Wal-Mart Stores, Inc. (NYSE:WMT) is remaining firm on its push for market-share in China despite a recent crackdown by authorities targeting foreign companies. During an interview on CNBC, Walmart CEO, Scott Price affirmed the retail store’s ambitions of tapping the Chinese marketplace with the opening of more stores.
The CEO also reiterated Wal-Mart Stores, Inc. (NYSE:WMT) commitment of conforming to all food safety regulations as the company seeks to bolster profit margins in all its stores in the country. A slowdown in the Chinese economy had elicited debate that Walmart would rethink its initial plan of opening an additional 100 stores in the country, suggestions the CEO thwarted affirming commitments to expand further.
“We continue to be optimistic about our investments in China and we continue to invest online, so we own Yihaodian as a majority, based out of Shanghai. We see a huge opportunity to be able to drive growth and investment in the e-commerce world as well, “said Mr. Price
Food safety concerns continue to be one of the most emotive issues in China not only affecting Walmart but also McDonald’s Corporation(NYSE:MCD)’s. Walmart found itself in trouble with authorities earlier in the year after a supplier’s donkey meat was found to contain fox meat. The giant retail store has affirmed its commitment of ensuring it only sells the best of produce in terms of quality and safety levels.
“We have best practice firm around the world that we can bring into a market like China. So for example we start by 100% of our stores have access to a fresh distribution center. When you put your fresh produce through DC, it increases not only the quality but also increases your food safety metrics, “said Mr. Price
Wal-Mart Stores, Inc. (NYSE:WMT) is also making a push for the online market place. Price maintains that the company will still pay attention to the brick and mortar stores that are expected to play an important role in the retail space going forward.
Let Warren Buffett, David Einhorn, George Soros, and David Tepper WORK FOR YOU. If you want to beat the low cost index funds by an average of 6 percentage points per year look no further than Warren Buffett’s stock picks. That’s the margin Buffett’s stock picks outperformed the market since 2008. In this free report, Insider Monkey’s market beating research team identified 7 stocks Warren Buffett and 12 other billionaires are crazy about. CLICK HERE NOW