Abstract

The case “Chile’s Falabella – Succeeding through an Integrated Retail Strategy” traces the journey of Chile-based retailer S.A.C.I. Falabella (Falabella) to becoming one of the largest integrated retailers in Latin America. A brief history of the company is provided, along with an insight into its business diversification and internationalization strategy. Falabella’s adoption of the ‘integrated retail’ strategy is described in detail. The case also depicts the company’s focus on catering to the distinct needs of the various customers across Latin America, which helped it in not only creating a strong market position for itself, but also in staving off competition from multinational retailers. The case concludes with a look into the company’s future plans, which included an expansion of its retail footprint and strengthening of its ecommerce business.

Learning Objectives

The case is structured to achieve the following Learning Objectives:

• Evaluate the business diversification strategy for a retail company
• Analyze the international expansion strategy undertaken by a strong regional player
• Create an effective strategy to meet distinct customer needs in varied geographical regions
• Design an ingenious competitive strategy for a company against multinational companies

Keywords

Retail,Emerging Markets,Diversification,Expansion,Chile,Internationalization,Falabella,Customer Strategy,Multinational Competition,Acquisition ,Latin America,Integrated Retail,Business Synergy,Globalisation,Ecommerce