Guangzhou-based Urban Revivo is scheduled to launch its first US flagship store in Soho. The company already has more stores in China than Inditex SA’s Zara and Hennes & Mauritz AB’s H&M, and it is catching up to them in Southeast Asia. This year, founder Leo Li has plans to open 25 stores outside of China, including two more in London and many locations in Japan and the Middle East.
Urban Revivo intends to build factories close to or in the foreign market where it will sell in addition to shopfronts. In light of the harsh trade policies that US President Donald Trump has unleashed, this emphasises how urgent it is to establish a parallel supply chain as part of Chinese enterprises’ goals for international expansion.
According to Urban Revivo, if the business is successful in expanding, the US and Europe may eventually make up at least 30 per cent of overall sales. At the moment, China accounts for the majority of its sales, with a tiny portion coming from the dozens of outlets that are already open in Southeast Asia.
Li said that in order to outperform global behemoths like Zara and H&M in western markets, it will follow the strategy that proved effective in China, which involves using its established supply chain and e-commerce know-how to react to changing consumer preferences in a matter of days as opposed to the weeks or even months that rivals from other countries typically need.
