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Research on China's Retail Market

SOURCE:DOINGBUSINESSINCHINA.ORG   TIME:2016-04-07

 

Research on China's retail market


 
China retail industry starts in the 20's, but with the intensely competition and frequent wars limit the development of China retail market. With the development of the retail industry, retailers is constant searching for a more economical and more suitable development model which will bring profit to the business.
 
Ⅰ.The present situation of Chinese retail industry
 
The State Administration of internal trade in the 《opinion on the standard classification of retail formats》, divide retail stores into 8 categories: department stores, supermarkets, large integrated supermarkets, convenience stores, warehouse style shopping malls, professional stores, stores, shopping centers.
 
1.Department store  
At present, the development of Chinese department stores presents the characteristics of large scale, group organization, diversified operation and extension of new format. Judging from the market situation, the performance of large department stores is as follows:
a.Declining economic benefits.
b.Excessive competition in the same industry.
c.Different forms of business to occupy the market share.
d.Lack of hot spots in the market, consumer demand for obvious fault.
 
2.Chain supermarket
a.high speed of development, distribution is broad.
b.fierce competition, chain supermarket industry enter into the integration period.
c.foreign investment into faster.
 
3.Warehouse markets
According to preliminary statistics, there are more than 2000 warehouse markets across the country. Warehouse markets have been expanded from the most economically developed city Guangdong province to Beijing, Shanghai, and then to the provincial capital city and other industrial and commercial city.
The mainly advantage of China's warehouse markets :
a. warehouse markets were located in the middle and low grade.
b.the implementation of membership system is also easy for businesses to conduct market analysis, determine the consumer trends, and develop a variety of marketing strategies conveniently.
c. independent form of shopping.
d. business management agencies to streamline and efficient.
e. warehouse style shopping malls are generally implemented PB strategy.
 
4.Speciality Store
Rapid development, substantial increase in total; professional division; various forms of business.
 
5.convenience stores
 
6.other forms 
 
Ⅱ.The development of China's retail industry’s advantages
 
1.the commercial development of the platform has been put up
 
2.large market space
 
3.the advantages of local culture
 
4.the continuous improvement of personnel training system
 
With China's sustained and rapid economic development environment as well as the rapid development of China's huge consumer market potential, which has provided a broad space for the sustainable development of China's retail industry. 
-----by the State Administration of Internal Trade



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