alshaya notes.docx

8/10/2019 Alshaya notes.docx

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M.H. ALSHAYA

an international retail franchise operator

- Started in Kuwait 1890

- Earlier it traded Pearls and Spices

Under the guidance and leadership of our Executive Chairman, the business is led by our Chief

Executive Officer. Each of the brands within Alshaya sits within one of seven business

units(with brands):

1. Fashion & Footwear - Mothercare, H&M, American Eagle Outfitteres, Victorias Secret

2. Food - The Cheesecake Factory, Starbucks, Pinkberry

3. Health & BeautyThe Body Shop, M.A.C, VaVaVoom4. Pharmacy - Boots

5. OpticsSolaris, Vision Express

6. Home FurnishingsPottery Barn, West Elm

7.

Leisure & Entertainment

KidZania

Coming soon brand BABELBabel is a unique Lebanese restaurant, renowned for its dynamic architecture,

outstanding hospitality, and its signature twist on Mediterranean classics

Each brand is led by a Vice President or Business Director. Ultimate brand responsibility

and P&L accountability sits with business unit Presidents who report directly to the CEO.

Operating in (9 Middle East, 2 North African, 4 European Countries)

1.

Kuwait

2. Saudi Arabia3. UAE

4. Oman

5. Jordan6.

Iraq

7. Bahrain

8. Qatar

9. Lebanon10.

Egypt

11.Morocco

12.

Poland

13.Czech Republic14.Turkey

15.Russia


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Profiles on Campus

Food Division Logistics Corporate Marketing Fashion Division

Facts And Figures

Alshaya's first international franchise business, trading as M.H. Alshaya, was established in 1983with the opening of our first Mothercare store in Kuwait. Here's a brief overview about the

company.

1. We are part of the Alshaya Group of companies, a family business established in 1890.

2. Our Executive Chairman is Mohammed Abdul Aziz Alshaya, part of the thirdgeneration of the family business.

3. We manage over 70brands, bringing the best international names to new consumers.

4. Our 2,600stores occupy over9 millionsq ft / 850,000sq m of retail space and wecontinue to grow at pace.

5.

We operate across the Middle East and North Africa, Russia, Turkey and Europe.

6. We employ more than 40,000people from over 110nationalities.

7. We make over 430 milliontransactions and serve over 140 millionguests in our stores,

cafs and restaurants.

8. We operate across diverse customer sectors- Fashion & Footwear, Food, Health &

Beauty, Optics, Pharmacy, Home Furnishings and Leisure & Entertainment.

2013 Summers experience- IIM Calcutta process

GD

General retail topics like growth of retail in India, disruption in retail created by e-commerce.They dont like candidates with aggression. Good points and professional conduct is what willget you through

PI What do u know about retail?

What do you know about the Alshaya group?

Are you fine with working in Kuwait?

How long do you plan on working abroad?

Which department would you like to join?

What are your long term goals and how do they align with the Alshaya Group

Typical HR questions


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31 Interns Last Year With 26 PPOs

Advantages of the Franchising Model:

1. Requires less initial capital than independently starting a company

2. Franchisees are provided with significant amounts of training, not common to most

entrepreneurs.

3. The franchisor benefits because it can expand rapidly without having to increase its labor forceand operating costs, using much less capital.

4. Franchised stores have a higher margin for the parent company than company-owned stores

because of minimal operating expenses in maintaining franchised stores.

5. It offers instant recognition to an enterprise.

Drawbacks:

1. Franchising stores reduces the amount of control that the parent company has over its products

and service, which may lead store quality to vary greatly from store to store.

2. Franchisees must pay a percentage of their revenues to the parent company, reducing theiroverall earnings.

Trends and Future of Franchising

1. Regional business leaders(area developers): Instead of searching out hundreds of mom-and-

pop franchisees, many American concepts are partnering with a deep-pocketed overseas

developer who can navigate the culture and open and operate numerous units at once.

2. Digital Ads & Developing websites: Site Analytics and other online services are used on anincreasing basis to help franchisors decide the franchisees they should select and where should

they set their stores.

3. Increasing franchises in fast foods: The ease of opening up undifferentiated and location

driven fast food chains like yogurt, frozen desserts and burgers.

4. B2C E-Commerce: An increasing number are taking an additional step and actually selling

products/services to customers on-line. A number of franchised businesses are moving toestablish their own sites that sell, in order to build and protect market share.

5. New Disputes: Development of Internet, all the positives aside, is also responsible for an

increasing number of disputes between franchisors and franchisees. Most franchisors want to

control Internet development and do not want franchisees to start their own websites.


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Kuwait:

Sovereignty over nine small islands in the Arabian Gulf

Petroleum is the principal driver of the economy

Kuwait has the oldest directly elected parliament among the Arab States

Approximately 10-15% of the cars are taxicabs, so it is not difficult finding one when youneed one.

The traffic is heavy, and it is much more behaved than that in China, but it is dangerous

nevertheless. (Mentioned about dangerous traffic in PPT)

Most of the people in Kuwait are foreigners. According to one source I read, only 45% ofthe people living in Kuwait are Kuwaitis

There are a few English language newspapers, and there is allegedly freedom of the pressin Kuwait, although certain subjects are taboo, such as anything that might insult God,

and anything that could interfere with national unity.

alshaya notes.docx

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