Retail: Central buys Danish department store
Ilum, a unique & famous department store in Denmark with a 120-year-old building on the main shopping street in Copenhagen, part of Central's overseas investment strategy.
Ilum, a unique & famous department store in Denmark with a 120-year-old building on the main shopping street in Copenhagen, part of Central's overseas investment strategy.
Ilum department store founded in 1868 in the carfree walking zone of Copenhagen, Denmark (Strøget).
Breakingnews
Central buys Illum in Denmark
11 Mar 2013
Pitsinee Jitpleecheep
Central Retail Corporation (CRC), the country's largest retail operator, has acquired Illum, a famous Danish department store, and plans to invest two billion baht to renovate the Copenhagen store in four years.
CRC chief executive Tos Chirathivat said renovation of the 120-year-old Illum building, situated on the main shopping street, will help boost its income from five billion baht to eight billion baht, through adding of more luxury brands and refining the food and beverage segment.
He said the investment is in line with the company's strategy to have a unique department store.
The company expects to double its revenue from overseas investment to 50 billion baht in the next four years, when the renovation of Illum finishes.
Mr Tos declined to reveal the acquisition cost but said the company was approached by the Danish department store. The company sees potential in this market, which is considered a tourist destination for Chinese and Russians and a stopover port for several cruise lines.
Moreover, Scandinavia is a growth market with a population that has a very high average income per head.
Denmark is not the first country for CRC's expansion in Europe, the company in mid-2011 bought the 150-year-old La Rinascente chain for 260 million euros, or around 11.27 billion baht.
This chain has 11 stores that operate in Italy. The company in October said it bought a new building in Rome for the construction of a La Rinascente department store at a cost of eight billion baht and due for completion in three years.
(Source: Bangkok Post, Breakingnews, Central buys Illum in Denmark, 11 Mar 2013, Pitsinee Jitpleecheep, link)
Retail Sector Vocabulary
retail - to sell directly to the public for their own use ขายปลีก (See Wikipedia)
retail sector - all the companies that own and operate stores in the economy
department store - "a large store that sells many different kinds of goods including clothing, furniture, home appliances, toys, cosmetics, gardening, toiletries, sporting goods, do it yourself, paint and hardware and additionally select other lines of products such as food, books, jewelry, electronics, stationery, photographic equipment and baby and pet needs. Certain department stores are further classified as discount stores. Most department stores commonly have central customer checkout areas, generally in the front area of the store. Department stores are usually part of a retail chain of many stores" ห้างสรรพสินค้า, ศูนย์สรรพสินค้า, ศูนย์การค้าขนาดใหญ่ (See Wikipedia)
chain - a group of businesses (restaurants, hotels, etc.) owned by the same company บริษัทต่างๆที่อยู่ในเครือเดียวกัน
retail chain - a group of stores all owned and operated by the same company
department store chains - (See Wikipedia)
department store chains in Denmark
Central Retail Corporation (CRC) - Central Retail Corporation is the largest retailer in Thailand, it operates:
- 3 department store chains (Central Department Store, ZEN and Robinson) in Thailand and it recently bought La Rinascente a department store in Italy
- 10 Shopping mall formats (Central Embassy, Central Festival Phuket, Central Festival Phuket East, Robinson Lifestyle Center, Tops Market Place, homeWorks Home Shopping Center, Tritone (Rome, Italy), Baan Silom, Silom Galleria and Jewelry Trade Center, JJ Market Chiang Mai)
- 2 Supermarkets (Tops and Central Food Hall)
- 1 Convenience store (FamilyMart Thailand)
- 1 Catalog sale (OfficeMate)
- 7 Specialty Retail Stores (PowerBuy - Electronics Store, SuperSports - Sports Store, B2S - Books Entertainment and Stationary, homeWorks - Home Improvement and D.I.Y. Center, Office Depot - Office Product Stores, Thai Watsadu - Home Hardware and Improvement Store for builder, Page One - International Bookstore chain) (See Wikipedia)
Central Department Store - a Thai department store chain, owned by Central Group. It has branches in Thailand and China สรรพสินค้าเซ็นทรัล (See Wikipedia)
Illum - an old, famous and prestigious department store chain in Denmark founded in 1868, purchased by Central Group and the subject of this article (See website & Google Images & Google Search)
Central buys Illum in Denmark
Central acquired Illum
Illum, a famous Danish department store
Strøget - "a carfree zone in Copenhagen, Denmark. This popular tourist attraction in the centre of town is the longest pedestrian shopping area in Europe... Many of the city's most famous and expensive stores, such as Illums Bolighus, Magasin du Nord, the Royal Copenhagen Porcelain Factory, and chain stores, are located along the strip. There are also a multitude of souvenir shops and fast food outlets. Strøget was created in November 1962 when cars were beginning to dominate Copenhagen's old central streets" (See Wikipedia)
tourism in Denmark - (See Wikipedia)
La Rinascente - "a Thai owned Italian retailer operating upscale department stores in the area of clothing, household and beauty products, founded in Milan in 1865 by Luigi and Ferdinando Bocconi" (See Wikipedia)
the 150-year-old La Rinascente chain
acquire - to buy something and become the owner of that thing
acquisition - the buying of another company by a company (or part of another company ) (See Wikipedia & mergers and acquisitions)
acquisition cost
retail operator - a company that runs a "retail" business
acquire Illum, a famous Danish department store, and plans to invest two billion baht to renovate the Copenhagen store in four years.
renovate - to make something old look new again by repairing and improving it, especially a building การตบแต่งหรือซ่อมปรับปรุงสถานที่
plans to invest two billion baht to renovate the Copenhagen store in four years.
Central Retail Corporation (CRC), the country's largest retail operator, has acquired Illum, a famous Danish department store, and plans to invest two billion baht to renovate the Copenhagen store in four years.
executive - the highest level managers in a company
chief executive
renovation - completely repairing, improving, and rebuilding a building; improving an old building, putting it back in good condition การฟื้นฟูบูรณะ
renovation of the 120-year-old Illum building
situated - located ระบุที่อยู่ ที่ตั้ง ตั้งอยู่ที่
the building is situated on the main shopping street
boost - to increase; to strengthen เพิ่ม; ทำให้มีกำลังมากขึ้น
income - money that people receive from work or some other source, used for household consumption and savings
boost income - increase income
the renovation will help boost its income from five billion baht to eight billion baht
luxury - the best and most expensive of something ที่หรูหรา
brands - products with well-established names that people remember, that create a certain image and expectations about the product
luxury brands
segment - a part of something ตอน, ส่วนต่างๆของสังคม
market segment - a group of possible customers with the same income, age, habits, tastes, likely to buy the same kinds of products (See Wikipedia)
beverage - a drink of any type เครื่องดื่ม
food and beverage segment - the market for foods and drinks
refine - to improve something (by making small changes to it)
refining the food and beverage segment
CRC chief executive Tos Chirathivat said renovation of the 120-year-old Illum building, situated on the main shopping street, will help boost its income from five billion baht to eight billion baht, through adding of more luxury brands and refining the food and beverage segment.
strategy - a plan to achieve long term goals ('strategy' gives the big picture, 'tactics' the details)
the company's strategy
investment - taking your money and putting it into projects to make a profit or earn interest (buying stock shares, bonds, real estate)
Foreign Direct Investment (FDI) - "a direct investment into production or business in a country by a company in another country, either by buying a company in the target country or by expanding operations of an existing business in that country. Foreign direct investment is in contrast to portfolio investment which is a passive investment in the securities of another country such as stocks and bonds" (See Wikipedia)
overseas - in foreign countries
overseas investment
in line with - follows... , agrees with ..., is consistent with ..., is in the spirit of ...
the investment is in line with the company's strategy
unique - a very special, unusual or good ที่มีลักษณะพิเศษ เป็นเอกลักษณ์
a unique department store
He said the investment is in line with the company's strategy to have a unique department store.
double - to become twice as big, twice as much or twice as many เพิ่มเป็นสองเท่า
revenue - income from taxes or business activities รายได้
double revenue
The company expects to double its revenue from overseas investment to 50 billion baht in the next four years, when the renovation of Illum finishes.
reveal - to show; to indicate; to let something be known เปิดเผย เปิดเผยข้อมูลว่า ทำให้ปรากฎ
declined to reveal the acquisition cost
approached by - when one company tell another company that they want to buy the company
the company was approached by the Danish department store
potential - the possibility of success ที่มีศักยภาพ ที่เป็นไปได้
the company sees potential in this market
destination - the place where someone or something is going ปลายทาง จุดหมายปลายทาง
tourist destination - a place where tourists like to travel and see
considered a tourist destination for Chinese and Russians
cruise - a fun trip on a cruise ship at sea taken as a vacation, there are many fun activities on board the ship and when when the ship stops at different places tourists can get off the ship and explore the places
cruise ship - เรือท่องเที่ยว, เรือโดยสาร (See Wikipedia)
port - an area of water where ships stop, including the buildings around it ท่าเรือ
stopover port - a place that cruise ships stop during their cruise
cruise lines - a company that owns "cruise ships" and offers "cruises" to tourists
considered a stopover port for several cruise lines
Mr Tos declined to reveal the acquisition cost but said the company was approached by the Danish department store. The company sees potential in this market, which is considered a tourist destination for Chinese and Russians and a stopover port for several cruise lines.
a growth market - a market in which purchases, sales and income are increasing a lot
Scandinavia is a growth market
population - all the animals or plants of a particular type or group who live in one country, area or place กลุ่มพืชและสัตว์ที่อาศัยอยู่ในบริเวณหนึ่ง
per head - per person (the total amount divided by the number of people receiving or having something)
a very high average income per head
Moreover, Scandinavia is a growth market with a population that has a very high average income per head.
expansion - when something increases in size, number or importance การขยายออก
CRC's expansion in Europe
Denmark is not the first country for CRC's expansion in Europe, the company in mid-2011 bought the 150-year-old La Rinascente chain for 260 million euros, or around 11.27 billion baht.
construction - the work of building or making something, especially buildings, bridges, etc. การก่อสร้าง
This chain has 11 stores that operate in Italy. The company in October said it bought a new building in Rome for the construction of a La Rinascente department store at a cost of eight billion baht and due for completion in three years.