Indonesia's Mitra Adiperkasa takes Zara into Vietnam www.asia.nikkei.com
JAKARTA -- Indonesian retail operator Mitra Adiperkasa has marked its entrance into the Vietnamese market with the opening of its first Zara outlet outside Indonesia.
The company -- which also franchises other international brands such as Starbucks, Burger King and Topman in Indonesia - said the new Zara store occupies 2,400 square meters in Ho Chi Minh City.
Mitra already runs 15 outlets selling the Spanish clothing line in Indonesia. The company operates nearly 2,000 retail stores or more than 150 brands in 66 cities in the archipelago.
Corporate Secretary Fetty Kwartati said Mitra, through a Vietnamese subsidiary it fully owns, is planning to open several other Zara stores in Vietnam next year, as well as stores of other brands under the Spanish clothing group Inditex, such as Bershka and Massimo Dutti.
The expansion in Vietnam was revealed after Mitra announced in June its partnership with U.S. investment company General Atlantic. Mitra had been hit hard by the slowing economy and the weak rupiah, which have seriously squeezed its profits over the past few years.
In the first half of 2016, net profit rose 78% to 46 billion rupiah compared with the same period the year before. Kwartati attributed the rise to investments that strengthened the company, including through the development of Mitra's e-commerce platform, Mapemall.com.
Published Date:2016-09-20