Traditional department store Globus – Globus becomes part of Thailand’s department store family – News

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International media report that Central World wants to take over all shares in the department store chain.

A DJ plays on the ground floor, between mannequins and customers hurrying past. Right next to it, young people are waiting behind a barrier for a Thai boy band. It’s a normal weekday afternoon in the “Central World” in Bangkok. In addition to shopping centers, this includes supermarkets, restaurants, real estate, hotels and resorts. The widespread group is led by third-generation CEO Tos Chirathivat.

Family council pays attention

The fact that large corporations are family-run is widespread in Asia, explains Pavida Pananond, Professor of International Business at Thammasat University. Most Thai corporations are controlled by families.

Like many other wealthy families in Southeast Asia, the Chirathivats are originally from China. The grandfather of the current CEO emigrated from China in the 1920s.

Legend: Tos Chirathivat is the CEO of the Central Group. Reuters/Athit Perawongmetha

Tiang Chirathivat started modestly. He sold drinks and later opened a shop with his son where he sold books and magazines. According to media reports, Tiang had three wives and 26 children with them. The family is said to consist of over 200 people today.

Huge retail group

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The Central Group, (Thai transliteration: Klum Senthran) or Central Holding, based in Bangkok, is an internationally active conglomerate with a focus on retail, hotels, restaurants and real estate. It is best known for its department store chains and shopping centers.

The Austrian co-owner of Globus, Signa, had to file for bankruptcy. Therefore, the Central Group could buy these shares.

Many of the family work in the company. “They have a family council that ensures that personal and business interests are separated,” explains Pavida. She describes it as “family governance,” which also ensures that the right people are selected.

Luxury department stores in Europe

The group has also been active in Europe for several years. The focus there is on traditional brands such as “La Rinascente” in Italy, KaDeWe in Germany and Selfridges in Great Britain.

Legend: Pavida Pananond, Professor of International Business at Thammasat University in Bangkok. SRF/Martin Aldrovandi

The investments offer potential for other businesses such as hotels and restaurants, explains Professor Pavida. The high value of the properties in expensive locations is also interesting for the group. In addition, well-known European department stores are attractive to tourists from Asia.

“Targeted and long-term investments”

As has been seen in other countries, the “Central Group” does not tend to make drastic changes, says Pavida. The group also tends to stick to existing management. The group invests in a targeted and long-term manner. For Globus, this all sounds positive at first. But she cannot comment on what a complete takeover would mean for the various Globus branches specifically in Switzerland, says Pavida.

However, previous experiences have shown that the group concentrates its department stores primarily on important cities.

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