Summary
This report compares and analyzes the top 20 Global Retail companies, taking into consideration diverse financial and operational parameters. It also captures business and strategic analysis at individual company level and provides rankings that explain where a particular company stands against its peers.
Among Global Discounters, Wal-Mart Stores, Inc. remained the leading player in FY08 with US$405.61 billion of revenue. Wal-Mart's wide spread operation has positioned the company much ahead of its peers, as the Carrefour, second largest discount retailer generated less than one third of Wal-Mart’s revenue for 2008. In terms of operational efficiency, Tesco and Wal-Mart came under top five companies according to operating margin and smaller companies like Lotte Shopping, Dollar Tree topped the list. Higher revenue earners, like Metro AG and Carrefour registered only mediocre operating margins.
Wal-Mart had the highest outlet productivity of 55.2 closely followed by BJ’s Wholesale Club with 54.5.
BJ’s Store and Metro AG also performed well under this parameter. The area productivity was best for Costco Wholesale Club, followed by Tesco, Carrefour and Metro AG.
Lotte Shopping achieved the highest net margin of 5.8% followed by Dollar Tree with 4.9%. Among top five revenue earners, Tesco reported the highest net margin. It achieved a margin of 4.0%. Wal-Mart occupied the sixth place with 3.3% margin. Rest three Carrefour, Metro AG and Costco registered margin within 1%-2%.
Table of Contents
1 Executive Summary . 16
2 About this report 18
2.1 Report summary . 18
2.2 Definitions 18
2.3 Summary Methodology 19
2.3.1 Basic Research Methodology . 19
2.3.2 Scorecard and Heat Chart Methodology 20
3 Leading Retailer Benchmarks 21
3.1 Peer Lists . 21
3.2 Company Benchmarking 22
3.2.1 Top 5 Global Discounters, By Revenue, 2008 . 22
3.2.2 Top 5 Global Discounters, By Revenue Growth, 08 . 23
3.2.3 Top 5 Global Discounters, By Operating Expenses, 2008 . 24
3.2.4 Top 5 Global Discounters, By Labor Productivity, 2008 . 25
3.2.5 Top 5 Global Discounters, By Capital Productivity, 2008 . 26
3.2.6 Top 5 Global Discounters, By Outlet Productivity, 2008 27
3.2.7 Top 5 Global Discounters, By Area Productivity, 2008 28
3.2.8 Top 5 Global Discounters, By EBIT, 2008 29
3.2.9 Top 5 Global Discounters, By EBITDA, 2004-2008 . 30
3.2.10 Top 5 Global Discounters, By Net Income, 2008 . 31
3.2.11 Top 5 Global Discounters, By Profit Margin, 2008 . 32
3.2.12 Top 5 Global Discounters, By ROCE, 2008 . 33
3.2.13 Top 5 Global Discounters, By Capital Expenditure, 2008 34
3.2.14 Top 5 Global Discounters, By Total Assets, 2008 35
3.2.15 Top 5 Global Discounters, By Total Asset Growth, 2008 . 36
3.2.16 Top 5 Global Discounters, By Quick Ratio, 2008 . 37
3.2.17 Top 5 Global Discounters, By Working Capital, 2008 38
3.2.18 Top 5 Global Discounters, By Return on Assets, 2008 39
3.2.19 Top 5 Global Discounters, By Total Debt, 2008 . 40
3.2.20 Top 5 Global Discounters, By Debtor Days, 2008 41
3.2.21 Top 5 Global Discounters, By Debt Ratio, 2008 . 42
3.2.22 Top 5 Global Discounters, By Debt to Equity, 2008 . 43
3.2.23 Top 5 Global Discounters, By Shareholders' Funds, 2008 44
3.2.24 Top 5 Global Discounters, By Market Cap, 2008 . 45
3.2.25 Top 5 Global Discounters, By P/E Ratio, 2008 46
3.2.26 Top 20 Global Discounters, Revenue & Expense Metrics, 2008 . 47
3.2.27 Top 20 Global Discounters, Productivity Metrics, 2008 48
3.2.28 Top 20 Global Discounters, Profit Metrics, 2008 49
3.2.29 Top 20 Global Discounters, Balance Sheet Metrics, 2008 . 50
3.2.30 Top 20 Global Discounters, Shareholder Metrics, 2008 . 51
3.3 Big Five’ focus 52
3.3.1 Revenue Vs Operating Expense Growth 52
3.3.2 Revenue Vs EBITDA Margin 53
3.3.3 Revenue Vs Capex Growth 54
3.3.4 Total Asset Vs Debt Growth . 55
3.4 Summary on Heat Chart . 56
3.5 Top 20 Retail Heat Chart 57
4 Company Benchmarking: Wal-Mart Stores, Inc. . 58
4.1 Wal-Mart Stores, Inc. Scorecard: . 58
4.2 Wal-Mart Stores, Inc. Company Overview . 59
4.2.1 Wal-Mart Stores, Inc. Business Description . 59
4.2.2 Wal-Mart Stores, Inc. Major Products & Services 62
4.2.3 Wal-Mart Stores, Inc. History 63
4.3 Wal-Mart Stores, Inc. Key Financials . 64
4.4 Wal-Mart Stores, Inc. SWOT Analysis 66
4.4.1 Wal-Mart Stores, Inc. – Strengths 66
4.4.2 Wal-Mart Stores, Inc. – Weaknesses . 67
4.4.3 Wal-Mart Stores, Inc. – Opportunities 68
4.4.4 Wal-Mart Stores, Inc. – Threats 69
5 Company Benchmarking: Carrefour S.A. 71
5.1 Carrefour S.A. Scorecard: 71
5.2 Carrefour S.A. Company Overview 72
5.2.1 Carrefour S.A. Business Description 72
5.2.2 Carrefour S.A. Major Products & Services . 74
5.2.3 Carrefour S.A. History 75
5.3 Carrefour S.A. Key Financials 76
5.4 Carrefour S.A. SWOT Analysis . 78
5.4.1 Carrefour S.A. Strengths 78
5.4.2 Carrefour S.A. Weaknesses . 79
5.4.3 Carrefour S.A. Opportunities 80
5.4.4 Carrefour S.A. Threats . 80
6 Company Benchmarking: Metro AG 82
6.1 Metro AG Scorecard: 82
6.2 Metro AG Company Overview 83
6.2.1 Metro AG Business Description 83
6.2.2 Metro AG Major Products & Services . 85
6.2.3 Metro AG History . 86
6.3 Metro AG Key Financials 86
6.4 Metro AG SWOT Analysis 88
6.4.1 Metro AG Strengths . 89
6.4.2 Metro AG Weaknesses 89
6.4.3 Metro AG Opportunities . 90
6.4.4 Metro AG Threats 91
7 Company Benchmarking: Tesco PLC 93
7.1 Tesco PLC Scorecard: 93
7.2 Tesco PLC Company Overview 94
7.2.1 Tesco PLC Business Description . 94
7.2.2 Tesco PLC Major Products & Services 95
7.2.3 Tesco PLC History . 96
7.3 Tesco PLC Key Financials . 97
7.4 Tesco PLC SWOT Analysis . 99
7.4.1 Tesco PLC Strengths . 100
7.4.2 Tesco PLC Weaknesses 100
7.4.3 Tesco PLC Opportunities. 100
7.4.4 Tesco PLC Threats 101
8 Company Benchmarking: Costco Wholesale Corporation 103
8.1 Costco Wholesale Corporation Scorecard: 103
8.2 Costco Wholesale Corporation Company Overview 104
8.2.1 Costco Wholesale Corporation Business Description 104
8.2.2 Costco Wholesale Corporation Major Products & Services . 107
8.2.3 Costco Wholesale Corporation History . 108
8.3 Costco Wholesale Corporation Key Financials 109
8.4 Costco Wholesale Corporation SWOT Analysis. 111
8.4.1 Costco Wholesale Corporation Strengths 111
8.4.2 Costco Wholesale Corporation Weaknesses . 112
8.4.3 Costco Wholesale Corporation Opportunities 113
8.4.4 Costco Wholesale Corporation Threats 114
9 Company Benchmarking: Target Corporation 116
9.1 Target Corporation Scorecard: 116
9.2 Target Corporation Company Overview 117
9.2.1 Target Corporation Business Description . 117
9.2.2 Target Corporation Major Products & Services 119
9.2.3 Target Corporation History . 120
9.3 Target Corporation Key Financials 122
9.4 Target Corporation SWOT Analysis . 124
9.4.1 Target Corporation Strengths . 125
9.4.2 Target Corporation Weaknesses 126
9.4.3 Target Corporation Opportunities . 126
9.4.4 Target Corporation Threats 127
10 Company Benchmarking: Sears Holdings Corporation . 129
10.1 Sears Holdings Corporation Scorecard: . 129
10.2 Sears Holdings Corporation Company Overview. 130
10.2.1 Sears Holdings Corporation Business Description . 130
10.2.2 Sears Holdings Corporation Major Products & Services 132
10.2.3 Sears Holdings Corporation History . 133
10.3 Sears Holdings Corporation Key Financials . 134
10.4 Sears Holdings Corporation SWOT Analysis . 136
10.4.1 Sears Holdings Corporation Strengths . 137
10.4.2 Sears Holdings Corporation – Weaknesses . 137
10.4.3 Sears Holdings Corporation – Opportunities 138
10.4.4 Sears Holdings Corporation – Threats . 139
11 Company Benchmarking: Casino Guichard-Perrachon . 141
11.1 Casino Guichard-Perrachon Scorecard: . 141
11.2 Casino Guichard-Perrachon Company Overview. 142
11.2.1 Casino Guichard-Perrachon Business Description 142
11.2.2 Casino Guichard-Perrachon Major Products & Services . 144
11.2.3 Casino Guichard-Perrachon History . 145
11.3 Casino Guichard-PerrachonKey Financials 146
11.4 Casino Guichard-Perrachon SWOT Analysis . 148
11.4.1 Casino Guichard-Perrachon Strengths . 148
11.4.2 Casino Guichard-Perrachon Weaknesses . 149
11.4.3 Casino Guichard-Perrachon Opportunities. 149
11.4.4 Casino Guichard-Perrachon Threats 150
12 Company Benchmarking: Loblaw Companies Limited 151
12.1 Loblaw Companies Limited Scorecard: 151
12.2 Loblaw Companies Limited Company Overview 152
12.2.1 Loblaw Companies Limited Business Description 152
12.2.2 Loblaw Companies Limited Major Products & Services . 153
12.2.3 Loblaw Companies Limited History 154
12.3 Loblaw Companies Limited Key Financials 155
12.4 Loblaw Companies Limited SWOT Analysis . 157
12.4.1 Loblaw Companies Limited Strengths 157
12.4.2 Loblaw Companies Limited Weaknesses . 158
12.4.3 Loblaw Companies Limited Opportunities 158
12.4.4 Loblaw Companies Limited Threats . 159
13 Company Benchmarking: Delhaize Group 160
13.1 Delhaize Group Scorecard: . 160
13.2 Delhaize Group Overview . 161
13.2.1 Delhaize Group Business Description 161
13.2.2 Delhaize Group Major Products & Services . 162
13.2.3 Delhaize Group History 163
13.3 Delhaize Group Key Financials 164
13.4 Delhaize Group SWOT Analysis . 166
13.4.1 Delhaize Group Strengths 166
13.4.2 Delhaize Group Weaknesses . 167
13.4.3 Delhaize Group Opportunities 168
13.4.4 Delhaize Group Threats. 169
14 Company Benchmarking: Lotte Shopping Co., Ltd. . 170
14.1 Lotte Shopping Co., Ltd. Scorecard: . 170
14.2 Lotte Shopping Co., Ltd. Company Overview . 171
14.2.1 Lotte Shopping Co., Ltd. Business Description 171
14.2.2 Lotte Shopping Co., Ltd. Major Products & Services . 172
14.2.3 Lotte Shopping Co., Ltd. History . 173
14.3 Lotte Shopping Co., Ltd. Key Financials . 174
14.4 Lotte Shopping Co., Ltd. SWOT Analysis . 176
14.4.1 Lotte Shopping Co., Ltd. Strengths 176
14.4.2 Lotte Shopping Co., Ltd. Weaknesses . 177
14.4.3 Lotte Shopping Co., Ltd. Opportunities 177
14.4.4 Lotte Shopping Co., Ltd. Threats 178
15 Company Benchmarking: Dollar General Corporation 179
15.1 Dollar General Corporation Scorecard: . 179
15.2 Dollar General Corporation Company Overview 180
15.2.1 Dollar General Corporation Business Description 180
15.2.2 Dollar General Corporation Major Products & Services . 181
15.2.3 Dollar General Corporation History 182
15.3 Dollar General Corporation Key Financials 182
15.4 Dollar General Corporation SWOT Analysis . 184
15.4.1 Dollar General Corporation Strengths 184
15.4.2 Dollar General Corporation Weaknesses . 185
15.4.3 Dollar General Corporation Opportunities 185
15.4.4 Dollar General Corporation Threats . 186
16 Company Benchmarking: BJ’S WHOLESALE CLUB, INC. 188
16.1 BJ’S WHOLESALE CLUB, INC. Scorecard: . 188
16.2 BJ’S WHOLESALE CLUB, INC. Company Overview 189
16.2.1 BJ'S WHOLESALE CLUB, INC. Business Description 189
16.2.2 BJ'S WHOLESALE CLUB, INC. Major Products & Services . 191
16.2.3 BJ'S WHOLESALE CLUB, INC. History . 192
16.3 BJ’S WHOLESALE CLUB, INC. Key Financials 192
16.4 BJ’S WHOLESALE CLUB, INC. SWOT Analysis . 194
16.4.1 BJ'S WHOLESALE CLUB, INC. Strengths. 195
16.4.2 BJ'S WHOLESALE CLUB, INC. Weaknesses . 195
16.4.3 BJ'S WHOLESALE CLUB, INC. Opportunities 196
16.4.4 BJ'S WHOLESALE CLUB, INC. Threats 196
17 Company Benchmarking: Family Dollar Stores, Inc. 198
17.1 Family Dollar Stores, Inc. Scorecard: 198
17.2 Family Dollar Stores, Inc. Company Overview . 199
17.2.1 Family Dollar Stores, Inc. Business Description . 199
17.2.2 Family Dollar Stores, Inc. Major Products & Services 200
17.2.3 Family Dollar Stores, Inc. History . 201
17.3 Family Dollar Stores, Inc. Key Financials 201
17.4 Family Dollar Stores, Inc. SWOT Analysis 203
17.4.1 Family Dollar Stores, Inc. Strengths . 203
17.4.2 Family Dollar Stores, Inc. Weaknesses 204
17.4.3 Family Dollar Stores, Inc. Opportunities . 204
17.4.4 Family Dollar Stores, Inc. Threats 205
18 Company Benchmarking: Big Lots, Inc. 207
18.1 Big Lots, Inc. Scorecard: 207
18.2 Big Lots, Inc. Company Overview 208
18.2.1 Big Lots, Inc. Business Description 208
18.2.2 Big Lots, Inc. Major Products & Services . 210
18.2.3 Big Lots, Inc. History 211
18.3 Big Lots, Inc. Key Financials 211
18.4 Big Lots, Inc. SWOT Analysis . 213
18.4.1 Big Lots, Inc. Strengths 213
18.4.2 Big Lots, Inc. Weaknesses . 214
18.4.3 Big Lots, Inc. Opportunities 215
18.4.4 Big Lots, Inc. Threats . 216
19 Company Benchmarking: Dollar Tree, Inc. . 217
19.1 Dollar Tree, Inc. Scorecard: 217
19.2 Dollar Tree, Inc. Company Overview . 218
19.2.1 Dollar Tree, Inc. Business Description . 218
19.2.2 Dollar Tree, Inc. Major Products & Services. 219
19.2.3 Dollar Tree, Inc. History 220
19.3 Dollar Tree, Inc. Key Financials 221
19.4 Dollar Tree, Inc. SWOT Analysis 223
19.4.1 Dollar Tree, Inc. Strengths 223
19.4.2 Dollar Tree, Inc. Weaknesses 224
19.4.3 Dollar Tree, Inc. Opportunities 224
19.4.4 Dollar Tree, Inc. Threats . 225
20 Company Benchmarking: Fred’s Inc. 227
20.1 Fred’s Inc. Scorecard: 227
20.2 Fred’s Inc. Company Overview. 228
20.2.1 Fred's Inc. Business Description 228
20.2.2 Fred's Inc. Major Products & Services . 229
20.2.3 Fred's Inc. History 229
20.3 Fred’s Inc. Key Financials . 230
20.4 Fred’s Inc. SWOT Analysis . 232
20.4.1 Fred's Inc. Strengths 232
20.4.2 Fred's Inc. Weaknesses . 233
20.4.3 Fred's Inc. Opportunities 234
20.4.4 Fred's Inc. Threats . 234
21 Company Benchmarking: 99 Cents Only Stores 236
21.1 99 Cents Only Stores Scorecard: . 236
21.2 99 Cents Only Stores Company Overview 237
