Emart to shut Pierrot discount-store chain
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Emart is to shut down its Pierrot discount-store chain to focus on luring customers to its mainstay hypermarkets.
After significantly falling sales last year, the South Korean giant closed down several Pierrot stores, including the store in Myeongdong shopping district. The company will shut the remaining six stores this year.
Meanwhile, Emart plans to remodel about 50 out of 160 general merchandise stores this year to offer a larger selection of lower-priced items and high-margin, private-brand products.
Besides its hypermarkets, Emart operates a range of chains spanning convenience stores, drugstores and home electronics. Emart’s profit fell from 194.6 billion won (US$166 million) in the third quarter of 2018 to 116.2 billion won (US$97.2 million) in the same period last year.
Questions & Answers
Q.Why is Emart closing its Pierrot discount-store chain?
Why is Emart closing its Pierrot discount-store chain?
Emart is shutting down the Pierrot discount-store chain to focus on attracting customers to its main hypermarkets. This decision follows a significant drop in Pierrot sales last year.
Q.How many Pierrot stores will be closed this year?
How many Pierrot stores will be closed this year?
The company will close the remaining six Pierrot stores this year. Several stores, including the one in Myeongdong, had already been shut down due to falling sales.
Q.What is Emart doing to improve its other general merchandise stores?
What is Emart doing to improve its other general merchandise stores?
Emart plans to remodel around 50 of its 160 general merchandise stores this year. The aim is to offer a wider variety of cheaper items and higher-margin, private-brand products.
Q.How did Emart's profit change last year?
How did Emart's profit change last year?
Emart's profit significantly decreased from 194.6 billion won in the third quarter of 2018 to 116.2 billion won in the same period last year. This represents a substantial drop in earnings.
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