Grameen Uniqlo expands after a flying start

Grameen Uniqlo plans to open two new stores in Dhaka as part of its plan to establish a nationwide chain across the country riding on warm responses from local customers, it said yesterday.The move comes two months after Uniqlo, owned by Japan’s Fast Retailing Co Ltd, became the first global fashion brand to open outlets in Bangladesh.Since the launch of the first two stores in the capital in July, Uniqlo has already attracted a popular following across Dhaka, and the latest locations cater to the growing demand. The world’s fourth largest clothing retailer will open the new stores in Banani and Nayapaltan.Tadahiro Yamaguchi, chief operating officer of Grameen Uniqlo, said: “We are excited to have the opportunity to expand across Bangladesh. We would like to thank the people of Bangladesh for the warm reception.”A social business launched in 2010, Grameen Uniqlo is a joint social business venture between Fast Retailing and Grameen Healthcare Trust.Profits are re-invested in the business within Bangladesh, to grow the network of stores.The venture aims to offer good quality comfortable and affordable clothing, with the outlets selling 32 items for men and 10 for women—shirts, trousers and sportswear—priced between Tk 190 to Tk 1,180 with Uniqlo’s signature theme “beauty in hyperpracticality”.Uniqlo produces the collection in Bangladesh using locally sourced materials, providing highly practical items made by locals for locals.The expanding middle class, whose size doubled to 30 million in the last one decade according to the World Bank, has helped the company launch and expand its presence.Nearly $100 billion is spent on private consumption in Bangladesh every year, according to the latest World Bank data, with non-essential items such as fashion retail accounting for a growing proportion.“The economy is growing rapidly. There are 160 million people living in Bangladesh. So, we found that we have a great opportunity to start a retail business,” Yukihiro Nitta, chief executive of Grameen Uniqlo, told BBC earlier.