Business Intelligence on Retailing, Franchising, and Consumerism in China


Wumart Closes Store In Shanghai

Beijing-based Wumart Stores — which has just announced plans to expand its business in East China — has decided to close one of its two stores in Shanghai.

The store, which has already been closed, was located on Siping Road.

Fu Yu, director for public relations of Wumart Stores said that the reason for closing the store was because the owner of the real estate wanted to reclaim it for a planned university city; and to cooperate with the government the company had to withdraw from the area.

Fu stated that this does not mean the company will change its expansion strategy in East China and the area will still be the development focus of the company. He added that if there is a proper opportunity in Shanghai, the Wumart will continue to open new stores and the company has already decided to open one more store in Shanghai.

With a large market share in northern markets such as Beijing and Tianjin, Wumart Stores has opened about 800 retail outlets, including supermarkets, hypermarkets and convenience stores. However, the company is weak in East China and it owns just 20 outlets in that area. To expand its business in East China, the company acquired a 85% stake in the Shaoxing Shangchao Investment Company for CNY151,177 million through its wholly owned subsidiary Hangzhou Tiantian Wumart Commerce Company in September 2008, giving Wumart indirect ownership of 54.09% of shares of Zhejiang Supply and Marketing Supermarket.

According to Wumart Stores, the acquisition is an important step for the company's expansion in East China and in the future, the company will continue to expand by acquiring leading retail companies in this area.






Be the first to comment on "Wumart Closes Store In Shanghai"

Leave a comment

Your email address will not be published.


*




  Other China News

ChinaTechNews.com:

AutoNavi, Delphi Reach Deal

Hisense's Net Profit Down 47.39% In First Three Quarters Of 2017

Airbnb China Head Resigns

DMG To Buy China Rights Of Forbes Brand


GreenChinaTech:

Chinese Electric Bus Manufacturer Lands USA Deal

American Electric Car Manufacturer To Build In China

U.S. Clean Water Company Makes Chinese Inroads

GE Will Promote Wind Power Through New Chinese Education Center


ChinaSourcingNews.com:

JD To Build Global Logistics Headquarters In Xi'an

Wumart, AGS Sign Agreement For Seafood Direct Procurement

India Gains Second Factory From China's Xiaomi

85% of Indian Staff To Lose Jobs At China's LeEco