Best Buy has big plans for expansion in China

Best Buy has big plans for expansion in China

Best Buy is currently celebrating its “official” grand opening ceremony of their Shanghai branch. The company has now said that they are planning to open more such stores in the country.

Allen Lenzmeier, vice chairman of the company said in a statement that based on the first month of sales, the Shanghai outlet is destined to rank among Best Buy’s top 10 stores within the year.

The company is aiming to capture a part of the country’s $100 billion consumer electronics market. Mitch Kaiser, an analyst with Piper Jaffray Cos. in Minneapolis spoke about the company: “It certainly makes sense for them to go after that market.”

Economy experts believe that China is destined to overtake the United States as the world’s largest economy this century. A lot of international retailing giants are entering into the Chinese market hoping to become a major player in the country.

Wal-Mart, Toys “R” Us, Home Depot, Tiffany & Co., McDonald’s, 7-Eleven Starbucks and KFC are just few of the US based companies with a presence in the country.