Walmart closed unprofitable stores, and planing to open 110 new retailers stores in China.

(image from: http://www.huffingtonpost.com/2013/10/24/walmart-china-stores-2016_n_4155171.html)

By 2016, up to 110 new Wal-mart’s retailer stores will be opened in China. Definitely, the expansion of the business is a key part of Walmart’s business plan that attempts to gain more profit in China. In addition, 30 new stores have been opened this year, and 11 stores have been shut down. The company plans to close more stores, around 15 to 30, that cannot make profit to ensure that the increase in the sales can cover its expenses entirely. As the total sales declined, the company found that Chinese were more likely to do online shopping. Therefore, Wal-mart bought the Chinese online store, Yihaodian, to assist the e-commerce growth of company. Selling products on Yihaodian will help Wal-mart to get more consumers. Now Wal-mart has more power to dominate both actual business market and online business market. In this way, the company not only creates more opportunities to gain market share, but also brings more convenience for the consumers when buying their products.

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