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Pakistan: Costcutter Plans Expansion Through JV (21/05/2012)

Monday, 21 May 2012
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Costcutter plans to expand its operations in Pakistan via joint ventures with Muller and Phipps of Pakistan. The retailer, which operates through 1,550 branded and franchised stores in the UK, revealed the plans in an interview between local publication The News and former Chairman Colin Grave (pictured).

“We plan to introduce a very different concept to Pakistani retail market which offers vast opportunities to do business. Its consumer population is fast growing and we definitely want to tap into that market and introduce our concept which is based on providing convenience and competitive prices to its customers," said Grave. He added that Costcutter overseas' President Najib Khan and Chairman Majed Chaudhary will travel to Pakistan to work on the expansion in earnest.
Both Khan and Chaudhray also confirmed the plans. “We visit Pakistan regularly and we realise that the country offers huge opportunities. We have never faced any problems in the country and our home work suggests that there is little risk to any good concept going wrong in Pakistan. The buying power of Pakistanis is increasing and we are happy to provide them better quality food items. There are negative stereotypes attached with the country over security matters but we know the reality is vastly different from the perception. We plan to expand to smaller cities in the near future.”

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