scott146

Wal-Mart Optimistic in Japan over Soon-to-be Subsidiary Seiyu (WMT)

One more thought:
I would be very interested to know if Walmart will be able to import US produced food to Japan. Agricultural trade restrictions have been a significant factor in keeping food prices high in Japan.

Wal-Mart Optimistic in Japan over Soon-to-be Subsidiary Seiyu (WMT)

Three thoughts that I have on this topic:

1. The fact that an American will become the head of Seiyu shows that reforms are in fact taking place in Japanese companies. Having an American as head of a major Japanese company would have been unheard of ten years ago.
2. Japanese consumers typically purchase smaller quantities of groceries, in part due to the lack of storage space in the average home. This may cause Walmart some heartburn as far as efficiency is concerned.
3. Japanese roadways are narrower and trucks smaller than in the US. Since Walmart is the master of freeway distribution using large semitrucks, the infrastructure difference in Japan may limit to a degree Walmart's ability to generate the same kind of distribution efficiencies it has seen in the USA.