Hong Kong’s small grocery stores are bracing for pressure amid a new wave of price cuts by supermarkets and major retail chains, but some economists say their “connection to the neighbourhood” could help them stay afloat.
One lawmaker also said it was unlikely that major local chains would monopolize the market, citing strong competition from online shopping platforms.
The latest price war ahead of Mother’s Day broke out on Sunday, with CK Hutchison-backed ParknShop and Jardine Matheson’s Wellcome both offering a 12 per cent discount on everything in their stores to shoppers who met the minimum spending threshold on Saturday.
HKTVmall, the city’s popular online shopping platform, pledged to remain competitive and launched a year-long campaign, allowing customers to enjoy a 15 percent discount.
Yata Department Store, a popular Japanese-style department store and supermarket chain, launched a “shopping campaign” on Friday that will run until May 17, with discounts of up to 80 percent on selected items.
Liberal Party MP Peter Shiu Ka Fai, who represents the wholesale and retail sector, said the recent price war was a natural adjustment to the market.
