Foxconn Electronics (Hon Hai Precision Industry) has dismissed rumors that it is closing its Cybermart IT retail operations in Taiwan.
Rumors about Cybermart, a retail chain in China and Taiwan under the Foxconn Group, quitting the Taiwan market have spread after several of its high-ranking executives reportedly left the company in January. Meanwhile, the company has also recently started discussing about canceling orders and clearing up inventory with its consumer electronics and home appliance distributors, according to sources from Taiwan's channel retailers.
Foxconn pointed out that the company's channel retail business is currently undergoing a strategic transformation. The company is set to adopt a business model where its outlets will serve as experiencing centers for consumers with e-commerce at its business core.
As for the company's six existing stores in Taiwan, the company will make adjustments based on each store's status, but will not close them down as rumored, noted Foxconn, adding that the company's Cyber Plaza in Tainan, southern Taiwan will open in July as scheduled.
Foxconn says it will not close down its retail stores in Taiwan.
