The battle for Gome is finally over. That was the message – delivered loud and clear – as the Chinese electricals retailer unveiled its first set of results since its newly elected chairman, Zhang Dazhong, took charge.
The market reaction suggests that Gome could be set for a peace dividend, with the company’s strategy now firmly set on one thing: expansion. Gome shares were up 2.8 per cent on Tuesday.
Zhang’s promotion to chairman, and the ouster of his predecessor, helped to bring the year-long civil war at Gome to a close. The fight wasn’t just about personalities – though it did pit Gome founder Huang Guangyu (who remains behind bars) against former chairman Chen Xiao. It was also about strategy.
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