Carrefour, the French retail giant, is facing significant challenges in the Polish market, leading to the closure of nearly 100 stores and the layoff of over 900 employees in the past year. The company's struggles are attributed to the growing dominance of discount stores in Poland, which have captured a larger share of the market.
Carrefour's downsizing efforts primarily targeted franchise stores, with 92 of them being liquidated. Despite this, the company aims to expand its network of franchise stores while simultaneously reducing its overall workforce. This strategic shift comes as Carrefour seeks to adapt to the changing retail landscape in Poland, where discount stores like Biedronka and Żabka are rapidly expanding.
The Polish retail market is experiencing a contraction, with a decrease in the number of stores across various sectors. Grocery stores, in particular, have seen a significant decline, reflecting the changing consumer preferences and the growing popularity of discount formats.
While Carrefour plans to open new stores in 2024, the majority of them will be franchise-operated. The company is also focusing on enhancing its online distribution channel to reach a wider customer base. However, the future of Carrefour in Poland remains uncertain as it grapples with the competitive pressures of the discount store boom.
