Analysis of retail business development in Hebei Province

Abstract: In recent years, the rapid development of retail, Hebei Province, but compared to the domestic development of large-scale retail enterprises, retail enterprises in Hebei Province in the large-scale development, operations, Information technology, there are still some problems [1] Based on these problems from their own factors, both government and institutional factors that led to research and explore the reasons for these problems, and proposed retail enterprises in Hebei Province to promote the development of countermeasures.

Keywords: retail, Information technology, business differentiation

First, the development of retail enterprises in Hebei Province problems
(A small scale and dispersed
The one hand, small-scale retail enterprises in Hebei Province. 2009 Hebei Province, only five hundred retail enterprises to enter the Chinese retail company list [2], but in addition to the group of the North in the third ten ranking, relative front, the rest are more on the top we all know, Top 100 Retail is based on the company's sales volume, selling larger, more forward its ranking, which shows the leading retail companies, Hebei Province, sales volume is still relatively small, the overall strength of the relatively weak sales of North Mall .2009 71.06 million [3], with sales equivalent to only the first hundred in 2009 China's Suning Appliance retail 6.1%.

(Two low profitability and high debt ratios exist
Hebei Province in 2008 retail sales above designated size of the Industry profit margin of 0.96%, ① less than 1%, compared to China in 2003 Hong Kong, Macao, Taiwan and foreign-invested retail enterprises average sales profit rate of 1.931% [4] is also much lower from the gross margin level, the domestic Industry, in 2009, BBK, Hualian, all music, Lianhua, Jingkelong supermarkets nationwide, the average gross margin was 19.4%, while the group's North North supermarket in 2010, the average gross margin of only 14.71% [5], Hebei Province, the profitability of the retail business is also relatively weak. In addition, more than 2008 retail Hebei limit balance was 77.24%, but generally accepted international not more than 60% of the asset-liability ratio is better [6], so a higher debt ratio shows the retail enterprises in Hebei Province, its internal risk management and control capability is not strong.

(Three behind retail Information technology
Currently, Wal-MArt, Carrefour, Suning and other large retailers have been equipped with more advanced logistics network system, Information network and application systems, by contrast, Hebei Province, the retail business of Information technology is relatively backward. By Paul Long, for example, first of all, Paul Long is still currently used ten years ago purchased the Founder, but with changing consumer demand, if it can not be done "on demand", it is difficult to adapt customer needs. Second, the supermarket is the main source of information for POS machine sales data. POS machine is often used for the amount of goods sold, expenses, and the remaining amount of goods on the shelves of the calculation, but with the development of retail, Now the focus of technology should be more focus on customer demand, improve their quality of service.

Reasonable layout of the retail outlets, to enhance competitiveness has an important role in retail, however, Hebei Province, the layout of retail outlets are not balanced. To Shijiazhuang, for example, most large retail shopping Shijiazhuang rooted in the most popular Zhongshan road, while other Few urban main roads and even scarce, such as Yuhua Road, now only the most western end of the mentor depArtment stores, as well as the host of heaven just emerging, Kim Venice, another city trunk road of peaceful commerce is scarce.

Second, retail development in Hebei Province, the causes of the problem analysis
(A factor in their own
1. A shortage of funds
Hebei Province, the development of large-scale retail enterprises widespread shortage of funds, the preferred way to overcome the shortage of funds is the financing, however, Hebei Province, mostly small and medium sized retail businesses of private enterprises, and, like other small and medium enterprises, financing is a shortage of enterprise fund an important aspect. First, due to its relatively small size enterprises, small own capital, the government is not enough to support the retail business, relying on their own to finance the accumulation of profits, it is difficult to meet the needs of enterprise development, followed by the financial crisis, banks more focus on the loan security, the absence of sufficient collateral to guarantee the majority of small retail businesses is difficult to obtain bank loans.

2 management methods is relatively backward
Retail business management methods related to their survival and development. Foreign retail giants have been able to constantly expand the scale to achieve economies of scale, not only because of its strong financial strength, but also because of its rich experience and advanced management business management and technology systems, compared to retail enterprises in Hebei Province not only exists the problem of shortage of funds, and its management methods is also relatively backward.

(Two government and institutional factors
1. Government regulation and insufficient support
The current outstanding problems emerging retail Hebei Province, such as the financing difficulties of small and medium retail businesses, retail outlets irrational, commercial development and the environment are often imperfect and so the government guidance, standards, regulation and inadequate support for example, in financing , Hebei Province, mostly small and medium private enterprises in retail trade, generally relying on their own to finance the accumulation of profits, and government is usually more of a support of some large enterprises, small and medium retail businesses to support enough to make many Businesses often find difficulties in financing, the lack of assistance, business development is limited in the layout of commercial, government depArtments often lack the relatively effective and long-term planning, planning and scientific level is low, resulting in deterioration of the regional competitive environment.

2 retail-related laws and regulations system is not perfect
First, the problem of ineffective implementation of policies still exist, although there are relevant laws and regulations and policies, but the lack of authority and a clear absence of the main executive body of the management of the phenomenon still exists, especially by ministries jointly promulgated laws, regulations and policies, often not sure from which a specific depArtment and, therefore, prone to cross-regulatory bodies, law enforcement overlap, the phenomenon of social waste of resources. Second, the law is not high maneuverability. With the rapid development of China's retail Industry, new problems have emerged, the law-making is difficult to cover all issues, and has enacted laws often lack the operational system of law enforcement standards and the implementation details, after the publication of the law, often need to develop additional implementation details [7].

Links to free download http://www.hi138.com Third, to promote the development of retail enterprises in Hebei Province Suggestions
(A broadening financing channels
Solve the problem of financing, the first retail company to solve their own problems through sound internal control system of enterprises, creating its own brand of products, enhance innovation capabilities are improving retail businesses the necessary means to their own problems, followed by the government, financial institutions, the community's common support the Government to increase support to retail business, especially small and medium retail businesses to support the establishment of targeted government agencies to support the development of retail business, the financial sector should establish a scientific mechanism for loans, improve credit rating system, with good growth prospects for the retail business to give more support, give full play to the role of social intermediary, retail enterprises in Hebei Province to create a favorable financing environment.

(B to implement differentiation strategy
In real life, retail enterprises should pay more attention to marketing image strategy, product design, innovation and differentiation, product quality, address differences, differences in customer service, that implementation of the strategy of differentiation [8] First, should clarify their position , highlighting their operating characteristics, and in accordance with its own characteristics and target market to choose the shop address, but also with the network to adjust its target groups of goods, operation and management, in order to avoid different retail businesses to open in the same place-intensive shop in disordered vicious competition. Second, the emphasis in the development and use of own brand now, many large domestic and foreign retail enterprises are own-brand products. own-brand products have a unique style, low price, unified design, unified supply, unified price and other advantages, to enhance the competitiveness of retail enterprises in Hebei Province is important [9].

(C enhance the management skills
business management skills and operational efficiency are closely related, so retailers should strengthen information technology, automation, mechanization inputs, improve management skills on the one hand, retailers should increase investment in information technology, full use of Internet , Intranet and Extranet technologies, e-commerce development, the use of MIS, POS, EDI (electronic data interchange and EOS (Electronic Ordering System and other modern information management technology, digital purchasing management, inventory management and customer relationship management, which improve decision making, management science, accuracy and effectiveness on the other hand, Hebei Province, retail enterprises should also improve the management concepts, learn from international experience in the management of large-scale retail enterprises to develop a suitable management of the actual situation in Hebei Province thinking.

(D increase government regulation and support efforts
First, the positive change in government functions, government functions effectively to the retail sector will create a favorable environment for development, improve the financing environment for retail businesses, to encourage various types of credit guarantee institutions to provide credit guarantees for the retail business and secondly, to reduce and simplify the administrative examination and approval improve the efficiency of project approval planning, strengthen consolidated supervision and protecting fair competition, protect consumer's legal rights, improve the system of government regulation to prevent the formation of foreign-funded retail enterprises monopolized again, with government depArtments in Hebei Province to the actual development of the region situation, in Hebei Province to develop a scientific and rational planning of retail development, grasp the retail development strategy, network planning, Industry standards, regional industrial development policy formulation and organization of work, and through relevant laws and regulations to protect Finally, to encourage local scale retail enterprises to expand and expand space for development, with good growth prospects for the retail business to give more financial support and subsidies.

References:
[1] market situation in our province in 2009 and 2010 analysis of market trends, forecasts [EB / OL]. Hebei Chamber of Commerce network, http://www.hebeish.com/shownews.asp?artid=543&bigid=5, 2010-02-05.

[2] 2009 list of China's retail hundred companies [EB / OL]. China Business Information Network, http://www.cncic.org/index.php?option=com_content&task=view&id=22338&Itemid=6 ,2010-05- 26.

[3] North Mall Co., Ltd. Introduction [EB / OL]. Beiren Group website, http://www.brjt.cn/Article/ShowInfo.asp?InfoID=27531 ,2010-03-01.

[4] Li Fei, Wang Gao, etc. China's retail development process :1981-2005 [M]. Beijing: Social Sciences Academic Press, 2006.

[5] people of Northern Light, 2010, No. 8. Http://www.brjt.cn/epaper/2010-08/.

[6] advance Hebei, Paul Long Wharf curve together to win the market [EB / OL]. China Business News Network, http://www.cb-h.com/news/sq/2010/726/107268406J219I6F331024_2.html, 2010 - 07-27.

[7] Wang Qiang, China retail monitoring and analysis [M], Beijing: China Economic Publishing House, 2009.

[8] [U.S.] Tony Kent, [United States] Ou Jini Omar. What is the retail [M]. Edinburgh, etc., Beijing: Electronic Industry Press ,2004:78-79.

[9] Zhang Kai, Zheng Xiaojun Hebei measures to deal with risks of retail [J]. Modern-commerce industry, 2010, (12) :93-9

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