During Hon Hai's recent general meeting of shareholders, its chairman Terry Guo announced that the company has reached an agreement with the Ruentex Group, owner of the Taiwanese retailer Rt-Mart, to jointly expand the Chinese mainland 3C electronics market.
According to the cooperation, Hon Hai will set up 3C stores-in-store in Rt-Mart's retail outlets on mainland China to expand its terminal channels. The company plans to initially enter over 100 Rt-Mart stores.
By the end of 2009, Rt-Mart has opened 110 stores in mainland China with annual operating revenue of CNY35 billion. At present, it is the second largest overseas retail enterprise on the mainland, only second to Carrefour.
This is reportedly Hon Hai's newest move for channel distribution following its announcement of cooperation with the German retailer Metro. In 2009, Hon Hai announced plans to establish a joint venture with Metro's electronics sales subsidiary Media Markt and the two companies will open the first Media Markt in Shanghai in October 2010. The two parties also said that they will develop ten new stores in mainland China in 2012 and over 100 outlets in the next five years.
