The best thing I can say about early December Top Idea GOME Electrical Appliances (OTCPK:GMELY) (0493.HK) is that the shares did quite a lot better than rival Suning and only very slightly worse than the Hang Seng Index. Even so, the 5% decline over that stretch is quite disappointing.
I
continue to believe that GOME is on the right track with its focus on
becoming an "omni-channel" retailer and driving a competitive advantage
through low-cost/high-service logistics and supply chain management.
Online appliance and electronics retailers seem to be pulling back from
aggressive price competition and the company is taking share in Tier 1
and 2 cities. The online strategy is still a work in progress, but with a
focused strategy to improve its product mix and logistics costs, I
believe these shares are still meaningfully undervalued.
Please read more here:
GOME Continues To Gain Share And Evolve Toward A Logistics-Driven Model
No comments:
Post a Comment