China to become world's largest retail market

According to analysts, China is to become the world's largest retail market in the next three years. Global advisory company Price Waterhouse Coopers, or PwC, this week stated the Chinese market is expected to grow 10 percent

per annum through 2016, and will take over the United States as the world's biggest market.

The economic woes in the European union has not affected China's demand for consumer goods and according to figures released by PwC China's gross domestic product grew 7.4 percent from July-September, slowing from the 9.1 percent during the same period a year earlier. The world's number two economy grew 7.6 percent in Q2 and by 8.1 percent in Q1.

However, global retailers will continue to bank on China to drive growth, PwC said.

"Retailers operating in China are no longer just focusing on the bigger first and second-tier cities. They're now expanding in third and fourth-tier cities as disposal incomes in these untapped markets increase," said Carrie Yu, PwC's retail and consumer leader for China and the Asia Pacific.

The firm also expected that Chinese consumers will continue to drive global luxury market growth in 2013 and onwards. China's online retailing will enjoy exponential growth, accounting for a 23.4 percent share of global business-to-consumer e-commerce sales in 2016, up from 9.9 percent in 2012.

Image: Shopping China