E-Land's fashion business in China on coronavirus alert

People shop at E Land's fashion brand Scofield's store in China. / Korea times file

By Kim Jae-heun

E-Land Group's fashion apparel business in China is on alert due to the spread of the new coronavirus after 86 percent of its 317 stores operating in Wuhan decided to close temporarily.

The fashion firm owns 4,000 stores across the mainland. As the contagious disease has now killed 213 and infected 9,692 people in China, E-Land Group has formed a taskforce to take emergency action.

“Our stores in Wuhan will be closed for a while. Other stores in mainland China will operate according to guidelines given by the Chinese government,” an E-Land Group official said.

The 14 percent of E-Land stores still operating in Wuhan shortened their business hours ― opening late and closing early.

It has not been confirmed whether the group will cut the business hours of its stores in other areas but they will be vulnerable to local government countermeasures.

E-Land officials said the company expects more of its stores to close temporarily as most of them are operating in department stores or shopping mall complexes.

Currently, E-Land has extended all of its local employees' Chinese New Year break by one day.

The Chinese branches are also reviewing extending the holiday period further and suspending overseas business trips.

Korean employees, who have been sent to China as resident workers have been permitted to return of their own volition will and the group recommend their family members, living in China, to return home as well.

E-Land Group said there are not many Korean employees in China as it has successfully localized its business there.

The group decided to send some 10,000 masks to China, Wednesday, after the Red Cross Society of China requested them as relief goods.

E-Land first entered the Chinese market by establishing a manufacturing plant in 1994. Two years later, it opened its first clothing store there and launched the brands E Land, Scofield and Teenie Weenie.

The brands became luxury labels in China in the mid-2000s, when three to four stores would be opened in a day.

However, an economic slump there has affected E Land's business since 2016 with a reduction in sales.

In March 2017, E Land sold Teenie Weenie China and pulled out of its restaurant franchises. It operates 20 brands in China.