Massmart I bless the supply chains down in Africa
More on that rather sensational bit of non-news upon which we reported last week, that a certain analyst saw the signs of an early withdrawal from South Africa by Walmart. This week, the other analysts piled on, with all the social cohesion of a pack of hyenas at the last baby wildebeest carcass this side of the Serengeti River. Never happen, they said. While certainly, Massmart’s performances has not been all that, it has been affected by a range of external factors – the commodity fall-off, the Rand, the shift in wholesale cash & carry trading models – and now would be exactly the time to hold rather than fold. And Africa is a long game for Walmart, one in its early stages. Finally, there’s the level of investment: Walmart has put both blood and treasure into “Walmartising” Massmart, into driving the principles of joint business planning, focusing on back-office and operational efficiencies, ensuring Group-wide consistent compliance, and driving its “Save Money. Live Better.” promise to its shoppers. They’ll stick around to see a return on this investment.
Comment: But hey, that’s not us, that’s the analysts, who like sports journalists are mysteriously never called to account for the accuracy of their predictions whether dire or soothing.