Li Yong, Deputy Secretary General, China Association of International Trade, and Chen Congcong, Guanghua Management School, Peking University
Since China initiated its reform and opening up drive in 1978, the Chinese retail sector has undergone an enormous transformation. Between 1978 and 2000, the sector grew at an annual average rate of 13.5 per cent. Since the 1990s in particular, developments have been more remarkable . Store ownership has diversified considerably. Today, individuals, private businesses and foreign-invested ventures are active players in China's retail sector. The entry of foreign investment has injected new dynamics of competition, while at the same time speeding up the retail revolution process that has totally altered the retail structure and competitive landscape in China. China's retail market has begun to reach a much more advanced stage of maturity in recent years in the main urban areas. Almost all the new retail formats that have been developed in western economies have been introduced including discount department stores, supermarkets, shopping centres /malls, franchise shops , factory outlets, warehouse stores/clubs and chain stores.