Ma Jialiang, president of Suguo, announced the retailer’s development plan for 2012 yesterday, saying that Suguo will continue its restructuring efforts by opening more chain stores, strengthening logistics capability and improving supply chain, as well as by training more talented staff and doing research on consumer demands. These will ensure that Suguo will fulfill the strategic targets of its Twelfth Five-Year Plan on all fronts.

 

Suguo realized a sales volume of 42 billion yuan in 2011 and the growth rate of its direct-selling stores stood at 20%. However, when asked about the market trend of the new year, Ma Jialiang said, “There are both opportunities and challenges ahead. There are several major problems facing Suguo in 2012—lowered growth rate of the whole retail industry, increased costs of rent and human resources and the rapid expansion of its rival companies. Only a growth rate of 18%-20% can lead to a sustainable and healthy development and the continued increase of its workers.”