Like Tree84Likes

Kmart, Target, Big W, Walmart etc ?

Closed Thread
Page 5 of 5 FirstFirst ... 2 3 4 5
  1. #41

    Join Date
    Jan 2018
    Posts
    1,492
    Quote Originally Posted by SpeakCantonese:
    You're wrong. I know many small business owners who are really struggling and they put the blame squarely on the internet.

    Three bike shop owners, two computer store owners and a Lego shop owner.

    What I have seen, in my building, is an increase in places being used for storage for local online businesses, usually based on Facebook, some seem to be doing very well.

    Those that don't change will die.
    It's nothing new that small businesses go under and very few people ever get rich running those and complaints that they are struggling is par for the course. Rising rents are as much if not a bigger threat to them than online businesses. I would never expect these shops to last for generations. The same mom and pop stores in western countries face threats from online retails and many, many already disappeared years ago because of big box retailers. HK small businesses have had the advantage of not facing as much from that threat.

  2. #42

    Join Date
    May 2017
    Location
    New Territories West
    Posts
    1,359
    Quote Originally Posted by Golem:
    HK small businesses have had the advantage of not facing as much from that threat.
    Online business is increasing at an exponential rate, it's useless to argue that it's always been there.

    My argument is very simple... given that it is becoming easier and often much cheaper to buy online... their only chance is to offer service... for example, my local bike shop keeps his head above water because he and his wife are extremely nice, know us by name and service bikes well and for a reasonable price. Other bike shops disappear because they are cunds and nobody will put up with it in the face of Chain Reaction.
    Mrs. Jones and jgl like this.

  3. #43

    Join Date
    Jan 2018
    Posts
    1,492

    These arguments have been around for decades everywhere not just in HK. The malls were going to destroy small businesses, the big box retailers were going to destroy small businesses, online shopping was going to destroy small businesses. You think you're saying anything new? These conversations have been happening for decades. Many small businesses disappeared for sure, many more will because of the nature of it. Long hours, small profit margins, competition from added sources not to mention the availability of reviews that are to be found everywhere. Just as they have for decades, some will adapt and some will die. Service is certainly a factor but a westerners evaluation of it in HK is a small blip with minor relevance just by the fact that most can't speak the local language and on top of it will likely not be in HK for long. In short, just because a shop might not have the service you like, it doesn't mean it won't survive.


  4. #44

    Join Date
    Feb 2011
    Location
    Hong Kong
    Posts
    6,317

    This comes down to a cultural difference. In the west, families could make a day out of going to a shopping mall. But in HK, time is money and most people don't want to spend that much time and at a slow pace either. It's come, take a photo and leave culture.

    I personally like the HK shops and setup and they aren't going anywhere. I can go find 10 shops selling the same stuff right next to each other and the one that offers me the least bit of service, a discount and a price that seems reasonable gets my business.

    Also, I have no interest to play around at a shopping mall or large department store. But that's me.

    Shops struggle and to be frank that has nothing to do with the rent. A low rent might help a struggling business stay around longer but there is something seriously flawed with their business model if rent is the problem.

    Businesses can target expats but personally I wouldn't. Traditional expats might have cash and be willing to spend but the new expats coming into town are on low salaries, are cheap and don't splurge. Chinese can come in and spend 10 times more and not act like they own the world. A much better customer in my experience.


  5. #45

    Join Date
    Aug 2015
    Location
    Hong Kong
    Posts
    553

    In Australia malls are spacious, relaxing, modern, with many benches to sit down if you are tired, smiling staff, it's a pleasure to shop there. In HK malls feel like catacombs full of people with luggage bags. Shopping here can be stressful, go at your own risk.


  6. #46

    Join Date
    Aug 2008
    Location
    猴山
    Posts
    23,652
    Quote Originally Posted by MandM!:
    This comes down to a cultural difference. In the west, families could make a day out of going to a shopping mall.
    I would argue is just comes down to tax policies.

    In many countries out of town malls have land tax 'free' carparks, government provided roads, larger scale to be more tax efficient, 'warehouses' at a much lower land tax rate.

    Internet Trading companies have low tax warehouses rather than high tax shop store rooms, subsized delivery services through nationalised postal services and in some countries much lower sales tax.

    If the tax on space was more uniform more cities would be like Hong Kong.

    There is no doubt on-line shopping is more efficient but in the coming years as the tax take from bricks and mortar stores declines there will be a rebalancing of who gets taxed.

    https://www.jstor.org/stable/2169635...n_tab_contents

  7. #47

    Join Date
    Dec 2002
    Location
    薄扶林
    Posts
    47,967
    Actuallyim surprised it hasn't happened already but that's probably due to the poor last mile delivery options in HK.
    It is improving with locker delivery to piers and 7-11 type stores, instead of home delivery - ok for restricted and standard sized packages. Last mile door-to-door can only really be done through HK Post who have over the years gone out of their way to discourage ecommerce - they were our vendor of choice for 10+ years, now the vendor of last resort.

    The new problem that smaller e-tailers have are Amazon style business models - companies willing to take losses to gain market share.

    The best news for global online commerce has actually come from Trump who has threatened to pull out from the global postal union which essentially allows countries like China (and the UK to the extent that I'm aware of) to subsidize ecommerce by delivering in bulk @ really low cost to international destinations.

  8. #48

    Join Date
    Aug 2008
    Location
    猴山
    Posts
    23,652
    Quote Originally Posted by shri:
    The best news for global online commerce has actually come from Trump who has threatened to pull out from the global postal union which essentially allows countries like China (and the UK to the extent that I'm aware of) to subsidize ecommerce by delivering in bulk @ really low cost to international destinations.
    Surprised there wasn't a thread on this. It is big news for global micro-trading. Hopefully USPS will also start charging Mr Bezos the true cost of shipping within the USA soon.
    shri, MandM! and SpeakCantonese like this.

  9. #49

    Join Date
    Jan 2018
    Posts
    1,492

    Online shopping is fine for certain things but it will never fully replace brick and mortar. Particularly when it comes to clothes and shoes where many people prefer to see, touch and try what they are buying. I was in one of the big shopping outlet malls in the US last summer and it took me a long time to find parking even though the thing was huge. In the end I decided to sit and wait until I saw someone leave. Look at Apple and Xiaomi, they didn't use to have brick and mortar stores and now they've adapted their business model.


Closed Thread
Page 5 of 5 FirstFirst ... 2 3 4 5