What'S Wrong With Fat Dong?

A lot of people in the industry say that in today's pursuit of bigger and stronger enterprises, especially in the days when the State encourages consumption to expand domestic demand, it is hard for people to take the initiative to shut down and share the market share in Xuchang and Xinxiang.

By next month, that is December 26th, fat east has officially entered Xinxiang for just 10 years.

But on the two days, a "letter of announcement" about Xinxiang's fat east came out on the Internet, causing Xinxiang people and even Henan business circles to make waves again.

The core content is the expiration date of the property of Xinxiang fat east department store limited in December 31, 2015, and the Pinglu store will be closed in December 15, 2015.

In 2005, Chuang Tung came into the Xinxiang market. Currently, there is a more than 40 thousand square meter department store and more than 20 thousand square meters living square in Xinxiang.

The former is located in the middle and low end, the main supermarket, clothing, small household appliances, the latter positioning high-end.

At present, the fat east department store in Xinxiang is as usual.

However, advertisements published by local media in Xinxiang say that in recent years, there are many discount promotions in this store.

Local people say this is a clearance deal.

In April 30, 2013, a sudden announcement was made on its personal micro-blog in East: Xinxiang fat east will close after the property contract expires (2015).

With this news coming out, the netizens in Xinxiang are boiling.

Although micro-blog explained in the subsequent release of micro-blog, the Xinxiang store closure is a strategic adjustment within the enterprise. "Reducing the size of the enterprise is due to the lack of operational management capabilities". But after that, the news of the withdrawal, the news of resettlement of employees, the news of relocation, and the news of the mayor's retention were overwhelming.

In October 15, 2014,

Wei Bo said, thank the mayor of Xinxiang for the true feelings of retention, Xinxiang fat east not to go! In Donglai also said, he is a perceptual person, Xinxiang people really may have a deep feeling for the fat east, in this case, stay and stay, is also for this reason.

But by the beginning of September this year, it was also reported that the fat east decided to pull out of the Xinxiang market at the end of the year and close the two shop.

And then the outflow of the letter tells us that it is inevitable to close the shop.

Yesterday afternoon, fat Dong came to the headquarters of the relevant people said that it may be necessary to close the Department Store (Plain Road shop), after the Xinxiang only left a living square shop.

However, the official announcement of the group shall prevail.

Some netizens say that living in Xuchang and Xinxiang is inseparable from fat east. Although it is a bit absurd, it is not without reason.

At the beginning, it was in 1995, the predecessor of fat east - the chubby tower store opened in Xuchang, with a business area of only more than 40 square meters.

At that time, he was a laid-off worker and led three companions to start a business.

10 years later, in December 26, 2005, he came to the Xinxiang people formally, and the business area increased 1000 times.

Over the past ten years, the fat east has long been integrated into the life of millions of citizens in the urban area of Xinxiang, or has long been integrated into their bones and veins.

Although the fat market is limited to Xuchang and Xinxiang, the scale is far from WAL-MART, Carrefour and Denis, but its business status in Xinxiang is hard to catch up with.

Fat Dong has come to fame in China's retail industry and even in the whole business world.

Not only because it defeated or even squeezed strong local brands and national chain brands in the Xuchang and Xinxiang markets, but also because of its humanized management and service, it was praised as the "bottom fishing" of the retail industry by the industry.

President of China Chain Association

After visiting the fat east, I even sent out the exclamation of "this is absolutely the best store in China".

Fat Dong's salary is much higher than that of the same industry.

Since the implementation of the system of "closed shop every Tuesday" in April 2012, fat east has raised a wave of public opinion in the domestic retail industry.

Some people think that this is the love for employees. Some people think that this is the monopoly of monopoly market. Others think it is a successful brand location for fat east, so we can see its strategic ambition.

What's the matter with fat Dong? On the face of it, the rent coming from the fat east is about to expire.

Stop operation.

There is unconfirmed information that the rental price of the property came to an end, and the landlord charged 15 million of the rent from 8 million yuan a year.

From this "outgoing letter" on the outflow, it seems to be able to peep out the "fat east" shop, which is closely related to the "property issue".

Local people said that the fat east department store located in Xinxiang Plain Road, located in the local core business district, with the local Xinxiang department store, Denis shopping plaza and other old shopping malls on the same street.

Because there is no ground parking lot, merchants are reluctant to enter here.

Finally, developers found fat east to sign a more favorable rent for 10 years.

Now the property has been revitalized and the rent will rise.

Although the local government really wants to stay, the fat east is looking for new properties or self built, but no result has been made.

In fact, in the past two years, fat east has been compressing the storefront.

Since 2012, fat Dong has started shutting down some supermarket chains in Xuchang's streets and lanes, with a total number of 14, involving thousands of employees.

In September 15, 2014, micro-blog came from East: there will be only one store in the next three years.

Is it a problem with the capital chain or bad management? Is it the impact of the electricity supplier? Is it too competitive? Or is it like the personal adjustment of the business strategy that the individual has said? But anyway, it is regrettable and reluctant to leave the store.