Adidas plans franchise business model change for Reebok India

New Delhi, May 2 - To lower cost and ensure better accountability from its partners, German sportswear maker Adidas, which is undertaking an accelerated restructuring of its business activities in India, is in the process of changing its franchise business model for the Reebok brand.

Adidas, which has recently found some Òcommercial irregularitiesÓ at Reebok India, had last year communicated to its Reebok franchisees in India about its intention to discontinue the 'Minimum Guarantee (MG) model' in the country.

ÒUnder the new leadership team, management is undertaking an accelerated restructuring of its business activities, including significant changes to its commercial business practice, as part of the course of actions to protect the Group's interests in India,Ó Adidas has said.

The restructuring is a part of a long-term strategic business plan 'Route 2015', it said.
At present 900 Reebok outlets are operational in India.

According to a Delhi-based franchisee, who did not want to be identified, ÒSince the last six to seven months Reebok was working to abolish the MG model and work on a rent plus margin model with its franchisees in India.Ó The MG model enables a franchisee to retain a part of total sales done by a store to cover high investment costs of setting and operating an outlet in an expensive location.
ÒThe management had communicated to its franchisees that they were not willing to work on the MG model and wanted to work on a model that guarantees fixed margin of about 35 per cent to a franchisee,Ó the franchisee said.

However, since the top management change that happened in March, there has been no communication from the company, he added.
A few other Reebok franchisees based in Delhi and Rajasthan confirmed that the company was planning a model change.

Earlier this week, Adidas had issued a statement from Germany that said the company had discovered commercial irregularities at Reebok India.
ÒThe currently estimated maximum negative impact could be up to a pre-tax amount of Euro 125 million,Ó it had said.

The restructuring could lead to additional one-time charges in the remaining quarters of 2012 in an estimated amount of up to Euro 70 million, it had said.

White Castle Teams Up With Wal-Mart for a FREE Slider Giveaway

COLUMBUS, Ohio, March 5, 2012,

WHAT: White Castle is teaming up with Wal-Mart to bring the Original White Castle Slider to Panama City Beach, Florida during Spring Break.  The Wal-Mart Supercenter in Panama City Beach will host the one day giveaway of 10,000 burgers.
 
WHO: White Castle is teaming up with Wal-Mart for this historic occasion.
 
WHEN: This first ever event is the kick-off of the Spring Break party.  The party starts Saturday, March 10 at 1:00 pm with 10,000 White Castle Original Sliders FREE to excited Spring Break Cravers and Panama City White Castle loyalists.
 
WHERE: This one day Slider giveaway will be held at the Wal-Mart Supercenter, 10270 Front Beach Road, Panama City Beach, Florida.

America's first fast-food hamburger chain is participating with Wal-Mart for a Slider Spring Break Party like no other.  Hungry Panama City Beach residents and Cravers from around the country are invited to the Wal-Mart Supercenter for a taste of the Original White Castle Slider hot off the grill.  White Castle team members from the Chicago area will be grilling 10,000 hamburgers and cheeseburgers starting at 1:00 pm, Saturday March 10.  The FREE Sliders will be handed out until they are gone.  There will be a limit per person so we can provide steamy hot Sliders to lots of cravers throughout the afternoon. 

Kicking off the Panama City Beach Spring Break event is the 10,000 Slider giveaways open to vacationers and local residents alike.  In addition to burgers hot off the grill; coupons will be distributed for savings on White Castle frozen burgers at the Panama City Beach Wal-Mart Supercenter. 

About White Castle
White Castle is a family-owned business based in Columbus, Ohio that owns and operates more than 400 White Castle restaurants in 11 states. The company was founded in Wichita, Kansas in 1921 and is America's first fast-food hamburger chain. All White Castle Sliders are made from 100-percent USDA approved beef or 100-percent white meat chicken.

For more information on White Castle, visit www.whitecastle.com.  White Castle Food Products, LLC distributes frozen Sliders through Grocery Stores, Convenience Stores, Food Service outlets and Vending Machines all across the country.  

Why Walmart so much Interested in Secretary Hilary Clinton's Statement

 
How big business houses use politicians to gain for their business, this is latest example from Wal Mart. Without commenting so much on this issue,please go through this news item, you will learn whole story.... 

SAN FRANCISCO, Sept. 16, 2011- "There is perhaps no single issue more essential to the progress of our world than the progress of women. Secretary Clinton has been a leader in creating that progress, so we appreciate the Secretary's support of our efforts to open market access for women-owned businesses. Our plan to spend $20 billion with these businesses, as well as the work we'll do in factories and on farms to empower women, will help bring about a global marketplace where women's contributions are truly valued.

"The challenge of empowering women is a complex one, and we want to thank Secretary Clinton and Ambassador Verveer for their leadership on this issue. No one can solve this issue alone, but with the continued leadership of the Secretary and others, we will continue to make progress on the critical issue of providing women and girls the tools they need to succeed in life, at home and at work."

--- Leslie Dach, Executive Vice President, Corporate Affairs, Walmart
 
(Secretary Clinton made her remarks during a keynote address at the APEC Women and the Economy Summit this morning in San Francisco.)

Background:
 
Walmart's Global Women's Economic Empowerment Initiative:

On Sept. 14, 2011, Walmart announced a major global initiative to help empower women economically across its supply chain. Over the next five years, Walmart will lead an effort with specific goals to open markets for women-owned businesses and increase training and career opportunities for women on farms and in factories.  The goals were developed with NGOs and other partners and are designed to leverage the company's size and scale to help women and their families live better. Like its work on sustainability, hunger and healthier foods, this initiative is another step forward in the company's commitment to leading on social issues.

APEC:
The Asia-Pacific Economic Cooperation's (APEC) Women and the Economy Summit (WES) is being held this week in San Francisco. The United States is one of 21 member economies of APEC, whose primary goal is to support sustainable economic growth and prosperity in the Asia-Pacific region.

About Walmart
Wal-Mart Stores, Inc. (NYSE: WMT) serves customers and members more than 200 million times per week at over 9,600 retail units under 69 different banners in 28 countries. With fiscal year 2011 sales of $419 billion, Walmart employs 2.1 million associates worldwide.

....Wal Mart entered in Indian Market and this move is to win over Indian Woman.
 

Wal-Mart, Bharti JV to open 15 outlets in wholesale by 2011

Mumbai, Sept 28- Global retail giant, Wal-Mart, in its joint venture with Bharti Enterprises, plans to open 15 outlets in its wholesale format by end-2011, a top company official said.
The company currently operates 3 cash and carry stores in the country at Amritsar, Ludhiana and Jalandhar.
ÒOur plans on the cash and carry business to open 15 outlets by end-next year is on track. We are opening 4 outlets in Rajasthan, Madhya Pradesh, Vijayawada and Hyderabad by mid- next year,Ó Bharti Walmart's Head, Raj Jain, told reporters on the sidelines of the India Retail Forum here, today.
Bharti Enterprises and US-based Wal-Mart Stores
entered into a joint venture in August 2007 and started
cash-and-carry stores named 'BestPrice Modern Wholesale' in
2009.
On its sales, Jain said a good monsoon and a good growth in the economy this year is likely to boost overall sales.

Post-budget, Bharti Wal-Mart hopeful of FDI in retail

New Delhi (India), Feb 28 - Bharti Wal-mart, an Indian joint venture of the world's largest retailer Wal-Mart, has said it is optimistic of India allowing Foreign Direct Investment in the retail sector, given the progressive nature of the current government.

We are optimistic that India's progressive government will move ahead with its policies of economic and social reforms, including allowing FDI investment in front-end retail, Bharti Wal-mart MD and CEO Raj Jain said.

The US retail giant Wal-Mart, which has been waiting for a long period for change in regulatory framework to enter India's front-end retail market, currently has a B2B (business-to-business) joint venture with Sunil Mittal-led Bharti group for wholesale cash-and-carry and back-end supply chain management operations.
India currently allows 51 per cent FDI in single-brand retail, but none in multi-brand.

In a statement, Jain attributed his optimism to Finance Minister Pranab Mukherjee's budget speech, saying it Òunderscores the need to reduce the significant wastages in storage and well as in the operations of the existing food supply chains in the country.

This would greatly contribute to Indias growth story by creating employment, strengthening supply chain efficiencies, enhancing earnings of farmers and helping families to save money so they can live better, Jain noted.


While reiterating Prime Minister Manmohan Singh's recent remarks on the need for taking a firm view for opening up of the retail sector, Mukherjee had said that the difference between wholesale and retail prices need to be reduced.

As the Prime Minister has said recently - We need greater competition and therefore need to take a firm view on opening up of the retail trade. It will help in bringing down the considerable difference between the farm gate prices, wholesale prices and retail prices, Mukherjee said.

Last week, the government's pre-budget statement on the country's financial health, the Economic Survey also showed that the retail prices were rising at about ten times faster than the wholesale prices.

The survey noted the rate of price rise in wholesale market at 1.6 per cent for the current fiscal 2009-10 as measured by wholesale price index (WPI), against the consumer price index (CPI) inflation of 11.4 per cent.

The CPI-based inflation has been higher than that based on WPI for four consecutive years now with the gap widening every passing year. In 2004-05, the CPI inflation was, in fact, lower than the WPI one and the two were equal in 2005-06, the Survey said.

On other hand, the industry has been arguing that greater competition triggered by opening up of the sector would help in bridging the gap between consumer and wholesale prices.

We were expecting FDI rules to be relaxed in retail business. It would have benefited retailers as well as the ultimate consumers, Vishal Retail Chief Managing Director Ram Chandra Agarwal said.