Costco limits number of customers in Shanghai store after hectic opening day
Updated 20:33, 28-Aug-2019
Wu Lei
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01:16

On opening day, Costco's first store on the Chinese mainland was forced to shut its doors early. The flood of customers led to the American shopping giant announcing that only 2,000 people were allowed to show in the store at one time. 

On the second day, hundreds of bargain hunters were seen lining up to shop inside.

Costco has been welcomed in Shanghai despite an intensifying trade war between the U.S. and China. The message is clear, quality products, attractive prices and branding are welcome among China’s ever-growing consumer market.

China’s middle class families demand more quality products and services, providing huge market opportunities for global enterprises. It seems impossible for any global giant to overlook such a huge and lucrative market.

But despite the early buzz around its Shanghai store, the U.S. retailer will have to prove it can stick around for the long haul. It has to contend not only with global rivals like Walmart and big Chinese players like Alibaba and JD.com, but also with China's rapid economic changes and its growing online retail industry.

Experts say whether Costco can succeed in the long term depends on how well it can adapt to China's dynamic retail landscape.