<p>Mannings China suddenly announced that it will stop operations at over 200 stores in mainland China on January 15 next year, while also ceasing operations of its official online Mannings mall on the 28th of this month, sparking heated discussions in the market. In fact, with the drastic reshuffling of the retail market in mainland China, several well-known brands have also announced the closure of some stores or even a complete withdrawal from the physical market due to the impact of e-commerce and changes in consumer habits, involving well-known brands such as CHOW TAI FOOK (1929), Apple, Muji, and SA SA INT'L (178). Additionally, foreign brands like Starbucks and Decathlon are also planning to sell part of their stakes in Chinese companies.</p>
<p>Related article: Mannings exits the Chinese market, over 120 stores to cease operations in January, peak reached 200 stores. Mainland consumers: products lack differentiation.</p>
<h2>CHOW TAI FOOK closed 300 retail points in the last quarter</h2>
<p>CHOW TAI FOOK (1929) recently announced that as of the end of September this year, the group's retail value for the second fiscal quarter increased by 4.1% year-on-year, with the retail value in the mainland market increasing by 3% year-on-year. The group also mentioned that during the quarter, it opened a new flagship store in Beijing, bringing the total to 8 stores, but continued to close underperforming stores and selectively opened new stores with higher productivity. As of the end of September, the group net closed 300 retail points in the mainland, while net opening 2 stores in Hong Kong and Macau.</p>
<h2>Carrefour China sold for 1 yuan</h2>
<p>Suning.com announced in September this year that it would transfer its &#34;Carrefour China,&#34; which holds 12 Carrefour stores, to &#34;Shanghai Qishu Jiafu Enterprise Service Partnership&#34; for a symbolic price of 1 yuan per store, completely exiting the hypermarket business.</p>
<p>The company pointed out at the time that the main reason for the low-price sale was the deteriorating external economic environment and changes in consumer behavior, coupled with liquidity difficulties faced by both the parent company and Carrefour China, which could no longer provide ongoing financial support. In fact, Carrefour China has been gradually closing its hypermarket business since 2023, with the number of stores decreasing sharply from 228 in 2020 to only 4 stores operating by the end of 2023.</p>
<h2>Walmart has been continuously shrinking its stores in recent years</h2>
<p>In addition to Carrefour China, its competitor Walmart has also been reported to be continuously closing stores in mainland China in recent years. In 2023, it closed stores in Changchun, Shaanxi, Jiangxi, Shandong, and Beijing, with the basic reason for the closures being &#34;lease expiration, no renewal.&#34;</p>
<p>Statistics indicate that Walmart closed over 80 stores in mainland China from 2016 to 2020, and then closed 11, 31, and 21 stores respectively from 2020 to 2022. However, Walmart's Sam's Club has developed relatively well in the mainland, still having stores in many locations across the country.</p>
<h2>Apple closed its mainland stores for the first time in August</h2>
<p>Apple announced in July this year that the Apple Store located in Dalian's Century City would cease operations at 8 PM on August 9, marking the first time Apple has closed a store since entering the Chinese market. Apple stated that the decision to close the store was made due to several retailers exiting Century City, and affected employees would have the opportunity to transfer to other stores</p>
<h2>MUJI Affected by Decrease in Foot Traffic</h2>
<p>The Japanese brand &#34;MUJI&#34; has entered the mainland market since 2005, and as of last August, the total number of stores exceeded 400, making it the second largest revenue pillar outside Japan. However, in August this year, it was reported that stores in Beijing, Jinan, Changsha, and other places announced their closures one after another.</p>
<p>At that time, MUJI's official response pointed out that &#34;individual store closures are just normal adjustments made by MUJI based on operational efficiency. In the face of challenges from declining foot traffic in certain business districts, MUJI will make choices regarding stores with poor operational performance.&#34; The company also stated that it will continue to open about 40 stores each year, and from March to August this year, it has opened 15 new stores.</p>
<h2>SA SA International Exits Mainland Physical Stores in June</h2>
<p>SA SA International (178) announced in June this year that all 18 offline stores in the mainland would close before June 30, meaning that after 20 years of entering the mainland market, it has completely exited physical stores in the mainland.</p>
<p>Regarding the reasons for the closures, SA SA stated that online business in the mainland accounts for over 80% of local revenue, and more and more customers are inclined to shop online. Additionally, the current number of offline stores cannot achieve economies of scale. Furthermore, SA SA will focus resources on developing online business in the future, enhancing promotion on popular social media platforms and digital channels to increase the exposure and competitiveness of its exclusive brands.</p>
<h2>AEON Supermarket Withdraws from Beijing Market in May</h2>
<p>In recent years, Japan's AEON Supermarket has gradually closed stores in Beijing, Shenzhen, and Wuhan, including the closure of the Chaoyang Joy City store in 2022, the Changping store in 2023, and officially closing its last store in Beijing on May 16 this year.</p>
<p>According to AEON Supermarket's official statement, customers can still use their loyalty cards at other stores after the closure of the Fengtai store, which will not affect customer rights. After the closure of this store, AEON Supermarket has only five stores left in North China: Tianjin Zhongbei Store, Tianjin TEDA Store, Tianjin Jinnan Store, Tianjin Meijiang Store, and Hebei Yanjiao Store.</p>
<h2>Din Tai Fung Withdraws from North China Market Last Year</h2>
<p>The restaurant brand Din Tai Fung completely withdrew from the North China market at the end of October last year, gradually closing 14 stores in Beijing, Tianjin, Xi'an, and other locations. Regarding the withdrawal, the Taiwan headquarters of Din Tai Fung stated that the branches in Beijing, Tianjin, Qingdao, Xiamen, and Xi'an were operated by Beijing Hengtai Fung Catering Co., Ltd. Due to the expiration of the business license of Beijing Hengtai Fung Catering Co., Ltd. and its non-renewal, the brand authorization was terminated early. However, they hope to return to the North China market in the future if opportunities arise. Nevertheless, Din Tai Fung also operates stores in cities such as Shanghai, Suzhou, Wuxi, Nanjing, Jiaxing, Hangzhou, Guangzhou, Shenzhen, and Ningbo.</p>
<h2>Isetan Only Has 1 Store Left in Mainland China</h2>
<p>The Japanese department store Isetan has been continuously declining in China. After closing its Chengdu store in 2022, the Tianjin store closed in April last year, and the Shanghai Meilong Town store, which had been in operation for 27 years, ended its business in June last year. Isetan will only have one store left in China, the &#34;Renheng Isetan&#34; in Tianjin</p>
<h2>Benefit Ends Online Business in Mainland China</h2>
<p>American beauty brand Benefit announced the closure of its three major online flagship stores (Tmall, Douyin, and JD) in Mainland China in January 2024, meaning the brand has ended all online operations in the region. Subsequently, Mainland consumers can only purchase related products from Sephora's offline stores and official online store.</p>
<h2>Starbucks Sells 60% Stake in China Business</h2>
<p>After entering the Chinese market for over 26 years, Starbucks announced in November this year that it will sell up to 60% of its China business stake to private equity firm Primavera Capital. The transaction is valued at $4 billion (approximately HKD 31.2 billion) and is expected to be completed in the second quarter of next year. Starbucks will retain the remaining 40% stake and continue to own the brand and intellectual property, as well as license the joint venture.</p>
<h2>Decathlon Reportedly Considering Sale of 30% Stake in Subsidiary</h2>
<p>French sports retail brand Decathlon has reportedly planned to sell about 30% of its stake in its Chinese subsidiary this year, with an initial valuation range of approximately RMB 10 billion. In response to media inquiries, Decathlon stated that it would not comment on potential equity sales and is committed to long-term development in China.</p>
<h2>Häagen-Dazs in China Reportedly Considering Sale</h2>
<p>Recent reports indicate that American food company General Mills is considering selling its Häagen-Dazs ice cream stores in China, primarily due to the increasingly challenging consumer environment and declining foot traffic. However, the transaction is still in the preliminary negotiation stage and may not materialize, and General Mills still intends to continue selling Häagen-Dazs ice cream through Chinese supermarkets and convenience stores</p>

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<p>The retail market in mainland China is undergoing a drastic reshuffle, with several well-known brands such as Mannings, CHOW TAI FOOK, Apple, Muji, and SA SA INT'L announcing the closure of some stores or withdrawal from the physical market. Carrefour China is selling stores at symbolic prices, and Walmart is also closing multiple locations. Foreign brands like Starbucks and Decathlon plan to sell part of their equity in Chinese companies</p>

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The reshuffling of the mainland retail market has triggered a wave of store closures. A review of different brands: Apple closed its first store in August, and SA SA INT'L has fully withdrawn from physical stores