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Carrefour's Exit from Greece
Adieu!Greece
In June 2012, France-based retailer Carrefour SA (Carrefour) exited from Greece after selling its stake to its joint venture partner Greece-based retailer, Marinopoulos SA (Marinopoulos) . With the exit, Carrefour took a non-cash charge of €220 million. Carrefour had operated in the country for 21 years and Greece was its second largest market in Europe in terms of number of stores... According to analysts, economic and political turbulence in the country could also have played a part in Carrefour deciding to quit the market. The company announced, “The sale would allow the joint venture, which also operates in Cyprus, to meet the challenges of Greece's prevailing economic environment.... |
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In 1981, Greece became the 12th member in the European Union (EU). In 2001, it became the member of eurozone and since then, the euro had become the country's currency . Greece borrowed funds from other EU nations, and several companies and banks made investments in the country. Observers said that debt was used to fund economically unviable projects that included building infrastructure for the Olympics in 2004. Greek's economy found itself in trouble in 2009, impacted by the global economic slowdown combined with a weak domestic economy due to high government spending, low tax income, high debt levels, and high debt-to-GDP ratio among others.
Carrefour In Greece...- Next Page>>
