Till the end of July, Hong Kong's retail sales have been falling for five consecutive months. This SAR is losing its former competitive position against mainland. ANBOUND think tank scholars state that in order to retain its competitive edge, Hong Kong should attach more attention to the industrial chain expansion and fully tap the potential of the vast inland market by providing more excellent products and services, rather than immerse in its past achievements. For Hong Kong, steps should be taken for market orientation and business innovation in industrial chain in face of more and more future competitors.