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Nakumatt: Another ailing Kenyan company
Rank: Elder Joined: 7/28/2015 Posts: 9,562 Location: Rodi Kopany, Homa Bay
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Chaka wrote:Pole, why would you want to buy a new one,when a used one could be 5K?And I suppose there is a warning sign at that parkin about "Vehicles parked at the owners risk"? Caveman wrote:
I parked in front of Nakumatt Mega yesterday evening for only five minutes. I came back and found the corner light had been removed. I called toyota today to ask for the price on a new corner light. It is KES31,000. I now understand why thieves should be lynched.
A 32 inch LED TV with all the technology in it goes for about 25k. So why should a piece of plastic, some corner light, be sold at 31k?
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Rank: Elder Joined: 3/2/2009 Posts: 26,325 Location: Masada
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hardwood wrote:Chaka wrote:Pole, why would you want to buy a new one,when a used one could be 5K?And I suppose there is a warning sign at that parkin about "Vehicles parked at the owners risk"? Caveman wrote:
I parked in front of Nakumatt Mega yesterday evening for only five minutes. I came back and found the corner light had been removed. I called toyota today to ask for the price on a new corner light. It is KES31,000. I now understand why thieves should be lynched.
A 32 inch LED TV with all the technology in it goes for about 25k. So why should a piece of plastic, some corner light, be sold at 31k? LANES...Keep to yours! Portfolio: Sold
You know you've made it when you get a parking space for your yatcht.
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Rank: Elder Joined: 2/16/2007 Posts: 2,114
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If that was the case the complainant would have congratulated the thief??Is the Prado new to begin with? Impunity wrote:
LANES...Keep to yours!
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Rank: Elder Joined: 12/7/2012 Posts: 11,901
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Chaka wrote:If that was the case the complainant would have congratulated the thief??Is the Prado new to begin with? Impunity wrote:
LANES...Keep to yours!
prado???? In the business world, everyone is paid in two coins - cash and experience. Take the experience first; the cash will come later - H Geneen
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Rank: Elder Joined: 7/28/2015 Posts: 9,562 Location: Rodi Kopany, Homa Bay
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Impunity wrote:hardwood wrote:Chaka wrote:Pole, why would you want to buy a new one,when a used one could be 5K?And I suppose there is a warning sign at that parkin about "Vehicles parked at the owners risk"? Caveman wrote:
I parked in front of Nakumatt Mega yesterday evening for only five minutes. I came back and found the corner light had been removed. I called toyota today to ask for the price on a new corner light. It is KES31,000. I now understand why thieves should be lynched.
A 32 inch LED TV with all the technology in it goes for about 25k. So why should a piece of plastic, some corner light, be sold at 31k? LANES...Keep to yours! Those plastic bag manufacturers, who will be out of business soon due to the new govt anti-plastic-bag regulations, should switch to moulding those plastic lights. And sell them at 700 bob.
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Rank: Elder Joined: 2/16/2007 Posts: 2,114
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Jamaas who keep to their lanes would be at that level at least? Angelica _ann wrote:Chaka wrote:If that was the case the complainant would have congratulated the thief??Is the Prado new to begin with? Impunity wrote:
LANES...Keep to yours!
prado????
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Rank: Elder Joined: 7/28/2015 Posts: 9,562 Location: Rodi Kopany, Homa Bay
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Angelica _ann wrote:Chaka wrote:If that was the case the complainant would have congratulated the thief??Is the Prado new to begin with? Impunity wrote:
LANES...Keep to yours!
prado???? Toyota 110.
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Rank: Elder Joined: 8/16/2011 Posts: 2,260
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KulaRaha wrote:So the story started on Monday on whatsapp, rumours that a bunch of suppliers had gotten together and decided to put Nakumatt into receivership.
Again, rumours of a follow up meeting yesterday, and suddenly Nakumatt issues a statement.
What's your take? Customer is the King. Most of these markets stock 99% foreign products beneficiaries being the exporting countries like China and India. Kenyans want a market where they can buy local product hence 50-50% or 40-60% mix local-foreign. Tuskys and Naivash are near to that and reason even the middle class go there to shop They have to Love Kenya first for us to shop at their businesses and avoid dead stock depreciating in value/price.
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Rank: Member Joined: 1/22/2015 Posts: 682
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Supermarkets are a business that was figured out long time ago. The fact that most of the big supermarkets in Kenya's history have gone through so much drama is evidence of the lackluster corporate governance in this country of ours. We really need to step up on this. When big companies put foreigners in charge, let's not cry racism. The problem lies squarely with our corruption culture
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Rank: Elder Joined: 3/29/2011 Posts: 2,242
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Mike Ock wrote:Supermarkets are a business that was figured out long time ago. The fact that most of the big supermarkets in Kenya's history have gone through so much drama is evidence of the lackluster corporate governance in this country of ours. We really need to step up on this. When big companies put foreigners in charge, let's not cry racism. The problem lies squarely with our corruption culture All the big supermarkets( except Uchumi) are private businesses, and are managed around the dinner table. The margins in the business are too think and any small drop in volumes can be disastrous. Atul and his sons have tried but the dynamics have changed and they may have to throw in the towel and open up to a strategic investor and cede control to survive. It is a strong brand, well located and just needs a fresh start. "Things that matter most must never be at the mercy of things that matter least." Goethe
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Rank: Elder Joined: 10/18/2008 Posts: 3,434 Location: Kerugoya
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Quite an interesting article By Paul Wafula on one of those Sub Standard online media services. Among the challenges Nakumatt survived included the Mad Cow Disease incident of the mid nineties. Another but more regular challenge has been the Tax man. Right now, there is talk that the firm has hired audit firm KPMG to help restructure its business in a bid to come out of the liquidity crunch Source Link:
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Rank: Elder Joined: 12/9/2009 Posts: 6,592 Location: Nairobi
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KulaRaha wrote:2012 wrote:Malls hosting Nakumatt are now feeling the pinch. Supermarket are the biggest pullers to malls and a failing supermarket is a liability to a mall. Tenants at The Junction Mall are complaining of reduced business and hope the French giant Carrefour could be able to replace Nakumatt at the Junction Mall. Same story from Village Market, but I think the construction and the two new malls nearby may have also contributed. BTW they are in rent arrears there as well. What really happened to Nakumatt??? Even today customers are still walking into their stores yet there's nothing on the shelves and no bags to carry your shopping out. They still enjoy the goodwill. How did they manage to screw-up? This was a cash cow, why eat a healthy cow that produces tons of milk?
BBI will solve it :)
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Rank: Member Joined: 12/1/2007 Posts: 537 Location: Nakuru
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2012 wrote:KulaRaha wrote:2012 wrote:Malls hosting Nakumatt are now feeling the pinch. Supermarket are the biggest pullers to malls and a failing supermarket is a liability to a mall. Tenants at The Junction Mall are complaining of reduced business and hope the French giant Carrefour could be able to replace Nakumatt at the Junction Mall. Same story from Village Market, but I think the construction and the two new malls nearby may have also contributed. BTW they are in rent arrears there as well. What really happened to Nakumatt??? Even today customers are still walking into their stores yet there's nothing on the shelves and no bags to carry your shopping out. They still enjoy the goodwill. How did they manage to screw-up? This was a cash cow, why eat a healthy cow that produces tons of milk? This was me complaining bitterly after exiting Nakumatt Eldoret "It's Sunday but please allow me to complain: So, a whole Nakumatt Eldoret has no sugar and no Tea (the ketepa, non-instant), the staff are lethargic and don't offer encouraging explanation to the lack. Then at the packaging, they charge me 50 Bob for a small bag (similar one in India cost me 4 rupees= 6 kes)... This thing is going down, just the last few breaths..." For investors as a whole, returns decrease as motion increases ~ WB
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Rank: Veteran Joined: 8/10/2014 Posts: 954 Location: Kenya
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If there was a time for Uchumi to make a comeback, now would be it. Nakumatt's failure is creating a huge opportunity
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Rank: Veteran Joined: 8/11/2010 Posts: 1,011 Location: nairobi
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watesh wrote:If there was a time for Uchumi to make a comeback, now would be it. Nakumatt's failure is creating a huge opportunity seconded, sadly they have no clue
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Rank: Elder Joined: 3/18/2011 Posts: 12,069 Location: Kianjokoma
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Atul Shah blames govt for decisions made from the 90s to date affecting the retailer including Mad Cow beef branch closures to Thika Rd branch demolition http://www.nation.co.ke/...86128-157dhxe/index.html
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Rank: Member Joined: 9/13/2006 Posts: 123
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What goes round, comes round - Nakumatt played dirty tricks in the mid 90's and early 2000's to destroy uchumi and smaller grocery stores. Predatory pricing, poaching staff and suppliers, spreading bad rumors etc destroyed many small players at the time. Who could have believed that one day they will sink to these levels?
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Rank: Elder Joined: 9/23/2009 Posts: 8,083 Location: Enk are Nyirobi
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[quote=Lolest!]Atul Shah blames govt for decisions made from the 90s to date affecting the retailer including Mad Cow beef branch closures to Thika Rd branch demolition http://www.nation.co.ke/...6128-157dhxe/index.html[/quote] Takes credit when doing well, blames government when doing badly. The problem really has to do with corporate growth and enterprise risk management. Nakumatt grew well and beyond the competence of the owner managers. Overdue supplier accounts, tax disputes with KRA, Labour disputes with COTU, branches on road reserves, branches on riparian reserves. These are risks that the company should have done better on. For instance Nakumatt despite being the leading retail chain in East Africa was audited by 2nd tier audit firms like RSM and PKF. IMHO if Nakumatt owners has taken a strategic investor earlier, to improve on management competence, they would be doing much better. Life is short. Live passionately.
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Rank: Elder Joined: 12/4/2009 Posts: 10,639 Location: NAIROBI
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Similar products are priced higher in Nakumatt than in Tuskys http://www.businessdaily...87532-tv1hlq/index.html
Nakumatt should be liquidated,suppliers paid their debt and the chain folded.Naivas and Tuskys can fill the gap Wealth is built through a relatively simple equation
Wealth=Income + Investments - Lifestyle
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Rank: Elder Joined: 6/23/2009 Posts: 13,475 Location: nairobi
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Shindwe
HF 30,000 ABP 3.49; KQ 414,100 ABP 7.92; MTN 15,750 ABP 6.45
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