The business in this market operated through a joint venture structure between the regional entity and a local partner. The operation was primarily focused on wholesale distribution but was unable to achieve the expected commercial traction needed to justify the initial investment or meet the growth targets set by the parent organisation.

Over time, the partnership faced operational and financial challenges, which led to cash‑flow constraints and ultimately placed pressure on the viability of the local business.

We quickly identified the need for a structured turnaround to restore profitability and realign the business with the expectations set out in the commercial partnership.

The strategy centred on three core actions:

• Reshaping the team to increase accountability, improve execution speed, and reduce operating costs

• Renegotiating and ultimately exiting the existing partnership structure

• Transitioning the business model from a wholesale‑led operation to a more retail‑focused approach

Within the first six months, we successfully exited the partnership, stabilised cash flow through targeted cost‑efficiency measures, and redirected resources toward building a sustainable retail channel.

Following the exit, our focus shifted to expanding the retail footprint and repositioning standalone stores into multi‑brand lifestyle formats to increase average transaction value and broaden consumer appeal.

Within 12 months, the retail operation expanded from a single clearance outlet to a network of multi‑brand stores, delivering strong profitability and establishing a foundation for scalable growth.

Once the business was stabilised and positioned for long‑term success, operational leadership was transitioned to a local country manager. This allowed the regional team to shift focus toward broader market expansion and continued improvements in operational efficiency.