The retail industry in China has witnessed rapid growth during the past two decades, and that growth has tended to cover up many inherent problems in the retail industry itself. However, given the more recent slowdown of growth, changes in consumption patterns and the rise of e-commerce, challenges in all aspects of operations management have become more critical.
This report is based upon research conducted jointly by China Chain Store & Franchise Association and PricewaterhouseCoopers (PwC). It summarises our views on operational management for Chinese retailers and provides insights on improving operational efficiency. Our research included information from three major sources:
Interviews: We interviewed professors at Harvard Business School, as well as senior executives of the Top100 retail chain stores in China.
Questionnaires: We conducted a survey with 21 Chinese retailers, most of them in the Top 100 retail chainstores in China.
Listed company data: Our quantitative analysis, including financial indicators, was based on publicly available data for retailers listed in Mainland China and Hong Kong. The sample consisted of 86 companies, and the formats included department stores, supermarkets, multi-format stores and specialty stores.