April 20, 2024
Economy
Retailers’ biz sentiment in Q1 plunges to 4-year low
[THE INVESTOR] South Korean retailers’ business sentiment plummeted to the record-low in four years in the first quarter of the year, according to data on Jan. 17.
The retailers’ business sentiment index stood at 89 in the January-March period, the lowest since a reading of 81 was posted in the first quarter of 2013, according to the data compiled by the Korea Chamber of Commerce and Industry.
The data were based on a survey of 1,000 retailers in Seoul and six other largest cities. A reading of under 100 means pessimists outnumber optimists.
Large-scaled retailers, convenience stores and department stores painted a gloomy picture of their business down the road, while internet shopping malls and home shopping operators offered a relatively rosy outlook for their business, the survey showed.
They expected a slowdown in sales and increased competition, which will lead to a drop in their profitability. Tight cash flows and increased regulations were also cited as key risk factors for their business, it showed.
(theinvestor@heraldcorp.com)
The retailers’ business sentiment index stood at 89 in the January-March period, the lowest since a reading of 81 was posted in the first quarter of 2013, according to the data compiled by the Korea Chamber of Commerce and Industry.
The data were based on a survey of 1,000 retailers in Seoul and six other largest cities. A reading of under 100 means pessimists outnumber optimists.
Large-scaled retailers, convenience stores and department stores painted a gloomy picture of their business down the road, while internet shopping malls and home shopping operators offered a relatively rosy outlook for their business, the survey showed.
They expected a slowdown in sales and increased competition, which will lead to a drop in their profitability. Tight cash flows and increased regulations were also cited as key risk factors for their business, it showed.
(theinvestor@heraldcorp.com)
