Domestic Appliance Repair Or Replace?

Article : Domestic Appliance Repair Or Replace?



Foreign Competition For Domestic Home Appliances Home Appliance Chain Store “cake” – Gome
While domestic Home Appliances Chain has been the country the United States,
Suning This national giant, but China’s vast consumer space, as well as home appliances home appliance chain has not yet mature markets, or lead to foreign home appliance chain giant coveted. Reporter was informed that China goes back into the past 5 years, Best Buy, to walk out of Shanghai, and plans to shop in Beijing in November; At the same time, Japan’s No. 1 home appliance chain from brand YAMADA motor is also ready to Shenyang as the purpose , expand in China’s home appliance stores all over.

Best Buy to Beijing to open “shop shop”
Reporter was informed that after the National, Best Buy rented the second floor of Beijing Scitech Shopping Centre, in preparation for opening the first store in Beijing. However, because the layer is divided into several regions, household appliances account for only part of an area of only 800 square meters, Best Buy will use the “shop shop” format, which sells high-end appliances. The first store opened in Beijing soon for the issue, Best Buy seems very low key, the situation for the store, Beijing development strategy, Best Buy aspects have not been disclosed, the marketing director has Yiu-joa even denied the shop “for Best Buy from Camp store, “he said Best Buy is only responsible for supplying the specific operation carried out by Dorset.

This, industry analysts believe that Best Buy to Beijing especially low-key and perhaps the more “esoteric” reasons. As Beijing’s home appliance market has been Gome and Suning, Dazhong the Big Three account for more than 170 stores, Best Buy who was confronted with the opportunity they obviously do not. As early as in 2005, the ambitious Chinese home appliance chain Best Buy, he wanted to enter the Beijing market, shop at the last moment saw in Madian was Huang Guangyu, “away”, followed by Best Buy will be the door to Beijing closed and store in Shanghai because of the delay in expansion plans get approval and the Ministry of Commerce had to be postponed. Today, Best Buy was able to open the two stores in Shanghai and success, and was recently approved in China added four new stores. But this time, Gome, Suning, whether the scale of the rapid expansion of stores in Beijing, or in the national market have already thrown up its far behind.

Yamada Electric intends to open two stores in Shenyang
Coveted high-end appliance market in China, more than 100 Best Buy one, from Japan’s No. 1 home appliance chain brand Yamada motor, also had to look close watch on China’s wealthy class. In mid-September, Shenyang Economic and Trade Commission said, Yamada Motor will invest in Shenyang, Shen He District, 100 million U.S. dollars building electrical department store flagship store in Shenyang, and invested in a peaceful area appliance store items, the stores are expected to officially launch in 2009, the current location of the two stores has been concluded, has entered the shop of the preparatory phase.

In fact, back in May, Yamada Motor said it would open its first in Shanghai, China store, however, because foreign business in Shanghai is relatively more sensitive in terms of status, so Yamada electrical short in the Shanghai store opening program time difficult to achieve, under the helpless before the eyes moved to Shenyang.

Learned that as sluggish consumer market in Japan, Yamada Electric in 2008 first quarter net profit fell 8%, if only to rely on Japanese market, Yamada Motor difficult to achieve its 2009 net profit rose 6 percent of the annual target. In this context, Yamada motor to please shareholders, select the overseas expansion strategy, and business focus in the Chinese market, a series of coastal economically developed areas, target groups located in the wealthy class. If successful in overseas markets for more market share and profits, Yamada motor can obtain more from the shareholder capital support.

Gome, Suning rainy day
Although Best Buy and Yamada Electric power in China has yet to GOME, Suning threat, but the two giants in private or home appliance chain concerns the two overseas giants in China’s every move. Yamada motor shop in China in that plan, Suning CEO Sun Weimin said: “The past will come sooner or later, we are ready.” And He Yang Qing, vice president of Gome is that the Yamada Electric “large” business model can not survive in the soil of China, are not optimistic about the future potential competitors. Although the two have to say this, but with the treatment of GOME Suning, like Best Buy’s attitude can not but say that the deliberate defiance of the strategic posture.

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