions for Auchan,  Franprix, Marks & Spencer. 

 

Spoiler

Although, I've never been in an actual Walmart in the USA. I've been in an Asda in the UK and that had a small Walmart on the sign but it remained distinctly Asda / British. 

 

Mainland Europe has the best supermarkets, though. 

 

They're closing more and more stores in the states lately too, time might but up in the next 5 years

Because we have our own supermarkets already

The rivalry is tough

37 minutes ago, Gelato said:

they sold it in 2021 for basically the same price they paid for it in 1999 so they kind of flopped

Which means they sold it at a loss because of inflation. Yikes. 

we europeans love healthy food not filled with all kinds of harmful chemicals etc etc

  • Author
53 minutes ago, theboyismine said:

we europeans love healthy food not filled with all kinds of harmful chemicals etc etc

 

That has nothing to do with Walmart as they can't ship those foods and drinks from US that are forbidden by law in Europe due to harmful chemicals 

 

  • ATRL Moderator
2 hours ago, theweekend said:

the same reason why they failed in latin america

Walmart has more than 2800 stores in México and Central America.

36 minutes ago, Azulito said:

Walmart has more than 2800 stores in México and Central America.

*South America though

1 hour ago, theweekend said:

*South America though

They have 390 stores in just Argentina and Chile though.

Because Walmart is built based on a bulk-buy business model, and it's not really a thing in Europe as:

 

1. Most European cities have good public transportation systems and people don't use cars as much as Americans => it's impractical to buy and carry **** loads of stuffs from the supermarket.

 

2. Supermarkets are centrally located in almost every neighbourhood, for example, the closest supermarket is only 10-min walk from my house, why would I need to bulk-buy things? 

 

i used to kinda work for Walmart (corporate) and this always fascinated me. Walmart only successfully conquered North America and Chile for some reason. they tried buying stakes international chains but almost all of it failed. like previously mentioned ASDA in the UK, Seiyuu in Japan and Massmart in South Africa

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