Description
SWOT ANALYSIS OF SUN ART RETAIL

Sun Art Retail

Parent Company

JV Ruentex Group and GroupeAuchan SA

Category

Food Retail

Sector

Lifestyle and Retail

To sell more and more high quality products to more and more Tagline/ Slogan customers at lower and lower prices

USP

Prominent player in the food retail business

STP

Segment

Hypermarket

Price sensitive households who prefer shopping under one roof for Target Group groceries

Positioning

Everyday low prices for daily household food items

SWOT Analysis

1. One of the largest and fastest growing hypermarket operators in China in terms of sales and market share 2. Widely spread stores in a large number of tier-1,2 and 3 cities - 240 hypermarket complexes across 24 out of 31 provinces, autonomous regions and municipalities in China. 3. Offers an extremely wide and deep assortment of products Strength 4. Streamlined operations and efficient workforce

1.Lower prices may leave a perception of low quality among consumers Weakness 2.Difficult to manage store operating costs in rising inflation scenario

1.Resort to large scale advertising to build brand equity Opportunity 2.Lookout for potential synergies through strategic alliances

1. Stiff competition from the government owned retail sotre-China resource enterprise 2.High labour wages in China Threats 3.Low impetus given to private players in Chinese economy

Competition

1.Auchan China Group 2.Lianhua stores Competitors 3.China resources Enterprise



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