International Investment and Market Development

INTERNATIONAL INVESTMENT AND MARKET DEVELOPMENT 1
INTERNATIONAL INVESTMENT AND MARKET DEVELOPMENT
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INTERNATIONAL INVESTMENT AND MARKET DEVELOPMENT 2
Introduction
Despite of its significantly small consumer base as compared to the neighbor country
India, Sri Lanka’s retail sector has registered a formidable growth in the past few years. This can
be related to its strong macroeconomic rudiments, rising incomes, shifting consumer trends and
its high household expenditure levels. Because the retail space is under critical short supply, the
e-commerce sector has been slated to meet the substantial and untapped consumer demands.
Both the supermarkets and hypermarkets have also expanded due to the increase in brand-
conscious consumer group. For that matter, the retail value chain in all segments hold a vast
potential for future investments and expansion which is an open chance for Cotton On Company.
Cotton On Company Overview
Cotton On Company is a retail chain company based in Australia and which is famous for
its best deals in fast fashion clothes for women, men, children and teenagers (Welch, 2015, p.3).
Its expansion in the past few years depicts its potential expertise in retail industry and therefore
expected to be successful on venturing the retail industry of Sri Lanka. Besides the above
mention products, Cotton On also deals with Cotton on Kids, Bodies, and Rubi shoes, Typos,
Factorie and T-bars which will act as an added advantage over a number of retail companies in
Sri Lanka.
Potentiality in Sri Lanka Textile Industry
Sri Lanka is an upcoming middle class country which according to statistics has shown
its preference for spending over saving in the past few years. In addition to its strong economy
and with mounting tourism receipts, the country has few restrictions on foreign investments and
that is a favorable environment for Cotton On Company, retail Investor Company (Lalindra and