U.S. retailers still bullish on Asia
usatoday.com
U.S. retailers are expanding in Asia, unfazed by the region's financial crisis.
[...]
The retailers say Asia's current crisis - with its surging unemployment, plunging
consumer demand and shrinking economies - is not the start of a long-term decline.
Costco CEO Jim Sinegal is so confident about Japan's eventual recovery that the
company has future warehouse clubs planned for greater Tokyo and other areas of
Japan.
[...]
nalysts and economists say now is the "best time in seven years" for U.S. retailers
to move into Asia because the dollar is stronger against the local currencies. That
means U.S. companies will pay less for real estate, materials bought locally and
wages than they would have even a year ago.
"Companies want to buy low and invest for the long haul," economist Mark Vitner of
First Union says.
Retailers doing that:
Starbucks. The specialty coffee firm is in deals to put stores in Malaysia,
Thailand and South Korea this year. "We plan to be in every urban Asian
market in the next five years," says Soon Beng Yeap, spokesman for
Starbucks' international business. It already has 36 stores in Japan,
Singapore, Philippines and Taiwan.
Gap. The casual apparel retailer's sole Asian market is Japan. It plans 14
more stores this year to raise its total to 30.
Toys R Us. The leading toy retailer has 12 stores on deck this year for Japan
alone, its largest business outside the USA, to expand that market to 76
stores. It has 23 others in Hong Kong, Indonesia, Malaysia, Singapore and
Taiwan.
By Lorrie Grant, USA TODAY |
