Metro AG Closes China Convenience Stores

Less than two years after setting up shop, German retail and wholesale giant Metro AG is closing all of its convenience stores in China due to “drastic changes” in the business environment. The company was suffering mainly from high rent costs in China’s major cities. Its four MyMart stores in Shanghai, for instance, were located in mid- to high-end commercial districts and closed several months ago. The company released a statement noting, “this will not affect Metro China’s commitment to long-term development in China. We will keep expanding our sales network in China and continue to focus on four pillars – O2O stores, food service delivery, welfare and gifting and other e-commerce channels, where we can provide added value to Chinese customers.”