This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Cramer's Action Alerts PLUS - See his portfolio and get alerts BEFORE every trade. Learn more NOW!

Retailers Struggle In China

NEW YORK ( TheStreet) -- Mattel (MAT - Get Report) has become the latest company to close down shop in China.

The toy maker said on Monday that is shuttering its Barbie flagship store in Shanghai just two years after its grand opening.

While Mattel said the store served its purpose in generating brand-awareness in the country, analysts say the company failed to adjust to the local market.

Retailers' Hard Bargain: China Watch

U.S.-based retailers have been struggling to adapt their business to woo the Chinese consumer.

Earlier in the month Best Buy (BBY - Get Report) said it would close all of its nine namesake stores in the country and its headquarters in Shanghai. The electronics retailer is instead choosing to focus its attention on its locally-based Five Star stores, which it acquired in 2009.

Best Buy, which entered China in 2003, plans to open 40 to 50 of the Five Star locations in fiscal 2012, with plans to operate between 200 and 210 stores by the end of that year.

In 2008, Best Buy withdrew from Beijing, at the time saying it was due to internal adjustments. The company opened its headquarters there in 2006, with the intention of choosing locations for its new stores and sourcing home appliances and electronics.

The electronics market in China is extremely price competitive and these shoppers would rather lower prices than the higher-priced service Best Buy was trying to offer, says Wall Street Strategies analyst Brian Sozzi.

1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Try it NOW
Only $9.95
Try it NOW
14-Days Free
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG
BBY $39.79 0.00%
COH $41.95 0.00%
HD $114.76 0.00%
MAT $26.38 0.00%
ROL $33.91 0.00%

Markets

DOW 18,096.90 -106.47 -0.58%
S&P 500 2,098.53 -9.25 -0.44%
NASDAQ 4,967.1410 -12.76 -0.26%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs