File photo/Zhang Jian (NBD)

May 9 (NBD) -- U.S. retailer Wal-Mart's Fengcheng store will wind up business on May 14, according to media reports Tuesday. 

The new closure in southeast China's Jiangxi province came less than two months after the retailer shuttered a Nanchang-based store. 

National Business Daily noticed that the Fengcheng store, which opened in December 2010, is the eighth outlet of Wal-Mart in Jiangxi. Analysis showed that the shutdown is a result of factors including fierce competition and the rise of new urban district. 

According to incomplete statistics, Wal-Mart closed six of its supermarkets and exited five cities - Qingdao, Haining, Lishui, Weifang, and Zhenjiang - in China in the first four months of this year, which is quite shocking as compared to the retreat from four cities in the whole year of 2018. 

It is also worth noting that the retailer didn't open a single new store in China this year. This indicates the chain is speeding up its pace in downsizing the business in the country, with the eastern region bearing the brunt of the adjustment, according to China Business Herald. 

Regarding the frequent store closures, economist Song Qinghui said to China Business Herald, "On one hand, e-commerce platforms have taken a lot of share from traditional supermarkets in the distribution of high-grossing items, and on the other hand, an exponential rise in storefront rental when the lease expires might drive some profitable stores to shut down." 

"With the change of new-generation consumers' attitudes towards consumption, the retail industry has undergone disruptive changes," retail industry analyst Zhu Danpeng analyzed. "Traditional supermarkets are facing difficulties in meeting core demands of these consumers." 

In Zhu's eyes, under the new retail model, online and offline platforms should be given equal attention in the future.  

Email: lansuying@nbd.com.cn