The three major challenges in transition.docVIP

 PAGE \* MERGEFORMAT 24 The three major challenges in transition First, the transformation of the rise of proprietary vendor chain In recent years, with some industries increasing market maturity, conform to the trend of flat channel, chain Monopoly carrying out in full swing up to reach a certain scale manufacturers are beginning to skip the layers of distribution channels, directly involved in the terminal , through self-employment and franchise stores to chain stores throughout the country. Example, the earliest of the most sophisticated retail chain - garment industry, and now is a shop everywhere, all over the country’s provinces and cities, and even has gone deep into the domestic four or five market, Li Ning, Youngor, seven wolves, Ba Jin and other clothing stores can be seen everywhere; Another example has been receiving more attention of the appliance industry, and actively enter the country the United States, Suning and other large home appliance chain stores, while achieving channel flat, consumer electronics companies are trying to set up chain stores, chain retail stores to take the initiative to change the channel, such as Gree air-conditioned store to create a powerful system, the United States electrical construction starting in 2005 the United States of 4S stores. In fact, by comparing the evolution of foreign sales channels, we can see that chain monopoly is bound to become the next major market sales channels. For clothing, for example, on U.S. apparel sales channels constituted can be seen that in 2000 the largest sales channel is a chain of clothing stores, 41% share, followed by hypermarkets, accounting for 20%, followed by the department stores, Clothing discounters, mail order and online shopping; and at present, China’s largest apparel sales channel is still the traditional wholesale markets, market share of 40%, followed by department stores, chain stores accounted for only about 10%. Can see that the traditional distribution and re