WAL-MART'S Further Expansion Is Imperative.

Before the launch of WAL-MART's quarterly report, Dong Minglun, WAL-MART's global president and CEO, came to China again.

This is the third media conference in China in 15 months.

Chinese and foreign media asked "no relentless" questions on WAL-MART in recent years.

In spite of some embarrassment, we must admit that in the Chinese retail market like competition Red Sea, closing stores, layoffs and even management structure adjustment is not WAL-MART's crisis, but rather the ability and courage of a pnational retail giant to be keen and quick to adjust to the market.

Really profitable shops are still focused on the first and second tier cities.

In the rural areas, the logistics hypermarket can not play the scale benefit and the radiation benefit of the logistics base. After all, the urban residents are still accustomed to the "bargain" open market mode.

Up to now,

There are 412 stores in China.

According to the 2014 China chain top 100 report released by China Chain Store Association, WAL-MART's offline supermarket is second only to Huarun, which is the 304 largest supermarket in the market.

3 years, 115 new stores, such a plan means that in the next 3 years, WAL-MART will still be the super boss of China's fast moving products, and the reform of WAL-MART China's opening up stores from high Fu Lan era will give WAL-MART a huge imagination to improve its performance.

Dong Minglun said, "WAL-MART's expansion route is clear, the company will be in Shanghai, Shenzhen, Changsha,

Second, second tier cities open more stores to further strengthen the development and penetration of mature markets; on the other hand, WAL-MART will further expand the development of new cities and gradually urbanized new towns.

Now WAL-MART is no longer a big pursuit of volume, WAL-MART's goal is to pursue better.

WAL-MART's quarterly report shows that in addition to consolidating the market in the first tier cities, it has increased the expansion of the three or four tier cities.

For example, Guangdong, Heyuan and Lianjiang, Yunnan, Lijiang and Lincang, which will open new stores this year, are the first cities in which WAL-MART has been stationed.

However, from the perspective of the entire retail industry, the one or two tier market in China has never been hit by e-commerce.

New towns, especially the three or four tier cities, seem to have huge demand for large supermarkets. But once the channels of retail enterprises are too deep, the logistics front is too long and the cost is too high, the retail centers will hardly be able to generate profits and benefits.

A month after Dong Minglun's press conference in China, WAL-MART announced that it had opened up the O2O platform under the online and offline platform for trial operation in Shenzhen.

Ke Junxian, President and chief executive of WAL-MART China (Sean Clarke), hopes to connect real stores and e-commerce services to become "real O2O companies".