MEXICO CITY, June 8 (Reuters) - Wal-Mart Stores Inc. (NYSE:WMT - news), the world's largest retailer, plans to tap the large Hispanic market in the United States, possibly with the help of its Mexican subsidiary, retail chain Cifra , a J.P. Morgan retail analyst said in a report (corrects).
The report said Cifra would help Wal-Mart establish relations with Mexican providers and lend expertise on Mexican consumer habits, knowledge that could be used to market to Hispanics in California, some 80 percent of whom are of Mexican descent. Cifra couldn't be reached for comment.
''We believe that Cifra could be involved in Wal-Mart's efforts to tap these consumers (corrects quote),'' Meredith Prichard said in a report after attending Wal-Mart's annual stockholder meeting in Fayetteville, Arkansas last week.
''Even though Wal-Mart has a significant number of stores, the focus was initially placed on discount stores (corrects quote),'' Prichard said.
The report said Mexican immigrants' nostalgia for products from home made the market attractive.
Prichard also said that Wal-Mart, which bought 51 percent of Cifra in 1997, said it was satisfied with its current relationship with Cifra and its share structure.
''The two companies have a good balance and (said) that they feel fine about the current share structure,'' said Prichard.
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