Retail Empire Scraps Plans for 80 Chinese Stores
- Arcadia terminates contract with Chinese partner Shangpin
- Philip Green’s retail empire scrapped an expansion deal with Shangpin
- Planned to open 80 stores in China
- Arcadia group recorded a loss of £10.9m in the year up to August 2017
- Sales dropped by 6% to £933.6m
- Topshop and Topman products still available via Shangpin and Tmall.com until November 2018
Philip Green, owner of the Arcadia retail empire, has terminated an expansion deal with Chinese franchise partner, Shangpin. The groups have reached a mutual agreement to end the partnership early, which would have seen 80 stores open in China. Arcadia had planned to open 80 stores and was already selling its goods online to Chinese customers since September 2014. In December 2016, Green announced an exclusive partnership with Shangpin to expand Topshop and Topman’s global presence. However, the Arcadia group recently recorded a loss of £10.9m in the year up to August 2017, contrasting last year’s profits of £59.4m. The company also saw a 6% drop in sales down to £933.6m. Customers can still shop Topshop and Topman products via Shangpin and Tmall.com until November 2018.
Factuality Level: 7
Factuality Justification: The article provides accurate information about the termination of an expansion deal between Philip Green’s Arcadia retail empire and Chinese franchise partner Shangpin, and includes relevant details about their previous partnership and future plans for customers to still access Topshop and Topman products in China. However, it lacks some context on the reasons behind the decision to scrap the deal and could provide more information on the financial situation of Arcadia group.
Noise Level: 4
Noise Justification: The article provides relevant information about the termination of an expansion deal between Philip Green’s Arcadia retail empire and Chinese franchise partner Shangpin, but lacks in-depth analysis or exploration of the reasons behind the decision. It also does not offer much insight into the potential consequences for both parties involved or the future of Topshop and Topman in China.
Financial Relevance: Yes
Financial Markets Impacted: Arcadia Group (owner of Topshop and Topman)
Financial Rating Justification: The article discusses the termination of an expansion deal between Arcadia Group and Shangpin, which impacts the financial performance and growth strategy of the retail company.
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: No
Extreme Rating Justification: No extreme event mentioned in the text
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