China Square opens new branch in Kenya despite protest
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China Square opens new branch at Waterfront Mall in Nairobi's Karen area despite protest from local traders
China Square opens new branch at Waterfront Mall in Nairobi’s Karen area despite protest from local traders.
In a statement, the retailer owned by Chinese national Lei Cheng posted photos of the preparations being made at the new outlets including putting up shelves and interior works ahead of the opening.
“Exciting times ahead. The countdown for the Waterfront branch opening has begun. Swipe to see the journey so far,” read part of the post.
The opening of new branch comes after controversy that saw the Unicity Mall outlet at Kenyatta University closed for a week after protest from Kenyan traders.
At the time, the then Trade Cabinet Secretary Moses Kuria threaten to shutdown the business out of the Kenyan market after Nyamakima traders accused them of undercutting due to low pricing.
CS Kuria then pushed the Kenyatta Unversity Vice Chancellor Paul Wainaina to give the space at the mall to local traders.
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Following the controversy, CS Kuria made a U-turn in his initial comment and instead offered to assist Cheng in setting up a manufacturing plant in Kenya.
“I will assist China Square owner Cheng to set up a manufacturing plant in Kenya and work on a distribution partnership with Gikomba, Nyamakima, Eastleigh, Kamukunji, Muthurwa and River Road traders,” Kuria stated in February 2023.
With the opening of the new China Square branch in Karen, Cheng will now seek to replicate the success they have recorded at the Thika Road branch, which gained attraction over its pocket-friendly prices.
Cheng stated in January 2023 that he had made his first Ksh20 million in just two weeks, adding that his sales would total Ksh10 million on a slow business day.
He credited social media marketing, referral business, and providing the goods at reasonable costs for the company’s success.
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