« The large distribution in China entered a new stage of development »
assures Guo Geping, the president of the association of chains and franchising
of China, in the columns of Caixin Century. « Rules, structure and
environment of the market must be reconsidered. "
The actors of the sector have to adapt themselves to a
new situation, where the competition is aggravated and the increasing operating
costs rapids, adds Guo Geping. The big foreign groups have other solution no
than to adjust their strategy. Li Ling, a public relations manager of Wal-Mart
so explains to the weekly on which the company decided to concentrate on the
improvement of the quality in its stores ready more than on the opening of new
points of sale. The group also plans to dash into the e-commerce, rapidly
expanding in China.
For example, Wal-Mart plans the opportunity to acquire 51 % of the e-supermarket The Store and that its platform
of on-line sale would be taken for a trial period at present. The Chinese
distributors already ready quarrel ardently the market with cost of price war
and easy terms. « We do not know to what extent the foreign companies will
be capable of competing. », concludes Caixin Century with a note of
pessimism.
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