Is Walmart In The Uk Or London? (Yes, But Not What You Think)
Walmart, a mega-retailer, has over 11,000 stores around the world. It employs millions and serves hundreds of millions each day.
So it might be natural that UK and London shoppers can simply go to their nearest Walmart to pick up what they need.
Are Walmart in the UK or London by 2022?
Walmart has an equity stake in Asda’s grocery chain in the UK. Asda was acquired by Walmart first in 1999. This retained the company name and made Walmart’s entry into UK Market. Walmart retained its equity investment in Asda and the seat on their board of directors, while the Issa siblings completed the majority-stake buyout.
What is the secret to Walmart’s entry into The United Kingdom?
Asda, a UK-based supermarket chain, has been well-known since its opening in West Yorkshire in the 1920s.
Originally a butcher get-up, the offerings expanded, and the business grew to become a series of discount-price supermarkets.
In the 60s and the 70s, the chain expanded to the south. It eventually reached London in 1982.
However, Asda was in danger of bankruptcy by the 1990s and there were rumors about a merger.
In June 1999 it was announced that Walmart had placed a $10.8 billion bid to acquire Asda , a move which immediately struck fear into the hearts of UK retailers.
Asda recently ended discussions with Kingfisher plc. Both Asda and Walmart strongly denied that they had planned to work together in the past months.
Still, the merger seems like it couldn’t have been a total shock.
Asda had begun opening larger stores, called “Supercentres” after the Walmart model, and maintained an emphasis on discount pricing.
Walmart is not surprising to have been impressed by the Asda brand.
This acquisition was seen at the time as the start of Walmart’s European dominance.
But after failing to launch particularly well in Germany (under the Walmart store brand), it appears that rather than dig in deeper in Europe, Walmart is looking elsewhere to expand .
That context explains why they bought out the Issa/EG Group after exiting the UK.
What is the Difference Between ASDA and Walmart?
Quora commenter has an interesting explanation of why Asda store did not transform into Walmart stores in 1999.
This was, in his view, a clever move by Walmart to prevent UK shoppers from being alienated by its American-inspired retail strategy (which Walmart represents).
Walmart could instead silently profit from the Asda brand loyalty and brand trust built over time in the UK.
You may not know this, but I am always upset when the layout of my grocery shop changes.
It would have been highly disruptive to undergo a full rebranding as well as the destruction of the familiar store layout Asda customers had grown to expect,
This is just the emotional cost.
Practically speaking, think about how much that would have cost Walmart. Asda does, after all, have hundreds of locations throughout the UK.
Walmart Acquired ASDA
Walmart UK is technically still present with their Asda minority stake, but they are being bought out by the billionaires Issa and EG Group owners, Issa.
You can read our posts related to Walmart’s expansion in other countries. These include: if Walmart stores are in Japan; if Walmart exists in India and if Walmart will be coming to New Zealand.
Walmart’s UK/London presence has been diminished following the Asda acquisition by the Issa brother.
Walmart had the Asda grocery chain in London and UK for nearly 20 years, as part its network of international holdings.
Walmart seems to have shifted its focus away from the United States and is now looking towards Asian markets with the Asda sale.
.Is Walmart In The Uk Or London? (Yes, But Not What You Think)