[Gimeunji financial newspaper reporter Korea] decided to withdraw the local market to 11,997 years Mart 20 years opened the first store in Shanghai QuYang and entered the Chinese market. Local stores have continued rising out of Anti-Korean sentiment due to a problem with the deficit is also placed Saad judgment of management that is difficult to do business.
According to industry sources, the 25th Mart had entered the Chinese business restructuring since 2011 and is currently only operating only seven local stores. Also reportedly it decided not to extend the contract on the Shanghai Lao Seaman point later this month rental agreement ends.
Besides Rao Seaman Louis hongjeom points, unauthorized benefits, I plan to also closed six stores this year, including the Chao points, windows advantages acids that, lorries blot. The store is scheduled to close the door as soon as the agreement of settlement, such as rent and employment ends.
Mart store in 1000 aiming to open the Chinese market has jumped once China has expanded to 27 stores. However, due to China's economic slowdown and localized failures, higher store rents, etc. it was struggling.
Also in site selection fails, Vanguard and price competition from local Chinese suppliers of stores that do not have a competitive point affected. Chinese culture, such as exclusive does bear close relationships with local wholesalers also act as an intermediate difficulty.
Mart has shuffled prior to 2011 restructuring, which once sold for 11 local stores. 2011 China E-Mart has found an operating loss of more than 100 billion only one year. The cumulative deficit of the last four years also Mart deficit of almost 44 billion years won Although reduced to 2014, 35,100,002,015 years, 216 one hundred million won in 2016 to reduce the number of stores has recorded more than 150 billion won.
This is not limited to E-Mart. Lotte Mart had established a plan for streamlining business in China earlier this year accordingly entered a closed shop and reorganization of the fallen profitable stores. It overlaps here on business interruption due to retaliate Saad is currently the state of the local stores to stop sales of up to 90%.
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