Thousands of striking workers at companies under Massmart will return to work after reaching an agreement over disputes.
Massmart has assured customers that planned strike action will not interfere with their Black Friday shopping plans.
With an explosion in online sales expected in South Africa in the coming decade, e-commerce is becoming core to the growth strategy of Walmart-owned Massmart.
A trading update for the first half of the year from Massmart on Friday spooked investors who had been banking on a stronger recovery. Game is at the centre of the problems.
Massmart, the South African retail group owned by US giant Walmart, said 41 of its stores, which include Builders, Makro and Game outlets, were looted and trashed in this week’s violent carnage.
E-commerce was one bright spot in an otherwise mostly grim set of results from Walmart-owned retail group Massmart for the 2020 financial year ended 27 December.
Walmart-controlled retail group Massmart said on Tuesday that it will cut as many as 1 800 employees at its Game stores in South Africa.
Massmart-owned electronics retailer DionWired is gone. The troubled Walmart-owned retail group said on Thursday that all DionWired stores will cease trading at 6pm on 19 March.
Although yet to recover from Edcon’s woes and downsizing, South Africa’s shopping centre landlords are set to face even more intense rental negotiations with other major retailers.
Massmart will have to take a long, hard look at its embattled Massdiscounters division to turn the group’s fortunes around, and this should include a rationalisation of its Game and DionWired stores.