A Study On MUJI’s Business Strategies In China

With the fast development of China’s economy, people’s living standard has enjoyed an unprecedented increase, residents’ purchasing power has also been rising, alongside with people’s consumption demand. Nowadays, consumers not only pursue cheap and cost-effective goods, they also begin to attach more and more importance to the improvement of their life quality and prefer things that brings them satisfaction. On the other hand, a new business model –Life Style Store or grocery store has cause people’s attention and quickly become popular among consumers. In these Life Style Stores, consumers enjoy a one-stop service, which enables them to buy every grocery they intend to buy at one time.The Japanese Brand MUJI is undoubtedly a good example of such stores. As a conceptual brand, its simple but functional design style wins the recognition of the middle class in pursuit of a high-quality life, and the simple and natural life style it advocates has also resonated with many consumers.Based on the reading of a large amount of literature datum, the writer carried out a systematic analysis on the internal and external environment of MUJI in China, summarized the current business strategy of MUJI and pointed out the problems facing it. Then the writer put forward some feasible suggestions for the future development of MUJI in China. In detail, the writer first adopted the PEST model to analyze the macro- environment of China.Second, the famous Poter-Five Force mode was applied to analyze the industry environment facing MUJI. Then, the internal environment of MUJI was analyzed from three respects---resources, capability, core competitiveness. At last, several strategic suggestions were given on the basis of SWOT analysis.