The retail sector in China was an impermeable one, allowing almost no entries from overseas. The trend is being reversed with increasing activities in mergers and acquisitions (M&A), consolidating new and emerging retail trading businesses. Retailers have realised that the future lies in linking each other gives a cutting-edge advantage on achieving buying power over suppliers; besides, the global trend goes in the same direction. Consolidating markets which were previously scattered in bits and pieces has resulted in the creation of several investment opportunities: whether for multinationals or local corporate and private investors.
Investors cannot help relishing at new opportunities that are created as the need for capital increases with the growing rush to acquire strategic locations for the purpose of establishing national business outlets. The operational framework is now more relaxed, providing multinationals with an unequal breathing space in their manoeuvres. Still, those who came in during those tight regulations face delicate issues in their quest to integrate or acquire Chinese businesses. New comers, on their side, can choose to directly acquire existing retail businesses or set up their own local sales network.
(Image source: Businessoffashion.com)
1 comment:
Even all leading country are in back to rhythm like India, Germany
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