Thailand's Central Group Expects Online Surge Through JD Pact

By Natnicha Chuwiruch

 

- Central Group seeking to become Thailand’s e-commerce leader

- JD.com will be Central Group’s gateway back to Chinese market

 

The company with the biggest grip on Thailand’s brick-and-mortar retail market is expecting a partnership with China’s JD.com Inc. to help it do the same in online sales.

 

Central Group, which controls Thailand’s biggest operator of shopping malls and department stores, expects online sales to account for as much as 15 percent of its revenue in five years, from 2 percent now. The partnership with JD will help it compete in Southeast Asia’s booming e-commerce market and also open up businesses opportunities in China, Chief Executive Officer Tos Chirathivat said in an interview.

 

With an empire that also includes hotels, supermarkets and restaurants, Central Group is counting on online growth to help drive sales. The company first announced its $500 million joint venture with JD in September, teaming up with China’s second-largest e-commerce operator. 

 

Full story: https://www.bloomberg.com/news/articles/2018-01-07/thailand-s-central-group-expects-online-surge-through-jd-pact

 

-- Bloomberg 2018-01-08

Why not make the monopoly complete. It's a wonderful thing for the handful of people who profit from nearly all of Thailand's shopping.

And who doesn't like walking into a mall for the first time and knowing exactly which stores will be there and what food is available.

I hope they can do the same with e-commerce, so I won't have so many choices.

Edited January 8, 20188 yr by canuckamuck

2 hours ago, canuckamuck said:

Why not make the monopoly complete. It's a wonderful thing for the handful of people who profit from nearly all of Thailand's shopping.

And who doesn't like walking into a mall for the first time and knowing exactly which stores will be there and what food is available.

I hope they can do the same with e-commerce, so I won't have so many choices.

 

Agree.

 

In regard to possible creation of monopolies, which really means one or two conglomerates have control of the market and prices and suppliers.

 

This is highly undesirable. Building and maintaining a balanced civil society required regulations aimed

at providing opportunities for all.

 

But of course the majors will ignore ethics and fight to build monopolies as long as possible.

 

This is one downside of uncontrolled capitalism. 

1 hour ago, scorecard said:

This is highly undesirable. Building and maintaining a balanced civil society required regulations aimed

at providing opportunities for all.

 

Did you mean:

 

This is highly undesirable: Building and maintaining a balanced civil society.

6 hours ago, scorecard said:

 

Agree.

 

In regard to possible creation of monopolies, which really means one or two conglomerates have control of the market and prices and suppliers.

 

This is highly undesirable. Building and maintaining a balanced civil society required regulations aimed

at providing opportunities for all.

 

But of course the majors will ignore ethics and fight to build monopolies as long as possible.

 

This is one downside of uncontrolled capitalism. 

Just have a look at the duopoly in Australia. Groceries, fuel, booze and building supplies. Basically have 90% of peoples needs covered.