Circulation Enterprises Penetrate Into Brand Domain
Li Kailuo thought: "what is the most precious thing in the development, and the enterprise will go to" rob "what is the inevitable profit seeking nature in business competition.
Take baozi as an example. When baozi first came to China, the shopping center was proud to be stationed in baozi. When the brand entered the shopping mall at the cost of entry fee and sales deduction, the general brand was to be buckle about 20% or even 30%, while baozi was almost zero point. But the good times are not constant. With a large number of international brands coming to China, Baozi gradually lost this advantage. At this time, Baozi suddenly discovered the importance of channels for it. Baozi had to start joining the retail business. In 2001, it bought shares of Paris Spring Department Store controlled by TOPFORM, and officially began its operation in the circulation field.
The penetration of circulation enterprises into the brand area is also caused by fierce competition. In the industry, there is an unspoken "overlord" clause. A brand can not enter two different shopping malls within 500 meters. The purpose of this brand is to maintain the difference of clothing brands in the market. The situation of shopping malls on one side of the store makes the regional characteristics very obvious. Consumers almost need not go to another house in the same place. In order to change this situation, the shopping mall has sprouted the idea of making its own clothing brand.
"In the final analysis, the formation of dislocation economy is necessary for the development of enterprises. There is a stable channel for the production enterprises to enter the circulation, and the circulation enterprises enter the production to provide a solid supply for the shopping malls. Objectively, they can form differential competition with their rivals. This may seem very important in the current situation. " Li Kailuo told reporters. (Jia Xiao)
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