Maiti , Financial Chronicle
April 24, 2012
Tata-led Tata International on Monday said it had entered into
a 50:50 joint venture with Wolverine World Wide for the wholesale
distribution of Wolverines Merrell and Caterpillar
footwear and apparel brands in India.
This venture is in line with Tata Internationals
strategy of growth, focusing on growing presence in footwear distribution
and retail in domestic and international markets, said Noel
Tata, managing director of Tata International and half brother
of Ratan Tata, the chairman of Tata Sons. The joint venture will
have an arrangement with Trent, where Noel Tata is the vice chairman.
Trent operates more than 50 department stores in India and the
Star Bazaar range of hypermarkets in addition to Zara stores in
India. Devangshu Dutta, chief executive of retail consultancy
firm Third Eyesight said, Tata International has experience
in footwear while Trent has expertise in retail. With that combination
they should be able to manage the value chain well.
This new partnership demonstrates the progress we are making
towards our goal of expanding the retail presence of our brands
through stand-alone stores, shop-in-shops and selected wholesale
distribution. This joint venture model follows the successful
strategy of our owned operations in the US, Canada and much of
Europe, Blake W Krueger, chairman and CEO of Wolverine Worldwide
said in a statement.
Operating this new business model in India allows the Merrell
and Caterpillar footwear brands to get close to their target consumer,
while providing keen insights into brand development opportunities,
the company said in a press statement.
Wolverine World Wide is one of the worlds leading marketers
of branded casual, active lifestyle, work, outdoor sport and uniform
footwear and apparel. The companys portfolio of brands includes
Bates, Chaco, Cushe, Hush Puppies among others.