By TANIA LAM
KUCHING: Competition is an ever-present feature in the world of business, where the saying “survival of the fittest” holds true.
Over the past few decades, Kuching’s market scene has evolved from the traditional wet markets of Gambier Street to include a wider mix of modern outlets such as hypermarkets and anchor tenants (departmental stores and supermarkets), said Sim Kiang Chiok, Sarawak Housing and Real Estate Developer Association (Sheda) vice president and Kuching branch chairman.
“This is good as it is more convenient for us, and the competition among these stores will lead to cheaper prices for consumers,” he told a New Sarawak Tribune reporter.
“We recently had a few supermarkets and departmental stores closing down or downsizing by closing down their outlets.”
Some recent examples are Cold Storage at Green Heights Mall and Metrojaya at CityONE Megamall.
According to Sim, all the closing, opening and shifting of retailers could be due to a few reasons such as competition, poor economic climate, poor location selection, and the reduced spending power of consumers.
In this modern era, physical stores also face another huge competitor – e-retailing.
“Consumers are now ordering goods from the comfort of their homes or offices, and can have them delivered right to their doorstep.
“The next challenge for these supermarket stores will also be e-retail with delivery of fresh produce and perishables,” he said.
“These businesses have to be more efficient, effective and competitive. The fit and strong will survive. Those who can adjust and adapt will hopefully survive,” Sim said.
In response to the surplus of commercial shoplots and overhang in Kuching, Sim commented that new ones are still built as developers might believe that the locations of the new developments are promising, thus they take business risks.
“They have the potential to be sold once completed,” he added.
When asked about empty shoplots, Sim said that they could be purchased already but not yet rented out.
He then emphasised that there is not much abandonment of shoplots in Kuching.
