Gome pulls plug on electrical shops and 100 jobs
Redundancies begin next month as mainland retail giant reveals it's closing Hong Kong stores
Electrical appliance retailer Gome is closing its six shops in Hong Kong, throwing some 100 people out of work - starting in just 11 days on February 1.
The company announced over the weekend that it would be switching its Hong Kong business focus to wholesale trade.
A Gome spokeswoman in Hong Kong said: "It is a change of direction of business, from retailing to wholesaling or bulk trade. We hope to take advantage of Hong Kong's edge in geographical location and commerce and trade to develop our international procurement business."
The flagship store in Causeway Bay will close on March 16.
Gome's five other Hong Kong shops - in Tsuen Wan, Kwun Tong, Yuen Long, Tai Po, and Tuen Mun - will close on February 1.
The spokeswoman said some 100 workers would be affected. "They will be compensated properly according to the labour laws. The staff members have been informed and we have not received any complaints," she said.
Customers holding Gome cash vouchers could redeem them before the shops close, according to the spokeswoman.
