2008 Report of the retail industry sub-stage investment strategy investment department under the theme of growth ...

 2008 IFC investment strategy in the retail industry report: sub-stage growth investment themes under the department points
07 20071214
investment growth for social consumption is an undisputed fact that 1-October growth rate reached 16.1% of total consumption , has been gradually rising for 3 years.
rapid growth of our consumer society is healthy, whether sustainability analysis, that a new round of social spending in the social consumption boom among the climax of the previous round of social spending compared to , China's social environment, there is a huge difference, an adequate supply of social goods, CPI rise still within control, and promote a more solid basis for increased spending, 2008 is still expected to maintain a rapid growth consumption.
07   1-9 thousands of core retail business in January retail sales rose 16.7%, which is the fastest growth rate this year, the initial formation of retail department stores, supermarkets, specialty chain business structure, the face of continued growth in consumer demand, both the overall format good momentum of development there, but there are not any format in which a clear competitive advantage. supermarket format by the suppression of competition, growth is not outstanding, and department stores maintained a 17% sales growth, we are still key recommendation of the department store format.
foreign experience shows that the phase of steady development from the format to format the decline to go through 30-40 years, stage in our retail segment, format-driven factors remain significant, given the format to speed up the process, department stores minimum 10-year growth can be maintained:
as weakening the main department stores Format category killer format m professional, stores its market competitiveness is not strong enough, not enough to impact on the department form;
structure of general merchandise accounted for nearly 80% of the gold and silver jewelry, cosmetics, brand clothing social demand, department stores, endogenous growth is very significant, in 2007 growth in the first half of Parkson stores up 19.6% year on year, while comparable stores in the first half of Guangzhou Friendship also reached 16.9%; < br> chain also promoted the concept of format epitaxial growth. substantive stores in the country before the completion of the layout, there are still gaps in the market. real estate business will add value with, which makes the combination of department stores and commercial real estate development into the next expansion new trends;
listed department stores overall net return on assets, asset net profit margin, sales margin continues to rise, with the profit model of stability and in 2008, driven by tax integration, the industry will further enhance profitability ;
current leading department store companies have the ability to integrate regional department store companies, mergers and acquisitions, industry consolidation will accelerate the company stronger and bigger. the short term, government-led consolidation was more obvious in the case of circulation, acquisitions, consolidation opportunities will be more and more.
stock selection strategy: We believe that a longer period of time in the span by the social consumption retail industry, driven by rapid and sustained growth is still expected to outperform the market. investment boom of retail is to share the fruits of social consumption. We believe that department store business investment theme is , a better growth of the regional supermarket leading Supply Chain Management We are also recommended, in addition to hundreds of industry leading enterprises, joint stock, and also drew attention to the Wangfujing.
demand: China's consumption in the best period of rapid growth and healthy and sustainable growth in the retail industry is
social consumption boom. China's social spending from 3 consecutive years since 2004 remained at 10% level of growth, the cumulative growth of 07 January to October reached 16.1%, the highest in nearly few years a new high. We analyze the current forms of social consumption conclusion: China's current consumption is in the business cycle a new round of social spending, in the CPI in the moderate state, consumption in the best period. social consumption growth is healthy, high growth is still a continuing nature, the economy in 2008 were still spending our last round of judging is the consumer business cycle by comparing the social environment and to promote the consumption growth factors and the development of comparative and foreign made.
the social consumption What is the difference with the previous rapid growth of China's consumption has risen
overall situation of China's social consumer goods from the growth of total retail sales are reflected in 1-10 months .07 cumulative growth of social spending by 16.1%, from 1999 to maintain a rising trend year by year, in 2004 social spending grew faster than China's GDP growth, which indicates that steady economic growth in China based on the new round of consumer business cycle has started, the current rise in consumer sentiment is in the channel.