The company is planning to pour 17 billion pesos ($863 million USD) into Mexico this year.
Retail giant Walmart’s Mexican subsidiary Walmart de Mexico SAB (Walmex) announced last week that the company plans to sizably increase its capital expenditures—investing in new store openings and remodels and making strides to bolster the company’s logistics and online presence in the region.
According to news source MarketWatch, the Bentonville, Arkansas-based company is planning to pour 17 billion pesos ($863 million USD) into Mexico this year—up 19 percent from 2016.
The investment is part of an ongoing 10-year plan to double annual sales from 2014 to 2024. Walmex sales grew 12 percent last year to around $27 billion. The company currently operates 3,029 stores in the region—including 735 in Central America.
The company’s $863 million is expected to be invested in the following ways:
The announcement comes on the heels of Walmart subsidiary Jet.com’s acquisition of ModCloth—an online retailer Business Insider describes as “a bohemian vintage clothing brand.” Investments in e-commerce in the Mexican market are part of a broader push to prioritize the segment and to secure online marketshare throughout North America.
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Having spent many years at KPMG as a partner and finally as Head of Corporate Finance, Midlands, Richard Boot currently chairs and holds directorship of various companies associated with staffing and recruitment. He is also a former board member of IRC Global Executive Search Partners.
IRC Global Executive Search Partners convened affiliates and business partners at three regional summits covering Asia Pacific (APAC), Europe, the Middle East and Africa (EMEA) and the Americas in early 2019 to spark an intercontinental discussion about leadership and organizational preparedness in an era characterized by accelerating technological change and disruption.