In 2012, United States-based Wal-Mart closed five outlets in China, including three convenience stores, and France's Carrefour closed two stores in the country, the National Business Daily reported. UK chain Tesco also closed four stores in China last year and another one this year.

The report suggested that China's current urbanization drive will present more opportunities for retailers as the rising proportion of urban consumers will change the consumption structure and boost the consumption level in third and fourth-tier cities.

Among the top 10 new retailers listed on the top 100 of retail companies in 2012, nearly 50 percent of them came from smaller cities.

Also, an increasing number of retailers have started expanding to other sectors to boost sales and lift profits.

Walmart said earlier this year that it would expand online mobile phone sales in China. And local players are gradually developing new retail projects, such as shopping malls and convenience stores.

Another obvious trend in the Chinese retail market is that companies are focusing on the integration of e-commerce and brick-and-mortar stores. The total value of online retailing in China will exceed 2 trillion yuan ($324.43 billion) by the end of 2015 from 1.32 trillion yuan in 2012, the report said.

The Chinese are getting gradually used to an online shopping experience using their mobile phones, and mobile applications will become more popular and have a greater influence on physical stores, the report added.

It also said that the relationship between the retail industry and the capital markets will continue to be close. Business-to-consumer online retailing is attracting the attention of venture capital firms, and initial public offerings are expected to become the optimal option for leading retailers wanting to expand.