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Best In France Case study : LIDL

Guillaume ADIN Harold GUERIF Antoine GUILLIER DE CHALVRON Maxime ROSENWALD. Best In France Case study : LIDL. LIDL and the hard discount market. 6800 stores in Europe 3100 stores in Germany 1319 stores in France Average size: 687 m² Rank 7 in food retailers. Background.

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Best In France Case study : LIDL

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  1. Guillaume ADIN Harold GUERIF Antoine GUILLIER DE CHALVRON Maxime ROSENWALD Best In FranceCase study : LIDL

  2. LIDL and the hard discount market • 6800 stores in Europe 3100 stores in Germany 1319 stores in France • Average size: 687 m² • Rank 7 in foodretailers

  3. Background • Lidl & Schwarz : 1970 in Souabe (Germany) • Two mains activitiesweredeveloped: • Food discounters : Lidl • Retailers : Kaufland and Handelshofweregroupedinto self-service markets and superstores. • Establishement of Lidl in France in 1988 with the opening of the first store in Colmar (Haut-Rhin).In 1989, Lidlopened in the east of France, whereashis major competitor, Aldi, arrived in the north.

  4. Whatproblemsdid LIDL encounter ?

  5. The growthstrategy : to go faster than ALDI • Quick coverage of the French territory • Saving on market researches • Opportunistic acquisition • Several regions at a time

  6. The growthstrategy : to go faster than ALDI • « Loi Raffarin » • 1 000m²  300m² : administrative authorization of establishment needed • Defend “small business” against major distributors • Limit the expansion of hard-discounters • LIDL’s stores : 300m² + expansion requests • Easierthanbuildrequests

  7. How to fit to the french market ? More freshvegetables and fruits, more types of freshmeal… Some of national and historicalbig brands French Hard Discount Fair Trade

  8. Relationship betweenemployeesand management • Difficultworking conditions • Spying of employees • Bad intern communication • Poorpicture of the company for the consumers

  9. Thankyou for your attention

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