Tesco Corp, the British international grocery and general merchandising retail chain, plans to open its first supermarket in China this Fall in Xiamen, a coastal city in southeastern Fujian Province, said the UK Trade & Investment business delegation at a press conference in Xiamen.

Tesco will open a second store next year, the delegation added. Furthermore, if the business performs well, Tesco will open more outlets in Xiamen.

Liu Guochuan, general manager of a local shopping plaza, said the foreign chain store's arrival in Xiamen will not be a bad thing for local enterprises. Since local enterprises have the advantage over foreign enterprises in flexible management and operating models amid the stiff competition in the city

U.S.-based Wal-Mart and France-based Carrefour already have outlets in Xiamen.