Mass Grocery Retailers Face Increasing Hurdles In Pursuing Domestic Growth

Tighter retail regulations in South Korea are frustrating the expansionary efforts of large-scale mass grocery retailer (MGR) operators. The increasingly saturated nature of the South Korean MGR sector, which resulted in the crowding out of smaller independent grocery retailers, recently came under political scrutiny and the parliament consequently passed a bill to regulate the opening of supermarkets. As the South Korean MGR sector increasingly resembles that of Japan and other highly-developed economies, opportunities to grow organically are quickly depleting, and we expect domestic MGR players to continue expanding abroad for stronger growth opportunities.

To read the full article, please choose one of the following options: