Cheng said Ito-Yokado has upgraded its services and lowered the height of shelves in some stores in Beijing to promote consumer satisfaction.
In addition to investment in its general merchandise stores, the parent company of Ito-Yokado, Seven & I Holdings Co Ltd, which also owns 7-Eleven, announced last year that it will be establishing high-end boutique supermarkets in China.
The new supermarkets will each occupy 2,000 and 3,000 square meters of floor space and will sell daily necessities such as fresh food, the company said.
According to media reports, the company will open its first boutique supermarket in Chengdu later this year.
Cheng said tension over the Diaoyu Islands will not hold back Ito-Yokado's investment in China.
"We will expand our investment in China since we are confident about its future outlook," Cheng said.
A 9-year-old girl and her father are traveling to 31 major cities across China on foot and by hitchhiking.