retail news in context, analysis with attitude

Bloomberg reports that Walmart is “selling a majority stake in its Brazilian unit to private-equity firm Advent International. Walmart will retain a 20 percent stake in the business after the deal, which will result in a $4.5 billion non-cash net loss in the quarter. The long-rumored sale is the latest move by Walmart to reshape its global footprint, following deals in the U.K. and India.”

The story characterizes Walmart’s Brazilian operations as “a disjointed, money-losing unit that struggled to connect with consumers, endured a revolving door of management, and couldn’t match French retailers Carrefour SA and Casino Guichard-Perrachon SA, the top two players there. The nation’s punishing recession and political upheavals didn’t help, but Walmart’s Brazilian misadventure was deep-rooted.”
KC's View:
The best thing that can be said about Walmart at the moment - and I mean this sincerely, and as a compliment - is that they seem to reducing the number of sacred cows in the company.

BTW … one of my favorite business books is “Death to All Sacred Cows: How Successful Businesses Put the Old Rules Out to Pasture,” by Beau Fraser, David Bernstein, and Bill Schwab … available now on Amazon. It is a terrific guide to whatever business needs to do these days.