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A Study of the Trend of Retail Type of Operation in ChinaYang, Shin-ying 25 June 2005 (has links)
The growth rate of GDP of mainland China in 2003 is 11.48% and the average growth rate of GDP in recent five years is about 9.50%. The growth rate of total retail amount of social consumer goods is 9.00% and the average growth rate of it in recent five years is 10.16% which make mainland China the most prospective market. After joining the world trade organization¡]WTO¡^in 2001, the retail business in China went through a huge variation. Not only the keen competition between China enterprises and foreign businesses, but also the rivalries among various retail types of operation in China retail market make the progress of retail business in China.
This study reviews literature to understand the research on the revolution of the retail type of operation, collects and organizes the inferiority materials to know the development of present economic circumstance in mainland China, probe into the growth and future trend of the consumption and retail market. The three most attractive retail types of operation in recent mainland China are department store, supermarket and specialty shop, this study analyses the financial statements of the benchmarks of the three retail types of operation to obtain a deeper comprehension of the future development trend.
The result of this study shows the diversification of the development trend of recent retail type of operation in China which is different from the past situation. Every retail type of operation grows prosperously in China, and the performance of supermarket is even better than that of department store. According to the retail life cycle theory, department stores in mainland China are in the maturity phase and have to re-segment its target customers to raise its market share and revenue. The result of this study also shows the polarization of the trend of the retail type of operation in China, which the three most attractive retail type of operation represent. According to the dialectic model, there will be a synthesis between thesis and antithesis retail type of operation possesses the advantages of them. We can also learn from the three wheels of retailing theory that the department store will improve its return ratio by imitating and learning while supermarket will improve its turnover rate to strengthen its differences.
Keywords: Retail business in China, type of operation, department store, supermarket, specialty shop.
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