The Influence Of Foreign Capital Entry On China 's Retail Trade And The Countermeasures

In recent year,the process of economic globalization is deepening.China,as the largest developing country in the world,has played an important role in the wo rid economic arena. The rapid development of economy and expanding consum er market has attracted a lot of foreign investment,while the retail trade as asal es terminal has become the darling of the foreign investment.With the large-sca le entry of foreign investment,the process of China’s retail internationalization c ontinues to accelerate. Since opening in1992,the retailing industry in China is gradually opening.The gradually opening strategy provides enough time and lee way for the development and growth of domestic local retail business,but also to meet the requirements of foreign retail enterprises to enter the Chinese mark et. December11,2004, the Chinese government abolished many restrictions for foreign retailers,such as geographical,equity,the volume of investments and so o n, marking China’s retail industry has entered the era of the full liberalization. So far, the retail industry has become one of the highest areas opening to fore ign investment.With the entry of foreign retailers, the domestic retail enterprises made treme ndous progress in many aspects,for example firm size,the level of information t echnology,and the industry form of China’s retail market has also become riche r.Meanwhile,the restriction of history and cultural making China’s domestic retai1has a huge gap with foreign retail enterprises in many respects.The entry of foreign-funded retail causing a huge threat and impact for local retail enterprise s,local retail enterprises in China will face unprecedented survival and competit ive pressures.With the large-scale entry of foreign retailers,the domestic discussi on about the impact of foreign capital into China become more and more.Man y experts and scholars has put forward their own views.There are different opi nion about the impacts,but we still need a comprehensive analysis.Through com parative analysis of Chinese and foreign retail enterprises,we will find the gaps and make targeted policy measures.The topic of this paper is about foreign retail enterprises entering china.Depa rture from related concepts,using a combination of qualitative analysis and icon s analysis method,through contrast between foreign retail enterprises and the do mestic retail enterprises in firm size,market concentration,form of organization a nd the level of information,this paper systematically studies the impact of forei gn capital into China’s retail system and proposes the corresponding counterme asures.The text is divided into six parts:The first part is the introduction, introduces the research background,significa nce,research status,definition of related concepts,research methods and innovatio n.The second part introduces the history and reasons of foreign investment into China’s retail market,pointing out that the massive foreign investment will still choose to enter the Chinese market in the future, and local retail enterprises sh ould enhance their competitiveness.The third part makes the comparison of Chi nese and foreign retail enterprises in firm size,market concentration,form of org anization and the level of information.Part Ⅳ highlights both positive and nega tive impact of foreign investment into our retail.Part Ⅴ provides countermeasure s and suggestions for the development of China’s retail.The government should formulate laws and policies conducive to the development of the local retail en terprises,and local retail enterprises should actively look for the gap to make u p for their lack.The sixth part is the conclusion, from the open-decade history of the retail,if local retail enterprises find suitable development path,and consta ntly improve their own competitiveness,they can compete with foreign retailers.