I have taken efforts to complete this project and without the help and support of all the concerned organizations and individuals it would not have been possible. Thus, I would like to show my genuine thankfulness to each one of them for the guidance and assistance which assisted me in completing this project.
Throughout the developments of my project, my colleagues have been of a continuous support and I would thank and appreciate them for the same. They have been of help at all the necessary time and in all the manners in the procedure of the development of the project.
Globalization creates a global marketplace where the free market mechanism determines the economy of the region. The communication technology helps in sustaining the free market mechanism operative. The major impact of these phenomena is visible more in developing countries; wherein developments are visible in the socio-economic, political and cultural sectors. With the emergence of globalisation, international trade has become a common phenomena in the current business world. In this paper, the entry of foreign retailers in the Chinese market and how the market affect the survival and growth of the companies, especially for Galeries Lafayette to enter in to Chinese market and the influence of the government and other influencial factors that creates a positive or negative impact to the company. The role of Foriegn Direct Investment as a result of the entry of international business firms on the Chinese government is also discussed in this paper. It is also discussed that the organisations are supposed to formulate effective business strategies for a better performance and increased profit margins in the Chinese market.
According to Lu (2010), the retail sales of China strike ¥12.5 trillion ($1.8 trillion) in 2009 which means it has increased nearly 15.5 percent from last year 2009. The steady state rise in household income accounted for these crashing retail sales in Chinese market.