Parkson Group Is In Pition Dilemma

Baisheng group, once regarded as the first foreign capital store, is not in good condition.

In 1994, the Baisheng department store, which entered China's retail market, has developed rapidly in China and has established a high reputation.

However, what we see today is the news of large area closes.

Faced with this situation, Zhong Tingsen, chairman of Parkson and executive chairman of Malaysia Golden Lion Group, is obviously unable to sit still. He once said, "we will distribute the brand to online shopping and physical store channels."

In Zhong Tingsen's view, Parkson has been planning the online shopping channel, but unfortunately the company has limited control of brand resources and has not yet dabbled in it.

In addition to the modest progress in building online shopping channels, Parkson has also tried to retain customers through the development of catering business. In January 2015, Parkson announced that it had established a joint venture with the Malaysia catering brand AUM through the wholly-owned Affiliated Companies Baisheng Commercial Co., Ltd., to develop catering business in China.

People in the industry said in an interview with reporters.

Problems such as poor performance, declining passenger flow and immutable mode have been existing. Most of the traditional department stores in China have begun to pform to shopping centers and build their own online shopping centers, but they have not seen any changes in Parkson.

Even set up Parkson

It was not until September 2012.

At that time, Baisheng electricity supplier responsible person said that the Parkson network will not burn money, and will not vigorously do.

。

For Parkson's series of pformation actions, Du Yanhong believes that the Internet pformation of Parkson seems to be neither obvious nor clear.

The Parkson pformation catering industry intends to develop the catering industry to attract and retain consumers, but only the entity catering industry does not actively expand to the online market, opening up new marketing channels, it is difficult to improve the current appearance, and it is also difficult to truly realize the pformation of Internet thinking.

Related links:

Why do so many retail giants suffer from the decline or even loss of profits?

In a 24 day global retailer activity survey released by the world bank, Richard Ellis surveyed the biggest concerns of retailers in the global expansion in 2015. 47% answered the question of rising costs and sluggish economic forecasts. Only 1% answered the question of foreign direct investment and 2% were lack of logistics networks.

Therefore, the high cost is the first problem that the entity can not evade.

Reporters learned that although Huarun has its own advantages in real estate projects, for most retailers or department stores, leasing is the most important way, even if Huarun department stores, a large proportion of them are rental stores.

"These years have just reached the expiration stage of the 10 year lease, and the rent of many items is going up. This is an unavoidable problem. You have to pay a few times the cost of opening a shop many years ago if you want to see the new store or renew the old shop."

Mr. Shen, who has been engaged in large-scale retail business for a long time, told reporters.

The decline of the environment is also one of the influencing factors. For example, Wangfujing department store pointed out that the decline in its operating income last year was mainly influenced by the macro environment and related policies.

Global retailer activity survey also shows that retailers are slightly hesitant about expansion in the uncertain economic area, and the proportion of retailers who have opened more than 40 stores in the Asia Pacific region has shrunk to 5%.

In addition, changes in the high level and financial drag are the reasons for the loss of some companies' profits.

For example, there were frequent changes in the management of Bu bee Lianhua, and in 2012, major personnel adjustments were made. The former WAL-MART executive Chen Yaochang served as CEO.

But Chen Yaochang's expansion strategy has not stopped the decline in performance, and his position has been adjusted.

Huarun venture said its profit decline last year was mainly influenced by the acquisition of Tesco Tesco. Group management expects Tesco's joint venture to break even in the next three to five years.

Of course, one of the most direct factors is the impact of e-commerce.

Guangzhou friendship said that the diversion of market share by Internet retailing last year is obvious, and the overall growth of the traditional retail industry has further slowed down, with multiple difficulties and challenges intertwined.

Wangfujing department stores are blunt. The rapid development of Internet retailing and cross-border electricity providers has a certain impact on the revenue growth of the company and the industry.

Huarun venture believes that competition from the electricity supplier industry has had a knock on earnings, affecting retail sales in the same store, down 2.6% from a year ago.

Under many challenges, the profit of physical retailers is worrying.