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China: Long-term prospects for warehouse-style fruit shops are unknown

More and more discount, warehouse-style fruit chain stores have opened in recent years. In addition to being cheap, the variety of fruits is also quite varied, including common fruits, imported raspberries, Thai tamarind, Peruvian red grapes Australian peaches and so on. At the same time, some stores also attract consumers by means of limited-time special offers.

Industry insiders who have been engaged in the fruit business for many years report that warehouse-style fruit shops are generally located in the center of non-urban areas, and some are still in the suburbs. The rents and other expenses are lower than in the city centers, which can reduce certain costs. But not all the fruits in the store are cheap. These warehouse-style fruit shops will often use some products as loss-leaders with eye-catching prices to attract consumers, and at the same time drive the sale of some more profitable goods.

The sales model of warehousing and selling fruit may attract people in the short-term but it is still unknown whether it can be popular among consumers over the long haul.

Source: Tonight's News

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