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The Opening and Reform of China & the Rise of Chinese Retail Business — We Are the Dashang Group From Dalian. Dalian China. Lu Lu. The Opening and Reform of China has hastened the Rise of Chinese Retail Business. - PowerPoint PPT PresentationTRANSCRIPT
Dalian China
The Opening and Reform of ChiThe Opening and Reform of China & the Rise of Chinese Retail na & the Rise of Chinese Retail
BusinessBusiness
— — We Are the Dashang Group From Dalian
Lu LuLu Lu
The Opening and Reform of CThe Opening and Reform of China has hastened the Rise of hina has hastened the Rise of
Chinese Retail BusinessChinese Retail Business
The high growth of Chinese economy in the past three decades has created the high demand and high speed in the history of Chinese retail market.
The transform of Chinese economy towards the socialist market economy system has accomplished the brand new market, commodity-oriented operating system and mode of Chinese retail industry.
China Joining the WTO has become the most direct motive power to bring Chinese retail business in line with the international rules, which has hastened the Chinese retail business to quickly move towards internationalization and modernization.
Three Significant Changes of Chinese Retail Business Three Significant Changes of Chinese Retail Business Resulted from the Opening and Reform of ChinaResulted from the Opening and Reform of China
The Experience of Dashang Group’s
Innovative Development
Dalian China
Dalian is one of the 15 sub-provincial cities in China, as well as the largest port city within northeast China.
Introduction of Dalian
Dashang Group
Chairman of the Board
There must be a super corporate in China retail industry. There must be a position for the Chinese commercial business in the world.
Niu Gang
Store Exhibition of Dashang GroupDashang Group
Main
Store of Harbin
MYKAL
Shen
-yang New Mart
Shopp
-ing Mall
Da-lian New Mart Shopp
-ing
Mall
Dashang Group
More than 200 stores distributing over half of China.
Total construction area of 10 million square meters.
Total sales revenue of 131 billion in 2012. Total employees of 230,000 persons.
Retaining its position in Chinese Enterprise 100.
DA
SHANG
GROUP Shop Distri-bution Map
1992 2012
Construction Area
50,000 m²
Construction Area
10 million m²
Total construction area & Total staff of Dashang Group Stores
DASHANG GROUP
Total Staff2,000
persons
Total Staff
230,000 Persons
1992
2010
2011
2012
0.5B
2002
86.1B12.79B 110.1B 131B
Sustained rapid growth of sales in 20 yearsSustained rapid growth of sales in 20 yearsDASHANG GROUP
1995
1999
1.67B 5B
2007
50.2B
1992 2012
+262 times
Units: RMB
Dashang Group
Major Business
Constitution
The Driving Force Behind Dashang Group’s Innovative
Development
Dashang BuDashang Business Modesiness Mode
Shareholding RefShareholding Ref
ormorm
Joint venture
partnership
Mu
lti-system stim
ulates
vitality
The Operating Practice of Dashang Group’s
Innovative Development
Multi-modal store expansion
Multi-format mixed operation
Multi-store subdivides market
Diversity creates shopping district
Contents
Multi-system stimulates vitality Multi-format mixed operationMulti-format mixed operationMulti-format mixed operationMulti-format mixed operation
321
Multi-modal store expansion
Department store
chains
Five-star Hotels
commercial real estate
Super-market chains
Electrical appliance
chains
www.66buy.cn
Multi-Formats
Mykal
New Mart KINGSON
Department
Store New Town Shopping Mall (NTS)
Multi-store
The World Today is Here
Description of the contents
Description of the contents
MYKAL
Originated in Japan, developed in Dalian, positioned itself to satisfy
Chinese high-end customer needs with international and national first line brands, MYKAL has succeeded in Dashang and become one of the
comprehensive high-end shopping malls in China.
Main store of Harbin MYKAL
Main Store of Dalian MYKAL
NEW MART 创新生活每一天
新玛特 NEW MARTInnovative Life
Everyday
As the brand new retail model created by Dashang Group, New Mart shopping mall has an unique strong shopping mall overtone. With the average area of over 100,000 square meters, New Mart has provided the customers with one-stop shopping experience by combining restaurants, department stores and other leisure places all together. Featured as young, fashion and vogue, this style has become part of modern local life and the typical representative of Chinese department shopping center centralization.
Zhongjie Store of Shenyang New Mart
Dalian New Mart
Description of the contents
M4
KINGSON Lead the Fashion
Trend
Positioned as mid-price range department store ,
Kingson advocates to the young and chic customers in
third/four-tier cities.
Dalian KINGSON
Dong gang KINGSON
Description of the contents
Department Stores Modernize Local Old
Famous and Established Stores
Based on the local old famous and established department store acquired by Dashang Group and reformed into modern integrated shopping center, it
has tremendous commercial reputation and market appeal.
Haerbin New 100 department store
Dalian Department Store
Description of the contents
New Town Shopping
Mall (NTS)
With the exploitation and construction of Chinese new town and the countryside retail market planning, NTS, as an unique store model, has been established and
developed in the extension of new country and new town grid.
Dashang Supermarket
Laohu Tun NTS
Dashang Business District
New strategies of Dashang Group responding to the changes of retail market
Self-sale & Direct-
marketing
New strategies responding to the changes of retail market
Through the direct cooperation with
the brand company, banning the
middle men, Store can run
themselves at the sales end, boost
profit margin and share to the
customers. The radical reform of
this new business model lies in: the
Omission of middle stages in
commodity circulation, reduction of
the commodity price, improvement
of retailers management abilities
and the optimization of supply chain
links.
Private brands Dashang has founded its industrial-
products and grocery private brand
company, Dashang liquor store,
Dashang watch, Dashang Tea and
other professional company. With
the operating characteristics of
dozens of private brands &
thousands of commodities, Dashang
has changed operating homogeneity
and increased market
competitiveness and profitability.
New strategies responding to the changes of retail market
“Centralized Procurement” & “Unification & Antinomy”
New strategies responding to the changes of retail market
“Centralized Procurement” :
The specific commodity department,
containing the whole brands and modes of
operation of all the department stores,
supermarkets, restaurants and rental
business, has been founded to take charge of
all the procurement, negotiation, contract
terms and position adjustment of counters
related to all the categories and brands, thus
having a strong voice in the market and
optimizing the supplier management.
“Unification & Antinomy” :
To cope with the e-business, the value of
Unification & Antinomy should be deployed
in the business. Unification means the
ultimate unification with e-business by
blending and permeating business both
online and offline ; Antinomy means each
party playing a complementary and
indispensable role respectively. Dashang
group, taking the platform of “66.com” ,
seeks to cooperate with all the high-quality
professional company and produce new
breakthroughs in the effective blending of
online and offline business.
New strategies responding to the changes of retail market
“Three Zero” “One Rate”
Three zero means zero inventory, zero capital
occupancy and zero decorate charge.
Through constrict control of the above , the
potential risks of self-running commodities,
such as gold and major appliances , has
been effectively guarded. Through refusing
to provide the decorate charge for
international brands, the market rules has
been more fair and reasonable. In
consequence, we managed the everlasting
uptrend of the net profits in despite of the
downturn of the market environment.
One rate means the management mode of one
actual gross profit rate. We advocate
“transparent marketing “ in the presence of the
consumers and emphasize on the “transparent
profit margin” between providers and
suppliers, and also completely eradicate
“opaque working”, which will actively boost the
Standardization of retailing order.
Check and Balance
by three parties
New strategies responding to the changes of retail market
Check and Balance by three parties , refers to the
effective regulation of retailing behavior through
scientific balancing relationship . In respect of
organization framework and with the purpose of
multi-party balances, multi-level retardant to
block the management leak, a series of institution
and regulation as well as vertical management
has been set up from top to bottom
corresponding to the huge commodity
department, including “Approval Committee of
Contracts and business”, ”Supervision and
Prevention center"," Loss Prevention
department”, “Capital Department”.
Opening Stores is the
Absolute Principle
New strategies responding to the changes of retail market
In order to form a new pattern of store system
which is centered by the urban CBD, framed
by the regional business center, and based
on the commercial facilities, Dashang group,
taking the advantage of the multi-format &
multi-store development mode, aims to build
up the four-level store network covering city,
town, country and village, thus satisfying the
newly appeared construction demands of
urban new district, citizen community, new
town and new village during the new round
of China urbanization process.
THANK YOU!