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Electronic Action heats up

Action, which imports and distributes PC hardware and components, is expanding its outlets from 335 to 500 outlets. The company owns SFK, one of the biggest electronic-outlet networks, and has now set its sights on a stock-market flotation.

"In September last year 80 partner shops joined the network. Now there are 335 of them. Ultimately, we want to have 500 outlets by the end of this year," Karol Dudij, sales director at Action, told Puls Biznesu. "It is difficult to survive by one's own on the competitive market, which all the time welcomes new and strong players. There is already the German Saturn from the Metro Group, and Electro World from Dixons is coming as well."

Indeed it is, and the British electronic retail giant has chosen the Ikea shopping center in Targówek in Warsaw as the location for its first store in Poland. Under its Electro World brand, which is also used by the firm in Hungary and the Czech Republic, it wants to start trading in autumn this year. It plans to launch a chain of Electro World stores in Ikea shopping centers throughout Poland, to add to the 10 stores it has in the Czech Republic and Hungary.

For the moment it is not a main competitor for SFK, however, which has to deal with supermarkets, as well as smaller, specialized networks, such as Vobis, Sferis, and Bestcom.

To compete effectively on the market, Action wants to attract the best dealers. A trade deal signed by shops joining the SFK network obliges them to buy 40 percent of their goods from Action. However, not every shop can join the SFK group. Only independent outlets with a surface area from several dozen to several hundred sqm and a monthly turnover of at least zł.60,000 are considered. Action selects the new members to the network from among the 4,000 entities already cooperating with the company. Action currently employs 320 people in its Warsaw headquarters and has nine offices throughout Poland.

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