Foxconn Technology Group, after its failed joint venture with Metro AG, a German retailer has said it will turn to China for expansion of its retail business. The joint venture failed to launch because of the stiff competition between the major electronic stores in the European market.
Currently, Foxconn has a network of 1,000 electronics stores in China and has plans to further support its online store. This was the statement made by Laura Liu, Foxconn spokesperson. She added, "We have seen sales in our physical retail stores dropping so we're putting more focus on our online business."
Foxconn is owned by a holdings company that has in its profile Hon Hai Precision Industry Co. Ltd of Taiwan. The joint venture with Metro AG brought with it new stores into its network, namely seven stores under its Media Market China chain.
The venture's majority stockholder, Metro AG said it would be dissolving the partnership after failing to meet expected returns in a highly competitive market where even Best Buy, Kingfisher and Home Depot have struggled to make ends meet.
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