For the first time in history, a person from outside, not a ‘Lotte man’, is expected to be appointed as the representative of Lotte Department Store.
According to the retail industry on the 24th, at the Lotte Group personnel meeting scheduled for the morning of the 25th, Jung Jun-ho, CEO of Lotte GFR, is being mentioned as the representative of the department store. It is the first time that an outsider has been appointed as the head of a department store. The reason for Lotte’s decision to entrust the department store head to an outsider is believed to have reflected a sense of crisis over the continued sluggish earnings.
After working at Shinsegae Group for more than 20 years, CEO Jung moved to Lotte at the end of 2018. While in charge of overseas business at Shinsegae International, it has attracted more than 30 overseas brands to Korea.
Vice Chairman Kang Hee-tae, who served as the head of Lotte Shopping’s Distribution Business Unit (BU), will also resign. It is known that an outside person recruited directly by Lotte Group Chairman Shin Dong-bin has been appointed as the replacement. The organization, which currently consists of four BU systems, will also be reorganized. It is likely to abolish the current BU system and change it to a four-industry system (HQ/HeadQuarter): distribution, chemical, food, and hotel.
Reporter Sa Ji-won [email protected]
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