Marketing the high street: A new challenge in chinese retailing compare with E-commerce
- Research Problem
Over the decades, the retail industry has transformed into one of the most challenging business environments. Numerous technological and economic factors have been associated with its dynamism; combined with the ever-changing consumer expectations for services and products rendered in the market(Euromonitor International, 2015). The lines that once defined virtual and physical space have progressively been eradicated, leaving a situation where retailers are more confused than ever in serving customer needs.
The Chinese high street retail market has been no exception. Faced with increased competition, many economists have predicted the incapacitation of high street retail globally(Grimsey, 2013). A look at China’s financial data for the year 2015 reveals a decline in manufacturing and retail while its counterpart; the e-commerce business, reveals a progressive increase in prominence over the last decades(Hoffmann, et al., 2013). The paper will seek to explain the new marketing challenge in restoring Chinese retail with respect to e-commerce.
- Research context
The research will focus on the Chinese Market. Over the last two decades, the economic growth of China has been exponentially high. This is attributed to the constant growth and development of its manufacturing activity. Of later, the economy has been grappling with slow economic growth; a factor attributed to its surging government debts coupled with property prices(Misiri, 2015). This has affected the high street retail segment, with a decrease in the production of goods and exports. On the other hand, e-commerce, once a faint blip in the radar, is bow becoming the most favoured mode of business.
Researchers have classified internet retailing as the greatest threat to high street retailers. It has reached a point where these retailers are being considered as ‘irrelevant’. The cannibalization of these store-based retailers is an indication of a worrying challenge. Given the importance of this sector in the Chinese economy, it becomes a challenging fact to bear a non-store based service in thenation.
- Research Focus
The research will emphasis on a number of Chinese firms in the high street market; indicating their levels of performance over the last decade before the onset of e-commerce. Thereafter, it will analyse the same firms after the rapid progression of the e-commerce industry. Focus will be specifically on the high street sector of the market; where marked changes have influenced the nature of retail.
Additionally, the research will ascertain whether the success of the e-commerce market as the expense of the Chinese retail is given. Additionally, it will determine whether the death of the retail sector in the Chinese economy is imminent. Is marketing in the high street still possible even in nature of these challenges? The research will also focus on the various innovations that have come up in a bid to stall the total revolution in the high street retail segment………………………………………