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In 2018 sales are expected to be affected by slower household spending growth, triggered by a weaker housing market and subdued growth in household income.

The profit margins of Indian non-food retailers are expected to moderate in 2018 due to growing competition and the rising market share of e-commerce.

Despite good sales prospects, there remains substantial uncertainty related to VAT tax issues amongst retailers as tax controls have been intensified.

Indonesia's retail sector is one of the most promising in Asia, on the back of its large population and growing middle class with higher purchasing power.

The short-term outlook is benign with private consumption expected to increase by more than 6% in 2018, but higher inflation could have a dampening effect.

The number of brick-and-mortar stores has significantly decreased - despite the fact that high street also benefits from the current sales increase.

The best way for smaller retailers to survive is to join a large purchasing association and to compete with e-commerce by providing outstanding service.

The business environment is highly competitive among the different distribution networks, reinforced by the increasing market share of online retailers.

Many long-standing retail chains are highly indebted, often from leveraged buyouts led by private equity firms, while investors reconsider further lending.

As a result of more difficult trading conditions retailers profit margins have deteriorated in H2 of 2017, and further decline is expected in 2018.