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    What Do Chinese And American Retail Businesses Have In Common?

    2017/6/28 11:58:00 33

    PapayaClothingFootwear

     retail

    Recently, American retailers

    Papaya

    Clothing filed an application for bankruptcy protection to the court, which caused market concern.

    Regarding the cause of bankruptcy, the explanation of Papaya company is that the burden of overload caused by over expansion is two, and more and more consumers are pferred to online shopping, resulting in a sharp decrease in store traffic.

    In addition, Papaya officials said they would continue to sell products online after filing for bankruptcy, but did not disclose the proportion of online sales in the overall business.

    The reporter noted that as of the first half of 2017, it was the twelfth American retail company to declare bankruptcy.

    On the other side of the ocean, what is the situation of Chinese retail enterprises on the ocean side?

    Retail businesses in China and the United States shut down during the pformation pains

    In response to the application filed by the US retailer Papaya Clothing to the court for bankruptcy protection, in June 26th, the reporter sent an interview letter to the company's mailbox, hoping that the company could respond to the specific time of its bankruptcy filing, the specific reasons, and the company's next business plan after filing bankruptcy protection. However, as of press release, it had yet to receive a reply from the other party.

    According to the world clothing and shoe net, Papaya's assets range from 1 million to 10 million dollars, including 80 chain stores, 75 thousand square feet of company headquarters and online order distribution centers; Papaya Clothing's debt ranges from 10 million to 50 million dollars, and the largest creditor is

    Clothes & Accessories

    Manufacturer Ambiance Apparel.

    About bankruptcy reasons, Papaya explained that first, the burden of overload caused by over expansion. Two, more and more consumers moved to online shopping, resulting in a sharp decline in store traffic.

    In addition, Papaya officials said they would continue to sell products online after filing for bankruptcy, but did not disclose the proportion of online sales in the overall business.

    As mentioned earlier, as of the first half of 2017, it was the twelfth US retailer to declare bankruptcy.

    Prior to that, there were children's clothing retailers Gymboree (golden baby), teenage clothing retailer Rue 21,

    footwear

    Discounted retailers, such as Paylees ShoeSource, department store operator Gordmans Stores, outdoor goods retailer Gander Mountain, household appliances, electronics and furniture retailers hhgregg, electronic products retailer RadioShack, youth clothing retailer Wet Seal, women's wear retailer The, and so on, announced bankruptcy.

    "Frozen three feet are not cold for a day", the US retailers' closing shop tide is not popular this year.

    According to foreign media reports, the number of US retailers who filed for bankruptcy in 2015 was 16, compared to 15 in 2016.

    At the same time, the "days" of Chinese retail enterprises are also bad.

    According to previous media reports, with the name of "first department store of foreign capital", Baisheng commercial group has closed at least 15 stores in the past 5 years.

    According to public data, in the first half of 2017, 57 listed companies involved in the department store, 77% of the company's revenue declined, 75% of the company's net profit decreased, 67% of the company's revenue and net profit fell.

    Metersbonwe, a well-known clothing company, announced 2017 first quarter earnings report. The company achieved a business income of 1 billion 674 million yuan in the first quarter, down 12.89% from the same period last year. Net profit was 28 million 953 thousand yuan, down 43.68% from the same period last year.

    The reporter noted that most of the retailers that the United States declared bankruptcy was applying for the "eleventh chapter bankruptcy protection" of the United States Code. The debtor still owns the brand after applying for bankruptcy protection, and will operate under the supervision of the court and creditors. He also has the opportunity to make proposals for financing and reorganization within 120 days, or to find companies willing to take over his business or assets.

    Most of these stores face the same problem, that is, the pfer from physical stores to online shopping.

    For example, Gymboree said it would continue to maintain online businesses; Ben Gross, senior vice president of Rue 21, said the company's online business operations would not be affected by the bankruptcy petition; the women's clothing retailer, Bebe Stores, decided to close all physical stores and turn them into pure electric commodity brands.

    Experts: there are two common points in Sino US new retail business.

    "We regard the electric business website as the biggest store, it will continue to maintain two digit year-on-year sales growth."

    Ben Gross told the media before.

    According to public information, rue 21's online sales in 2016 amounted to $55 million, an increase of 40% over 2015.

    In addition, WAL-MART's recent acquisition of Bonobos, the largest Internet clothing brand in the United States, has attracted the attention of the outside world.

    As a retail giant in the US, WAL-MART's acquisition of Bonobos will sell it to another online market, Jet.com, which can also reflect WAL-MART's one more online "new retail" game.

    China's traditional retail businesses have also pformed into new retail outlets. Earlier, there were examples of Suning and Gome. Last year, the "Parkson mall" mobile APP was officially released. It also served the online shopping demand with Parkson network. In addition, it also added live channels to enhance interaction with consumers.

    The traditional retail business in China and the United States is pforming into new retail. What do they have in common? What direction will the retail industry develop in the future? In June 26th, Cao Lei, director of the China Electronic Commerce Research Center, interviewed reporters.

    Cao Lei pointed out that the common point of new retail between China and the United States lies in the fact that the online and offline industries are exploring in the same way. In the US, Amazon is moving along the line, and WAL-MART is also moving towards the line. So is China's Suning, the United States and Yintai. Many years ago it was going online, so this is a process of crossing the border to test the other's sites, realizing the integration process of O2O online and offline. The second point is that they are not only limited to business cooperation, but also have capital cooperation.

    The acquisition of total eclipse from Amazon and the acquisition of Bailian and Yintai by Ali in China can reflect this.

    With regard to the future development trend of retail industry, Cao Lei believes that technology and data will play an increasingly important role in the future development of the retail industry. Two, the speed of cross-border and hugging will be faster and faster; three, there will be more retail formats, whether it is Shang Chao, department stores, franchised stores, convenience stores, or even the future luxury goods will further develop a comprehensive mode of integration; fourth, from the capital level, the retail business will have more close share holding and holding acquisitions.

    More interesting reports, please pay attention to the world clothing shoes and hats net.

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