Carrefour Hypermarket Iraq Branch Essay

Paper Type:  Argumentative essay
Pages:  5
Wordcount:  1254 Words
Date:  2022-05-16


Carrefour hypermarket is a multinational French retail hypermarket that exists in over 30 countries in Europe, Asia, America, and Africa and it has 12,000 stores across the globe. In particular, the retail operates in countries such as Argentina, Brazil, Columbia, China and the Dominican Republic among other countries around the world. The retailer is headquartered in Boulogne Billancourt, France and it is wide enough to accommodate over 360,000 employees worldwide offering a variety of products including over 100 million consumer households worldwide. Furthermore, in 1985, Carrefour hypermarket launched its new products to the market and more than 100 billion Euros sales were met in 2016 from all its forms of stores including Hypermarkets, supermarkets convince and cash & carry stores. Carrefour has its origin in the 1960s where it started as a supermarket set up by the Fournier, Badin and Defforey families who operated a discount supermarket in Annecy. In 1976, Carrefour hypermarket launched its private product line that included over 50 foodstuffs like milk, biscuits, and pasta.

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The organizational structure for Carrefour

Carrefour Hypermarket's general organizational structure encompasses a hierarchical format with much practical managerial organizational configuration the plan of the organizational structure is arranged in a manner that the chief executive officer (CEO) appears at the top of the hierarchy. Under the chief executive officer is the team of three officials that includes the chief finance officer (CFO), Director of marketing and Merchandise as well as the Director of organization and systems. Here, the CFO is found in between the operational divisions.

Additionally, below the functional divisions, are the directors of specific global zone or region where the hypermarket has branches. An expanded committee of directors of specific countries appears just below the zonal directors. Therefore the general organizational structure of the Carrefour encompasses the chief executive officer, the chief financial officer, director of marketing, director of organization and systems, directors of specific global branches of Carrefour and committee of directors from specific countries. The overall organizational strategy of Carrefour hypermarket is unique in that the strategist aims to acquire a large market share across the globe by supplying a wide variety of goods at a lower price.

The firm has also ensured availability of all types of product quality. In all stores across the world, every product is available under one roof and it has its own product brand. According to Lars Olofsson the chief executive of Carrefour, in his speech, Carrefour strategic plan in Kurdistan region, in 2012 after looking at different sectors of the economy, the company decided to major I retail. Therefore in 2012 Carrefour signed a strategic franchise agreement with Aachen, the second largest hypermarket chain in France. The franchise agreement was a growth and expansion strategy which facilitated the opening of another hypermarket in 2014 where the retail company is looking forward to opening another branch through the franchise in future.

According to Abaza (2003), Carrefour hypermarket started five years ago and at the moment the firm has 5 stores having employed over 2000 employees across Iraq. These achievements have resulted from the strategic planning and managing the hypermarket. One of the strategic planning that facilitates the success of this company is the expansion strategy that attracts consumers to the firm. First, initially the size of Kurdistan hypermarket was between 5000 and 15000square meters. However, McKinney,(2008), the management defined the business model by increasing the hypermarket space to 10,000 square meters and an additional 15000 packing sports where the business offers food and non-food materials to its customers.

The hypermarket values bold and passionate where it has invested in certain strategies such as having its own brand of over 50 products offered under the same roof. Moreover, the retail company aims to its market share, therefore, it offers quality products at lower prices to its customers in Iraq. In the speech that was released by the hypermarket chief concerning the company expansion strategies, he reassured investors that the company intends to increase the discount rates for their products in-store and create value for both the investors and the company.

Product differentiation is another organizational strategy utilized in Carrefour hypermarket. While marketing its products, similar products offered to the consumers with minor variations through packaging or any other means to meet customer choices, taste and preferences. Through product differentiation strategies, the firm is likely to meet specific consumer demand hence increase brand sales and profit margins.

The retail company, in its human resource strategies, acquires its personnel locally where 95% of its employees come from Iraq. The company further offers all kinds of training to its employees in different departments with an aim of nurturing future leaders of the company and advance company values. Also, the company comprises of a management process for marketing its products. Goods and services pass through a marketing process as they move from concept to the customers. The process involves the coordination of the which includes seven elements termed as the 7p's of marketing which involves people, process, physical environment, product, place, price, and promotion Mahdi et al. (2014).

Carrefour hypermarket has achieved a lot among the global retail business Kok, (2014). The company has managed to be among the top retail hypermarkets internationally taking position two as far as organizational size, operations, and market share among other factors are concerned. The company contributes to the dynamics of the local economy. This has been achieved through Carrefour's collaboration with economic transformation programs of the Governments across the world. It has also achieved a lot through its corporate responsibilities where it offers training to the local employees and nurtures the future company leadership among other achievements. The overall view of this retail company is an impression of management efficiency and proper strategies that capture the global retail market appropriately and ensures company success.

However, there are other factors that need to be streamlined in the retail company in its operation strategies particularly its management in the human resource. There is need to attract foreign experts and personnel to the firm by recruiting employees from all parts of the world. Diversification of human resources brings about organizational change and development. Apart from the human resource management strategies, other retail management strategies are of essence and applicable in the modern business world, therefore, one can buy Carrefour's operation strategies for the own organization.In conclusion, retail business is one of the most competitive businesses in the world with several competitors in the industry. Most of the retail competitor businesses are well established and rooted in retail business. Therefore, in order to prosper in such industries, organizations need to lay down effective strategies in all its operational departments right from the product production to its marketing as well as other management departments. Organizational sustainability and corporate social responsibility (CSR) is also of essence as far as organizational existence is concerned. Retail firms must take into consideration the balance between its operations and the environment within which it is situated. This can only be achieved by offering safe products and giving back to the society appropriately.


Abaza, M. (2003). Who is afraid of Disneyfication? A response to Sonja Hegasy. Open Democracy.

Hanieh, A. (2010). Khaleeji-Capital: Class-formation and regional integration in the Middle-East Gulf. Historical Materialism, 18(2), 35-76.

Kok, H. (2014). Dynamics of the Intra-Urban Hierarchy in Istanbul's Metropolitan Area. In European Metropolitan Commercial Real Estate Markets (pp. 301-326). Springer, Berlin, Heidelberg.

Mahdi, Y., & Sadrinia, M. (2014). Does Wal-Mart strategic management have advantages in comparison with Iranian Shahrvand chain stores strategic management?. Asian journal of management research, 4(3), p570-582.

McKinney, M. (2008). Representations of History and Politics in French-Language Comics and Graphic Novels. History and politics in French-language comics and graphic novels, 3-24.

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