Dubai-based conglomerate Majid Al Futtaim has ceased operations of its Carrefour franchise in four Arab countries, replacing the stores with a new, fully-owned brand called Hypermax. The move, which affects outlets in Jordan, Oman, Kuwait, and Bahrain, follows sustained regional boycott campaigns against the French retail giant in the wake of the Gaza war.
A Response To Shifting Consumer Sentiment
While Majid Al Futtaim (MAF) has not officially attributed the rebranding to the boycotts, the decision comes after a noticeable shift in consumer behavior. Pro-Palestinian activists have long criticized Carrefour for alleged ties to companies operating in Israeli settlements. In its financial reports, MAF acknowledged that “geopolitical tensions” had impacted consumer trends. This sentiment was echoed on the ground, with former Carrefour employees noting a significant slowdown in shopper traffic over the past two years, and customers expressing approval of the switch to a local brand.
Financial Impact And Strategic Pivot
The strategic pivot to the Hypermax brand follows a period of financial pressure on MAF’s retail division. The company revealed that its retail revenue, which includes Carrefour operations, declined by 10% in 2024 and saw a further 1% drop in the first half of 2025. By launching its own in-house hypermarket brand, MAF appears to be insulating itself from the controversies tied to its international franchise partner and responding to what it calls a “continuous growth in demand for local products and services” in its markets.
Broader Market Context
Market analysts offer varied perspectives on the move. Some, like M. R. Raghu of Marmore MENA Intelligence, suggest the closures are part of a wider global strategy by the French parent company, Carrefour Group, to refocus its activities due to its own financial pressures. However, other economists, including Justin Alexander, argue that with strong consumer demand in the Gulf, MAF’s decision to rebrand is a clear indication of concerns over the boycott’s impact on the Carrefour brand name in the region.
About Majid Al Futtaim
Majid Al Futtaim is a leading Emirati holding company based in Dubai. Founded in 1992, it is one of the largest conglomerates in the Middle East, operating shopping malls, retail stores, and leisure establishments across the Middle East, Africa, and Asia. Its retail arm has historically been the exclusive franchisee for Carrefour in over 30 countries.
Source: Al Jazeera
