Case | HBS Case Collection | October 2005 (Revised December 2006)

Magazine Luiza: Building a Retail Model of "Courting the Poor"

by Frances X. Frei and Ricardo Reisen de Pinho


Describes the innovative retail model of the Brazilian firm Magazine Luiza. Magazine Luiza enables low-income consumer credit by applying a flexible and nuanced evaluation system. Additionally, its dedication to customer service, employee motivation, and progressive use of technology have driven its success and expansion.

Keywords: Motivation and Incentives; Information Technology; Income; Innovation and Management; Success; Customer Focus and Relationships; Credit; Retail Industry; Brazil;


Frei, Frances X., and Ricardo Reisen de Pinho. Magazine Luiza: Building a Retail Model of "Courting the Poor". Harvard Business School Case 606-048, October 2005. (Revised December 2006.)