1000 M Limit Of Came Out Of The Home Appliance Chain To Accelerate Enclosure
Home appliance industry in China can be said nowadays one of the most competitive industries, despite drastic changes are always filled with many uncertainties.
December 9 last year, the Ministry of Commerce announced on its website recommended industry standard of “professional home appliance stores operating specification (draft)” (hereinafter “Standards”), to the public for comments. “Norm” in the part of content, including free delivery within 20 km and other big-ticket goods, prohibited the sale of “three no” and no “3C” products, basically in Haikou, the majority of enterprises in the free distribution has been covering the whole island. Right now, the focus of the industry focused on its “professional store not less than 1000 meters distance” requirement.
Gome, Suning and domestic appliances business contest was going on, “standard” baked fueled no doubt, accelerated the expansion of Haikou appliance industry trend.
Km of the accelerated expansion of limited
“1000 meters shall not open a new store,” had its best light is a street in Haikou New South appliances. However kilometers of streets, shops everywhere, busy. One to the holidays, bustling business promotions, sales caused by roadway taking traffic congestion, noise pollution issues have been prominent.
“Appliance stores get together and shop the various stores were the direct result of reduced flow, single-store profits fall.” Relevant persons, the Ministry of Commerce in the “norm” in the location for the appliance store was limited to avoid excessive competition. As the position of a non-commercial reproduction and if the “norms” Once introduced, Gome, Suning Appliance want large-scale domestic enterprises have entered the sea, will greatly increase the difficulty, which may lead to a new network battle??? Home appliance giant by way of acquisition of local firms into new markets.
Vice President Xi-Hua Yang, Shun Hing Electric
that, from a social point of view, “km Riding Alone” is to ease traffic congestion, noise nuisance and other pressures; from a commercial point of view, and prevent vicious competition and to maintain ecological balance shopping district. Most consumer electronics companies now get together Haikou New South, in addition to Shun Hing flagship store, the first country in the United States International Trade, Shanghai show road distribution, the sea-Fu Road, Tainan, Haidian Island, Xiuying and so are the gaps in home appliance industry, all have good environment, its potential business opportunities and consumer enthusiasm be activated.
However, the vast majority of chain giants and new regulations will not slow down the momentum of chain expansion, and even rush to complete the new regulations introduced “Happy Valley enclosure.” Suning Appliance has publicly said that the number of new store openings nationwide this year, more than 150. News from multiple sources that bear further countries followed the United States, in April this year, Suning will also shop in Haikou distribution. The country has also sent out the signal the United States prepared to open 10 stores in Hainan.
Enthusiastic home appliance giant to shop chain, is to increase the number of through their store, forcing opponents off store the probability increases to squeeze out competitors. A mouth appliance business sources, forced by the situation, Haikou, household electrical appliance enterprises have basically given up sales profits, while relying on manufacturers to profitable sales rebate form. General domestic enterprises rebate of 12%, while China and U.S. giant scale because the country, plus the management fee rebate up to 20%. So the more stores open, greater channel value, the more bargaining power with manufacturers to meet, the more manufacturers can get more support, which is keen to shop home appliance chain important reason for expansion.
Battle plan for the first 1000 meters
Household electrical appliance enterprises and commercial enterprises, after all, different, shop distribution involves too many conditions, including the capacity of store property, outside the field of space and parking and other environmental conditions, behavioral marketing space, popular accommodation space, Mass Effect, and environmental protection many indicators. Example, each chain Suning site, but also business district type, radiation area, covering the crowd, and many other content, for example, each store must be strictly limited to radiation of more than 100,000 people, between the two stores must have more than 3 km intervals, etc. Based on these indicators will also store in accordance with the flagship store, the center stores, Neighborhood Markets and reasonable distribution of three categories, thus effectively divided into a radiation area of each store.
The limit for 1000 meters, Haikou appliance industry have also prepared a response. Recently, head of Gome high clusters in South China, said the country’s combat system and staff the U.S. system is also activated in the first sea-store distribution show the same time, Qiongshan District, Sanya, etc. of the site have been completed. Once the “norm” introduced, the first to occupy a country the U.S. has been positioned to open flagship store.
Shun Hing Electric
also think that kilometers of the limits of the appliance business of a threat. Haikou household electrical appliance enterprises over the past rely on ready-made original business district, for a negative resource exploitation, we all huddled together, in addition to services, the price is bound to Competition, leading to market volatility and ultimately hurt business and consumer interests .
I am an expert from China Toys Suppliers, usually analyzes all kind of industries situation, such as fuji frontier 330 , photo printers reviewed.
Processing your request, Please wait....
