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  China Economy
Wal-Mart to open 15 new stores in China
[ 2005-05-18 11:12:45]

Wal-Mart, the world's largest retailer, said it will expand its network in China dramatically this year while also boosting its export business from the country.

The US-based giant plans to open up to 15 stores in China by the end of 2005, chief executive John Menzer told the Fortune Global Forum in Beijing.

"Right now China, percentage-wise, is our fastest growing market," he said, one day before Wal-Mart was to open a store in Beijing, its 46th in China.

Wal-Mart buys toys, footwear and seasonal goods from China, making it "our largest export country," he said.

Menzer forecast that its importance would continue to grow, with direct and indirect China exports rising to 18 US$billion this year.

"That's growing at a 20 percent clip right now," he said.

With permission to expand westward, Wal-Mart expects to open 12 to 15 stores across China this year, with the central city of Chongqing its next target, he said.

"We started in Shenzhen and we've been working our way as far north as Harbin, Beijing and out west to Kunming."

He noted, however, that, "China wasn't really developed for chain stores and for brands.

"Going across provincial lines takes time to get provincial approvals, central government approvals, it creates a lot of backroom paperwork, but it's moving along at a quick pace."

(Agencies)

 
 
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