China's first discount shop for home appliances will open this Saturday in north of Shanghai, selling products at up to 90 percent off the market prices, today's Shanghai Morning Post reported.
The shop, Hualian Weijia, sells about 1,500 kinds of appliances in seven categories, including TVs, refrigerators, air-conditioners, washing machines and digital products.
Most of the products are selling at half to 70 percent cheaper than the market prices, while some on promotion will offer up to 90-percent discounts.
The low prices are possible, because most of the products are out of date and have been fading out of the mainstream market, said a shop official, who was not named in the report.
Despite that, he seems bullish about the business, since the shop's low-price strategy caters to budget buyers such as those of lower income and those taking a simple life philosophy.
The shop is also believed attractive for people who want higher rents for their homes by using cheap home appliances to decorate the flats and those who are starting a new business and are on tight budgets.
(eastday.com September 25, 2003)