Is Tax Exemption A Sign? Shenzhen Duty-Free Shopping Mall Is Not "Tax-Free".

Shenzhen

Duty free shopping mall

Actually not.

China World Trade Center's once duty free shopping centre has now been withdrawn.

"Shenzhen has long been a duty-free shopping mall, why do we need to set up a tax free zone in Qianhai?"

What many old Shenzhen people are puzzled is, why not make bigger and stronger Shenzhen's duty free shopping center that was once brilliant?

After investigation, the reporter learned that duty-free shopping centers no longer enjoy the "tax exemption" policy since 1995.

Whether it is duty free shopping mall or duty-free jewellery, in fact, it is not tax-free.

Used to be "currency special zone".

"Duty-free shops at different stages are quite different in nature.

The duty-free shops in the 80s and 90s of last century are the products of special policies. They mainly aim at people entering and leaving the country, with the aim of absorbing foreign exchange.

Even the duty-free shopping center in China World Trade Center, Shenzhen, was originally a foreign currency paction, which is equivalent to a "currency special zone".

Liu Luyu, director of enterprise and Market Research Center of Shenzhen comprehensive research and Development Institute, told reporters.

In the view of Professor Wang Li of the Shenzhen University of management, apart from the policy advantages, the glory of the Shenzhen duty-free shopping mall in International Trade Building or Cetra Building actually had a deeper historical reason.

Analyzing the history of retail business in Shenzhen, Wang Li divided it into three stages: the "old three" era in the 80s of last century, on the people's South Road in Luohu District, and the Friendship Shopping Center, the international shopping center and the global business center, and the Yuehua shopping center beside them. The duty-free shop era, the Shenzhen duty-free commodity company, was approved by the State Council in 1987 7, as a retail enterprise specializing in the duty free import of high-grade commodities, and the duty free shopping mall occupied 4, 5 and two floors of the International Trade Building or Cetra Building's podium at that time.

In 1996, China World Trade Center duty-free shopping mall sold more than 500 million yuan annually, with the highest sales volume of 6 million yuan per day, all of which created the largest single store in Shenzhen department store.

In 1994, the opening of Wanjia department store in Huaqiang North of Shenzhen marked the entry of Shenzhen into the era of warehousing and par value supermarket. The brand of local large department stores began to rise, and the WAL-MART of foreign brands began to enter.

Wang Li believes that in fact, whether the "old three" or the China World Trade Center duty-free shopping center is brilliant, they assume more of the functions of large shopping malls, rather than the concept of tax exemption.

Experiencing prosperity and eventual decline

It is the rise of the warehouse type parity Supermarket that directs the decline of the duty free shopping mall.

Behind the decline, there are also policy factors.

A few days ago, Teng Xiao, who worked in the duty free shopping mall for nearly 10 years, told reporters that she had not returned to the duty free shopping mall for more than 10 years since leaving in 2000.

She said, "during the most prosperous time, it is really hard to see the situation."

Teng Xiao disclosed that from the time of birth, China World Trade Center duty-free shopping malls enjoyed the preferential policies of the state. Apart from smoking, drinking and electrical appliances, the goods imported from abroad were exempt from customs duties.

"Many goods in those days were available only in China World Trade Center duty free shopping centres.

A limited number of people who buy things are often queued. "

"The company has offices in Hongkong, and almost all goods are imported from Hongkong."

In Teng Xiao's view, the success of China World Trade Center's duty free shopping malls lies in the fact that it has an absolutely advantageous channel of purchase.

But not for long.

In 1995, the state abolished the tax exemption policy, and "tax exemption" began to turn into a brand name.

"Since then, all goods have not been duty-free.

For single commodity sales, the impact of policy is very obvious.

With the development of reform and opening up, the government's restrictions on import and export trade have been liberalized, and the exchanges between Shenzhen and Hongkong and the international community are becoming more and more convenient.

"There is no competitive advantage for the exemption company on the purchase channel and source.

On the contrary, the long and rigid mode of operation has become a hindrance to its development. "

Sales of China World Trade Center duty free shopping centres in 2000 amounted to 100 million yuan, just 1/5 in 1996.

The duty free shopping mall was withdrawn from International Trade Building or Cetra Building in 2001.

At that time, the official explanation was that the rent rose sharply and the people's southern business circle deteriorated.

Duty-free shopping arcade business

On a Saturday morning at the end of April, the reporter came to the duty free shopping mall.

And most

Reporters saw that the entire duty-free shopping mall had a very small volume of traffic.

In the two hours of the reporters' wandering, there was only a single deal in the BOKE shoe store.

Professor Wang Li told reporters, "if the rent is not reduced, the duty free shopping mall will not be able to do it here."

"Now a lot of goods in the duty-free shopping center can be bought by ordinary shopping malls. Why do we need to buy it in the duty free shopping mall?" for a situation of the duty free shopping mall, a journalist in Shenzhen media reported that "now the duty free shopping mall has no core competitiveness. The number of categories and the level of luxury goods are all higher than those of ordinary shopping malls, and the prices are also high."

The reporter believes that even if the duty-free shopping mall now needs to replay the "tax-free" brand, it must pform its management mentality.