Industry Analysis & Industry Trends
Over the past five years, revenue for the Clothing Store industry in China has been growing at an annualized rate of 6.1%. Slower growth from 2012 has been mainly due to the weaker performance of the Chinese economy and a high level of inventory repressing product prices. In 2016, revenue is set to grow just 5.5% to $24.8 billion.
Overall, industry growth was strong in the past decade due to the opening of the market in accordance with China's World Trade Organization commitments. After 2001, foreign capital streamed in, bringing with it experienced management and systems. And as the Chinese economy developed, living standards improved and demand for fashion products grew.... purchase to read more
Industry Report - Industry Investment Chapter
The capital intensity of the Clothing Store industry is determined by the ratio of capital to labor. In the absence of official data on capital and labor costs, depreciation and wage costs are used as proxies. For every dollar spent on capital, $16 are spent on labor.
Capital expenditure in the industry comes in the form of fixtures, fittings, and cash registers. Some large retailers and foreign companies have implemented computer scanning technology. Its implementation has simplified labor tasks and also minimizes the level of human error in processing purchases.
Operators in the industry are subject to higher labor costs than capital costs, which is typical of the retailing sector. Thi.. purchase to read more