China: Shopping for the best retailers

Overview

China’s retail sector has enjoyed robust growth in the past decade. Although sales are currently affected by the downturn, the sector would be an obvious beneficiary from the sustained growth in consumption needed – and being pushed by central and local authorities – to rebalance the economy. The current build-up of household savings means a large cash pool will be available for spending when confidence returns. Prospects for retail companies should therefore be seen in a positive light...