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Metrolong entered China to expand the market in 1996. By 2019, there were about 95 stores. After the French National Carrefour, another wait-and-see exit from China. “Time change” brings internal mechanism strain, and it should be wise to make this decision.

Wumei and Metro is a new attraction for domestic brands to take over overseas brands. With the rapid and profound changes in market influence factors, such cases should not be over. How to dock and do a good job of international integration is not only the Wumei Group, but also the strategic issue of all Chinese retail brands.

The growth rate of the domestic retail market has declined significantly in recent years, around 2011 After the year, the amount of consumer income is close to the peak, coupled with the complexity of the influencing factors, the economic indicators are not optimistic, and the consumption indicators are also embarrassing (see chart). The strategic integration of this season is easy to cause association.

I. Value Tool Identification

The transaction between Wumei Group and Metro is undoubtedly two-way satisfaction at the level of the value tool. The expected value of the transaction and the expected value of the two parties have been made clear in the media-oriented press conference:

First, Wumart Group can use Metro’s international supply chain management, especially food traceability standardization tools, to deepen the level of specialization and standardization.

Second, Metro can use the material data products of Wumei, including multi-point and service methods for C-end customers, from familiarity with wholesale business to new retail market with relatively fast dataization in China.

Third, Metro, as an international retail group, is not very suitable for the upgrade of the Chinese market. There are certain problems in the store’s freshness change, performance growth, and the use of data tools, which need to be changed.

As a management of overseas business projects, Metro relies on the balance of corporate income, brand promotion and international strategy to adopt a territorial cooperation approach. One is to win relatively high capital returns, and the other is to win a well-known German retail. The brand’s expansion opportunities in China, the third is to retain a certain team and brand operating qualifications, for the next expansion or a complete retreat, retaining a good flexibility. From the perspective of the independence, innovation and rigor of German traditional values, Metro’s strategy of this business can be regressed and in line with the values ​​behind it.

Second, value resource sharing

Value resources can be discussed in many aspects. Here are only three points: manufacturer performance, qualification credit, and logistics channels.

The mergers and acquisitions between companies are easier to reach in the short-term value tool operation, and they agree with each other at the negotiation table, whether it is in China or other countries. , has similar characteristics.

Advanced level analysis, that is, at the level of value resource sharing, began to encounter challenges. These include:

First, the contract management of the manufacturer. Large-scale integrated retailers, the manufacturers in the upstream supply chain are very complicated, and their contract control, performance monitoring, monitoring and evaluation, every point is a difficult task that is not easy to be effective. In particular, it is strongly advocated for the current brand and innovative market mechanism. In the fast-moving consumer goods market, especially the food processing market, including daily business such as cooperation account period and timely and accurate settlement, how can the parties coordinate and ensure product safety? And the common topic facing social supervision.

Second, the effective management of product credit. Simply put, the product batch test report, the product formula real material, the safety of the product components and other indicators, obtain a fair and legal qualification test report, is a seemingly simple, easy to implement problem, the internationalization Although the production supervision enterprises have problems, the risk probability is low. Compared with the market system of credit rating and regulation in China and Germany, there are considerable differences in safety qualifications and credit management. Wumei Group of the Wumei Group clearly stated in public and internal information that it will use Metro’s product standardization and traceability system to introduce Metro’s management methods to enhance the management of Wumei Group. The author is optimistic that in the process of investing in specific operations, consumers can enjoy and consume as much as they like German sausages and German beer.

Third, data distribution system. Among Metro’s logistics distribution systems, a considerable number of international brands are derived from international channels. It is believed that Wumei Group will use Metro’s international channels to improve its logistics and distribution methods. It is also possible to install its own in Metro Logistics. Data system.

It is worth noting that after relying on the means of data, the two sides will integrate the business of logistics distribution, warehouse turnover monitoring, omni-channel deployment, storehouse allocation, etc. What kind of cooperation policy is adopted, involving both customers’ positioning and information. System level and other previous level of integration, it is said that the initial attempts at the two stores to cooperate, I hope to show the strength as early as possible.

Three, value integration

The integration of values ​​mainly refers to the integration of business strategy ideas and the guiding ideology behind them. The integration of values, whether in a cultural system or a cross-cultural system, there are relatively large obstacles in the integration and cooperation of the core layer. In this respect, Wumei Group and domestic brand cooperation have good experience and formation. A certain accumulation. Cooperation with international brands, especially with the METRO Group, which has a certain foundation and brand management norms, how to achieve recognition and integration in value, this is a deep concern. The abstract analyzes the following three links.

First, role conversion

The adaptation and transformation of business roles is the first issue after the manager level contact. In the early stage of integration of many enterprises, the manager level can not adapt and complete the role conversion, so they have to leave. How can we adopt a strategic vision that is highly recognized by each other in the context of the Chinese market, and form the role fusion and transformation of decision-making and managerial levels. For example, Wumei’s management managers can conduct strategic evaluation from Metro’s perspective, and Metro’s managers can From the perspective of Wumei, fully understanding the unique attributes of the Chinese market will help eliminate the psychological impedance of the team, smoothly complete the running-in, realize the role transformation, and open up the psychological barriers at the deep level of teamwork.

Second, team inertia

The inertia of team management is formed by the habit, and it is difficult to say right or wrong, but the initial imprinting and circulation habits are difficult to change. There are two cases in the Japanese retail industry worth mentioning, one is the Mitsukoshi Isetan Group.

The team of Mitsukoshi Department Store has its own qualifications and strong superiority. After the integration of Mitsukoshi, Isetan Department Store hopes to use its own fashion and fast pace to promote the management of Mitsukoshi Department Store. The actual situation is that the relationship between the teams has been running for a long time. status. Corresponding to this is Daimaru Matsuzakaya Department Store. In the 2000s, Matsuzakaya Department Store noticed the transformation of Daimaru Department Store early on, and hoped to cooperate with Daimaru Department Store strategically. However, Daimaru Department Store did not rush to integrate. After several years of precipitation, it was driven by transformational performance. The Matsuzakiya team made the other party fully agree with the business philosophy of “going to the department store” of Daimaru Department Store. After the integration, the cooperation within the group is quite enjoyable.

The Wumei Group and the Metro Group are each a strength group. The decision-making level values ​​and cultural differences are obvious. The internal management mode and management operation means seem similar. In fact, the oral language is consistent, and the implicit language of the brain memory is not.It will be easy to integrate, the team’s inertia will be inevitable, and we hope to complete the process cooperation in a short time.

Third, values

The German educator Herzog said that compared with the German East and West values, in the eyes of outsiders, the main difference between the two regions is the economy. In fact, it is only the appearance, and the biggest and irreparable gap is in the mind. From the perspective of the thinking and values ​​of the two regions, they are basically two kinds of people. The westerners advocate freedom, independence and innovation, while the easterners are obedient, dull and nostalgic. What works in the west is implemented in the east. It is very difficult and the values ​​are not really integrated. Concentrated and conservative thinking mode will have subordinate or collective unconscious inertia resistance in the expansion of business strategy.

The integration of business values ​​and the idea of ​​business strategy can be brought together, which is the core issue. In the international arena, more than 70% of enterprises integrate, there are deep-seated values ​​and ideological conflicts.

As mentioned above, the current retail market in China is generally cold, and the growth rate of total sales continues to decline. The price index has continued to increase rapidly in the past three years. Since 2017, consumption levels and spending power have been steadily declining. With the rapid rise of new online retail platforms and diversified diversification, the physical retail industry is facing a severe situation. Under such a background, how does Wumart ensure The continued recognition of the METRO Group at the level of cooperation and values ​​requires a deep integration between the next three to five years. In other words, will the Metro Group adopt a strategic policy of evading retreat or persisting in cooperation in the next three to five years? Wumart Group’s measures to expand its stores on a large scale, how to balance the commercial real estate platform and retail platform, ensure the safety of capital and ensure the efficient response of the omni-channel product line? It is not good to speculate and needs further study.

The expansion of the retail industry should increase the dialogue capacity of its own supply chain and product platform, and it has a strong competitive value in the traditional retail platform discourse system. In today’s network dataization, the channels of commodity procurement channels and distribution gradually form an international refined pattern. If sales efficiency cannot significantly improve consumer awareness and transaction products cannot be transformed more smoothly, consumers may use the intelligence in their hands. The platform, jumping to the site of product differentiation and personal value utilization, is obviously a new era of consumption with different nature. Such consumption stimulation, to a large extent, has intensified the cooperation relationship of retail enterprises. For example, in the United States, Wal-Mart’s panoramic view, in the first half of this year, more than 9,000 retail enterprises closed, more than last year’s data.

From the current situation, most of the physical retail stores face fundamental problems such as oversupply, aging products, and insensitivity to turnover. Many companies have even accumulated difficulties. I hope that Wumart Group will use the exclusive data-based tools to systematically improve the efficiency of the whole chain, and start with the improvement of the store image that customers can see. Together with Metro, we will create a new generation and even an inter-generational store image, and open up a unique new retail. Xintiandi.