Retailers feel chill of Yuen Long violenceBusiness | 22 Jul 2019 6:37 pm
The Hong Kong Retail Management Association expects a single to double-digit sales drop this year, following last night's violence in Yuen Long, chairman Annie Yao Tse said.
She said Hong Kong's image as a safe shopping paradise has been damaged.
The business of commodity and catering sectors are less affected, while the medium and high-end market has suffered significantly, she added.
Meanwhile, high rent, shortage of workers and a high staff turnover rate are among the major challenges Hong Kong retailers face in an industry in need of transforming to win over customers and prospective talent, KPMG and the Hong Kong Retail Management Association, said in a report.
These challenges, both linked to staff issues, trailed only high rent (79 percent) as the biggest hurdle cited in a survey of 281 retailers in the city.
KPMG and HKRMA did the survey in the first quarter this year.
A majority of surveyed industry leaders expect the undersupply of talent to cause lower customer service quality, slower or negative sales growth and diminished staff morale and productivity.