Dec. 12, 2018
Food Retail Business to be Expanded in Vietnam
Vietnam has seen a notable growth in its middle class in recent years as its population closes in on 100 million and, with real GDP climbing at a high rate, the domestic consumer market is forecast to expand rapidly. Vietnam’s traditional retail market remains centered on sales by small independent shops, but modern retail markets such as supermarkets and convenience stores have been gaining share in large city areas such as Hanoi, Ho Chi Minh City, and Da Nang. The future is expected to see living standards improve as the middle class grows and as food safety/security awareness drives further expansion by modern retail markets.
The New Company will open the first Fuji Mart in Hanoi in December 2018. The plan is to ascertain the characteristics of the market and, if the business is determined to be adequately viable, to push ahead with actively adding more stores. Applying the know-how garnered from Japanese-style supermarkets, in particular on their strong points of freshness control and customer service, to the Vietnamese market, Fuji Mart will seek to become an integral part of the local infrastructure, allowing consumers to enjoy peace of mind in purchasing safe perishables and other everyday food products.
Sumitomo Corporation has over many long years operated multiple retail businesses within Japan, including the food retailer Summit, while overseas it has run Simple Mart, a Taiwanese food retail business, with a local partner. In helping to direct Fuji Mart’s operations, Sumitomo Corporation will be using the know-how on merchandising, store operation, and store layout/design it has cultivated heretofore through a wealth of experience in operating retail businesses to lay the foundations needed for local residents to enjoy comfortable and exciting lives and to contribute to industrial development in Vietnam.
(Note) A conglomerate engaged in real estate, finance, golf course management, retail, automobiles and other businesses. In the retail sector, it operates Intimex supermarkets and Big-C general merchandise stores in Vietnam.
|Location||:||Hanoi, Socialist Republic of Vietnam|
|Description of business||:|| Food retail business within Vietnam
■Material issues for Sumitomo Corporation
The Sumitomo Corporation Group has defined the “Six Material Issues to Achieve Sustainable Growth with Society” as an important factor in developing business strategies and in the decision-making process for individual businesses. Going forward, we will pursue sustainable growth by resolving these issues through our business activities. This project should prove especially beneficial in “Contributing to the Development of Local Communities and Industries” and “Establishing a Foundation for Comfortable and Enriching Lifestyles.”