Can The "Slogan Slogan" Expansion Of The Aeon China Market Turn Over?

While foreign retail giants have been losing weight in China and even left behind, Yong Wang has been playing the "chicken blood", expanding the shopping mall and taking dream city as China's core format. It needs to open 15 shopping centers (Meng Lecheng) in the mainland of China by 2016. In addition, long term bias in the two markets of Southern China and Shandong has been dormant for more than a decade, extending their tentacles to East China and central China.

In memory of Yong Wang's first store in Guangzhou in 1996, Yong Wang has entered the mainland market for nearly 20 years, and compared with the expansion of his competitors, Yong Wang has always been a "turtle driving forward".

So far, there are still no more than 50 stores in the mainland of China, far behind the WAL-MART and Carrefour, which have entered China in the same period. This performance is more disappointing to fans of the example of Yong Wang than its dominance in Japan's domestic retail dominance.

In 2008, Yong Wang issued a bold statement, opened 30 stores in 5 years, released a total of 100 stores in 2010, and opened 1~3 shopping centers every year in 2012.

No matter what the original intention of his bold words is to explain to his shareholders, or to the domestic shareholders, "cake". No doubt, this repeated emptying speech has already affected the reputation of enterprises. From these points of view, Yong Wang is indeed more like a sad person. Of course, the lack of localization and the slow feedback of management decrees are also criticized.

Now, Yong Wang once again issued a bold statement that he opened 15 shopping centers (Meng Lecheng) in China before 2016, hoping to get out of the declining trend in China through "dream city". But if he missed the golden ten years of China's retail market, can Yong Wang still "dream" into reality?

　 Chicken blood type expand

While foreign retail giants have been losing weight in China and even left, Yong Wang has been like "chicken blood". The development strategy has begun to turn from conservative to radical: expanding shopping centres and making dream city the core of China's business.

Former chairman of Jian Yongwang (China) Investment Co., Ltd. Qing Fang Hu When he took the baton, Yu Sheng had a mission to fulfill the mission of "Qing Qing Fang": rebuild a Yong Wang in Japan.

Yu Sheng and Xi are the elder statesmen of Yong Wang in China.

Since 2006, she has been responsible for the preparation of the "Yong Wang International Shopping Mall" and successfully built the first suburban shopping center in China. In 2011, after the establishment of the headquarters of aeon China, he was responsible for the work in China, including administration, personnel, finance, law and external affairs. In May 2013, he was appointed managing director of aeon commerce limited.

Since then, the development strategy of Yong Wang has shifted from conservative to radical.

Judging from the current signs, it seems that AEON China is no longer a "pie", but it is also unrealistic to achieve breakthroughs in the short term. Yong Wang must break the shackles of the past development of "mode".

If we draw a broken line diagram of the development process of Yong Wang's past stores in China, it is similar to a straight line, and there is almost no fluctuation.

In the case of WAL-MART, Carrefour and other foreign retail giant, busy in the whole country and building their own business empire, Yong Wang China is more like a "soy sauce" role, not only a small market, but also a small scale. By the end of 2013, there were only 44 stores in mainland China.

At present, the main business of Yong Wang in China is in five areas: Beijing, Tianjin, Shandong, Jiangsu, Guangdong and Hongkong. Besides the GMS, the business development of commercial real estate, integrated finance, property services, and exclusive stores are also expanding, and are gradually expanding to Hubei, Zhejiang and other regions. The first China central store in Wuhan will open in December, and two other Yong Wang Meng Le cities will open in the following year. They are located in Wuhan economic and Technological Development Zone and Shiqiao, and two are in the process of preparation.

Wuhan is the first stop for Yong Wang to enter the central China market. The first East China store opened in Wuzhong District, Suzhou in April this year. According to the plan, Yong Wang will open 15 shopping centers in mainland China by 2016. It is understood that the investment of Yong Wang Group in China from 2014 to 2016 will exceed 100 billion yen (about 5 billion 200 million yuan), an increase of 40% over the previous medium-term plan.

Yong Wang, who had been very calm in China, suddenly accelerated and stepped up the Chinese market, or because of the change in the 3 year medium-term plan of the group.

In 2011, Yong Wang formulated the medium term business plan, focusing on "Asian market". The business was divided into three parts: Japan, China and Malaysia, and vigorously promoted the development strategy.

Continuation of the last 3 years medium-term plan, Yong Wang continued to increase the Asian market. AEON group said it intends to invest about 400 billion yen (about 20 billion 800 million yuan) in Asia in 3 years (2014 ~2016) for the development and expansion of Asian stores. It is estimated that the total investment of the medium-term plan will reach 1 trillion and 500 billion yen (about 77 billion 900 million yuan), which has doubled compared with the previous 3 years. The share of investment in Asia will rise from 15% to around 25%.

Although Yong Wang did not provide profit and loss data in China, it can see that its revenue is increasing from its related earnings. In the Chinese market, the 1~6 business income of Yong Wang this year is 80 billion 505 million yen (about 4 billion 188 million yuan), an increase of 16.3% over the same period last year. The loss was 961 million yen (about 50 million yuan).

In 2013, the business revenue of the aeon China business was 145 billion 463 million yen (about 7 billion 578 million yuan), an increase of 28.8 percentage points compared with the same period last year. The operating loss was 1 billion 765 million yen (about 92 million yuan), which was 69 million yen (about 3 million 589 thousand and 300 yuan) less than the same period.

Wing Wan official website shows that Wing Hang currently has more than 200 enterprises and nearly more than 15000 shops in Japan and abroad, mainly in Japan, China and Southeast Asia.

Ever since 1980, Yong Wang has entered shopping centers and supermarkets in Malaysia and Thailand. In contrast, Yong Wang entered China a little later. He entered Hongkong and Guangzhou in 1987 and 1996 respectively, covering the Moore shopping mall, comprehensive department store, food supermarket and convenience store. In 2014 ~2016, the number of overseas shopping centers increased from 36 to 70, and the proportion of overseas shops in the total area of shops increased from 27% to 40%. ?

In China, Yong Wang runs "small steps". In March 2008, AEON dream city (China) Business Management Co., Ltd. was established in Beijing. Yong Wang told China chain reporters that dream city is the core business of Yong Wang in China. Its comprehensive department stores, food supermarkets, convenience stores, finance, services and other formats will be shopping centers as a platform for integrated development. The official business of Beijing Changping's "Yong Wang Beijing international shopping mall" officially declared the beginning of the dream city's landing on the Chinese market.

　　 Aeon It shows that the advantages of Yong Wang Meng Le City are appropriate investment and effective operation management mode, and the design, investment, investment and operation of shopping centers according to the regional development.

　　 Can you turn the tables?

Despite the ambitious ambition of Yong Wang, Chen Liping, a professor at Capital University of Economics and Business, believes that to a large extent is a gimmick, which is heard by Japanese domestic investors.

In fact, in the past, Yong Wang had made many bold statements but failed in the end. In 2008, AEON said that 30 stores were opened in 5 years. In the 2010 fiscal year, the total number of stores in China was broken. In 2012, 1~3 shopping centers were opened every year, and these plans were not completed on schedule.

Wang Xianqing, director of the Institute of circulation economics of Guangdong University of Business, believes that the project of Yong Wang in China is slow, and propaganda is not enough. Sometimes, information is kept publicly, and the outside world does not know the ultimate intention of Yong Wang. "Japanese retailers have too little information and information in China, and they do not want to communicate with everyone."

There are also many doubts about whether or not the goal can be achieved. Zhang Jun, Secretary of Liqun department store, speculated that the grand development plan proposed by Yong Wang may be just a concept and strategically, but the whole project has a cycle and a sequence in its construction and opening. If the first dream city is not too ideal, there may be some adjustment or even a slowdown in the later stage. The bigger the concept at the beginning, the greater the support of the government, including the greater influence in the process of investment.

Under the strategy of increasing the overseas market in headquarters, the index of "Yong Wang" in China is "increased". Can the dream of Yong Wang dream break the curse and avoid repeating the failure of GMS in China?

In fact, before Yin Wang shifted its focus to the shopping center, its performance in China was not satisfactory, and Southern China suffered a continuous loss in recent two years.

Yong Wang (Hongkong) department store limited reported in the first half of 2014, during the reporting period, China's business in Hongkong still lost money, and 29 shops in Southern China District lost HK $8 million 400 thousand. AEON Southern China lost HK $160 million last year.

Although the first store in Yong Wang in mainland China opened in Guangzhou in 1996, its expansion in stores in Southern China was slow. As of June this year, AEON has only 29 stores in Southern China.

Judging from its performance, Yong hang China ranked the 67 highest in China since 2005, ranking the highest in thirtieth place. In 2013, Yong Wang, with 44 stores, ranked 64 in China's top 100 list. The number of stores and sales scale far behind Carrefour and WAL-MART.

In the mainland of China, different parts of the region are managed by different companies. Guangdong region is mainly invested directly by Yong Wang (Hongkong) Department Store Co., Ltd., and is invested by Yong Wang headquarters in Shandong and Beijing Tianjin area.

For the situation of Yong Wan's cautious expansion in China, Mr Wang, a consultative partner, said that the strategic decision of Yong Wang could be affected by Sino Japanese relations. "Yong Wang basically belongs to the livelihood of the people, the safety of enterprises is a factor to consider, which may lead to the strategy of Yong Wang in China."

This consideration is not without reason. In September 2012, the boycott of Japanese goods destroyed Japanese store facilities in Qingdao.

In addition, in terms of personnel arrangements, the high level of wing Wang is not localized, so policy decisions are slow, which can lead to problems in management. At the same time, AEON is not good at "localization" and market public relations handling. At present, there are over 100 senior managers in China, of whom only 15% are local employees. Yong Wang seems to also feel the pressure of talent. He said, "we are now stepping up efforts to train (local talent), and strive to increase this proportion to 50% in the future."

Wen Zhihong believes that from the overall development of the industry, Yong Wang really missed the best retail business in China.