updated 06:55 am EDT, Mon July 11, 2011
Foxconn parent spends $1.6b on retail expansion
Foxconn’s parent company Hon Hai Precision Industry is set to spend $1.6 billion on opening Apple Authorised Reseller stores throughout China. Hon Hai owns the major Chinese electronics chain Cybermart International, which recently obtained certification as an Apple Authorised Reseller. According to Hon Hai Chairman, Steven Chang, the company will open 500 stores with sections specially dedicated to selling Apple products.
Although Apple already has a presence in China with its own Apple Stores, the popularity of its products and limited store presence has made it difficult for customers to get after sales support. In response, Apple plans to open twenty more Apple Stores itself over the course of 2011.
However, the addition of Cybermart Apple Reseller stores will help Apple to establish a much stronger retail and support presence throughout the country helping it to capitalize on the popularity of its products in China. The first Cybermart Apple Reseller store is set to open in Tianjin, a large city in northern China with a population of over 12 million people.