A Study On The Impact Of Foreign Capital Capital Entry On China’s Retailing

In the background of the growing trend of economic globalization, since China adopted the reform and opening up, various sectors greatly accelerate the speed of using foreign capital, its role is growing. Retail is also highly favored by foreign investors. Compared with our country’s retail enterprise, the foreign retail enterprises have many advantages. The foreign retail investment in China the one hand brings in advanced management ideas and management methods, on the other hand brings in tremendous impact to China’s retail enterprises. This paper provides some ideas to deal with foreign investment by analyzing the new changes of domestic retail after the foreign retail investment in China.This paper first introduces the development process and current situation of foreign retail investment in China. The main part of this paper is about the impact on our country’s retail industry of the gradual process of opening, from the perspective of economic security and market structure.The study shows that, foreign retail investment in China, to a certain extent, affects the degree of concentration of China’s retail market. It is growing quickly in the early stage, gradually levels off in recent years, the market capacity increases. In recent years, the rate of China’s overall retail market concentration and market concentration increases slower and slower. Therefore, we can say that China’s retail market has experienced a period of consolidation, competition and stationary phase. The foreign retail investment in China brings a huge impact, and China’s retail market differentiation barriers inevitably increase. China’s retail market share of foreign investment and retail industry’s dependence on foreign capital is still at a low level. The entry of foreign retail does not form a large threat.This paper also carried out on the game analysis of the competition between Chinese and foreign retail enterprises. The end of the article focusing on the impact of foreign retailing investment, this paper bring up the countermeasures on foreign investment into China’s retail from the perspective of the government and retail enterprises. It also provides some policy recommendations to our modern retail business development. Generally speaking, the overall retail market concentration is low. The entry of foreign retail does not form a large threat, but we should be vigilant. Thus, we retail enterprises should improve their overall competitiveness, the Government should improve the system from the system level structure, standardize the market, in order to ultimately ensure the healthy and stable growth of China’s retail industry.