HIGH street chain Boots has pulled the plug on its loss-making venture in Japan after admitting it had got the format wrong.
Boots is closing its four stores in the country, which it has jointly run with the Mitsubishi Corporation for the past three years. It said that despite brands like No.7 and Botanics proving popular with the Japanese shopper it "had chosen the wrong format" for the business.
A spokesman for the Nottingham-based group said: "The range we had on offer was far too broad for the Japanese market."
The venture, Boots MC, had sales of £10.5m last year, but made a loss of £3m.
The decision to close the business will lead to exceptional costs of £10m this year.
Boots has been adjusting its international business for months as it suffers in its home market from intense competition from supermarkets.
It has sold off its business in the Netherlands to Dutch pharmacy group Etos, in a deal which allowed it to continue selling some its products in the stores. The retailer has also struck deals to operate small Boots outlets in stores run by other groups in Italy, Thailand and Taiwan.
Boots' products can still be bought in up to 130 countries.
The spokesman said: "I think it is acceptable if you are to crack a particular market to have different trials, learn from them and find the right solution.
"Our products have a great appeal, but the challenge is to provide the best way of presenting them in different markets."
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