At roughly 300 stores per million people similar to Malaysia and Singapore, compared to an average of 50 in Vietnam or Indonesia, plus online shopping, the Thai multi-brand retail scenario is comparable to that in the US or west Europe.

All its formats permeate the city: cash and carry usually wholesale, monstrous hypermarkets, supermarkets, smaller “express” shops, the ubiquitous “Sevens” and their main competitor, Family Mart, that dot almost every Bangkok soi. Big retail currently handles close to half the total value of a retail trade worth around $480 billion.

Shopping center terminal 21
At roughly 300 stores per million people similar to Malaysia and Singapore, compared to an average of 50 in Vietnam or Indonesia, plus online shopping, the Thai multi-brand retail scenario is comparable to that in the US or west Europe.

Wet-markets and traditional grocery stores account for the other half, but with a relatively lower rate of growth, this share is projected to fall.MNCs like Tesco UK and Grand Casino France—though curiously not Walmart—found an easy entry into the Thai retail ecosystem after the 1997 financial crisis.

FDI rules from the ’70s, when Thailand was under military rule, allowed foreign equity over 50 per cent, with a high discretionary element in permissions. Legislation in 1999—in the wake of the crisis—repealed that and permitted foreign firms to hold up to 60 per cent of equity, with a caveat to ensure there were Thai companies competing in the sector.

via The Thai Message | Sriram Natrajan.

About the author

Leave a Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Sign Up for Our Newsletter

Get notified of our weekly selection of news

You May Also Like

Parts Shortages hit Thai auto manufacturing, sales and exports

Production, local sales, and export of cars and motorcycles decreased by 31.79% in April compared to March, due to a shortage of parts that caused manufacturers to delay production.

Thailand’s Fastest-Growing Industries as the Nation Makes a Comeback

Tourism is being enabled greatly by foreign tourists being given a quarantine waiver, with an anticipated 5.5 million people set to visit the country this year. It’s an increase on the initial forecast, but still short of 2019’s 40 million foreign tourists.

Business Urged to Leverage 5G at Thailand 5G Summit 2022

Digital Economy and Society Minister Chaiwut Thanakamanusorn said driving digital technology and innovations is crucial for promoting the utilization of 5G, while also expanding opportunities for the business and civic sectors.