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    Shoe Companies Need To Remain Calm And Multi-Party Analysis

    2010/4/20 9:49:00 18

    Shoe Enterprises

    The financial crisis has shortened the distance between domestic shoe brands and international brands. Many shoe brands in the world have been shaky, so that shoemaker has seen the opportunities. Therefore, the takeover trend has been pushed onto the cusp and formed a heat flow.


    People in the industry will analyze the merger of international shoe brands by domestic shoe companies, which will become a clear proof of the maturity of China's footwear industry.

    Some people even think that the shoe enterprises that have achieved brand uptrend under this purchase boom will sounded the clarion call for external expansion and brand counterattack.


    At the early stage of the shoe brand acquisition, no matter from R & D, technology, brand, channel network to brand operation, many domestic shoe companies are still in the growth stage, and the realization of mature and perfect international operation is only a night talk.

    Although many small and medium sized shoe enterprises are developing rapidly, although they occupy a favorable position in production and production capacity, brand building is still short board, and the accumulation of brand culture is also limited.


    However, with the Chinese market becoming the world's largest market, many domestic shoe enterprises are growing faster. From the pursuit of simple sales volume to the breakthrough of brand to the current M & a boom, it has been proved that Chinese shoemaking enterprises have entered the era of brand marketing.


    In October 2009, Anta spent HK $600 million to acquire FILA brand in mainland China, Hongkong and Macao, and seize the development potential of China's high-end sporting goods market.

    The FILA brand will not only bring Anta new business growth point, but also complement the Anta local brand that is attacking the mass market.


    Ding Shizhong, chairman and chief executive of Anta sports, has also said that he will make a solid foundation for the acquisition of FILA brand so as to benefit Anta's long-term development.

    Obviously, Anta's acquisition of FILA brand is based on the environment of the international industry, relying on mature brand operation experience.

    After the completion of the FILA brand redevelopment in China, Anta will be selected as a distributor in the high-end consumer market and plans to open up a new branch. It plans to have 200 FILA stores by the end of 2010.

    This will further enrich Anta's brand connotation and consolidate Anta's leading position in China's sporting goods industry.


    Similarly, brand acquisition is not simply a capital operation. The purchasing power of an enterprise includes not only the acquisition cost in the early stage, but also the continuous investment in the operation of the brand after the acquisition, as well as the integration of the corporate culture and effective support at all levels of the operation of the enterprise.


    In addition, the acquisition of large amounts of capital and energy of the occupied enterprises is likely to weaken the dominant position in the industry competition.

    Earlier, Adidas firmly occupied the first place in the sports brand. However, when Adidas acquired the US brand Reebok at a high price, it was able to give Nike a chance to compete because of indigestion. Nike took the opportunity to extend the product line to more sports fields.

    This example also confirms the difficulty of digestion and assimilation after brand acquisition.


    Therefore, brand purchasing shoe companies need to keep a cool head and analyze more unworkable factors behind them.


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