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    Why Do Shoe Companies Fall Into The "Quality Gate"?

    2010/6/14 15:23:00 51

    Shoe Enterprises

    Case replay: in April 28th of this year, Mr. Wen bought a pair of shoes worth 500 yuan at a BELLE counter in a shopping mall in Changsha. After returning home, he found that the right foot was slightly open on the left side, 0.5 centimeters wide and 4 centimeters long.


    From the above case, we can be sure that Mr. Wen bought the "inferior goods", and the shoe industry of BELLE was thus trapped in the "quality gate".


    Not only the shoe industry, in the past two years, once a high quality, high reputation of the name of the big brands have fallen into the "quality door", a pile of "sick", halo no longer.

    Following the outbreak of the recall of TOYOTA, the world's largest auto dealer in March 2010, HP, the world's biggest PC dealer, was caught in a quality scandal and was pushed back to the top of the recall product, encountering the biggest brand crisis since its entry into the Chinese market.


    From food, cosmetics, clothing to electrical appliances, IT, cars, more and more international first-line brands are constantly falling into the "quality gate" incident.

    In the past two or three months, Honda, Hyundai, general motors and Ford have also issued various recall announcements, which are raising a global recall.

    Toshiba, Fujitsu, NEC and other 3 internationally renowned brands of 5 models of laptop computers have been ordered to stop selling, and filed for investigation.


    The financial turmoil that swept across the world in 2008 has made the multinational corporations feel the pressure of survival. Especially in the field of products closely related to consumers such as automobiles, household appliances, IT, clothing and so on, competition is more intense. Multinational companies have to cut costs to maintain operation.

    In order to occupy a larger market share and maximize profits, many international brands reduce the cost to the maximum extent in product production, marketing and after-sales service.

    By the second half of 2009, with the gradual recovery of the global economy, the market of automobiles, home appliances, IT and other industries began to turn red. Many famous multinational enterprises have been upgrading their production and marketing plans, and there has been a surge of capacity expansion.

    In particular, the automobile, PC, and household electrical appliances industry is a strong "expansion" tide.

    On the one hand, many multinational companies are greedy for the market expansion rate, and on the one hand, they are trying to cut down the cost in order to gain profits and the double harvest of the market.


    A thousand miles of levees lie in the nest.

    A small pedal can ruin the world's first car king; a casual black screen can also overthrow the throne of the PC king of the world.


    In the middle of 1980s, the sudden acceleration of Audi caused Audi brand to almost disappear from the US market for many years after that. At the beginning of this century, MITSUBISHI was exposed to long term concealment of product defects, which directly led to the management dilemma.


    Statistics show that in 2010 1~3, the involvement of quality gate event, TOYOTA automobile has fallen out of the top ten ranking of Chinese car brand sales, and in the first quarter of 2010, HP's Asia Pacific notebook sales fell to second, Lenovo exceeded.


    It can be said that in the Chinese market increasingly valued by multinational companies, no matter how high the brand awareness is and how big the market share has been, if the product quality is neglected and the integrity is not pursued, it is a nightmare that the rapid manufacturing of foam will eventually lose its popularity. The "recall door" and "quality gate" phenomenon will be duplicated and repeated again and again.


    When dealing with competitors' price offensive, enterprises should comprehensively analyze the support base of their opponents to launch price offensive, compare the similarities and differences between the two sides in terms of cost, labor productivity, target population, product efficacy and brand image, and fully understand and analyze consumers' cognition and attitude towards such products, and the price limits of different brands, and formulate reasonable coping strategies.

    Enterprises can not reduce the price of war, and can not take the sacrificial product quality for the sake of challenge. This is a great solution to the problem at the time, but it will leave a lot of work for the future sale. A lot of after-sales service will generate a lot of expenses, which will consume the profit of the previous sales. At the same time, the concept of "the quality of a certain product" has been reduced by the low-quality products in the consumer center, which not only reduces the repeated purchase rate of consumers, but also has a negative impact on reputation in the society. This is undoubtedly a blow to the brand image that is built up in the early days of the enterprise, which will make the business run into danger.


    The road ahead is a warning to others.

    Well known enterprises now need to improve their internal skills and return to the mainstream of quality.

    No matter globalization expansion or scale production, we can not relax the quality management and never cut corners. We must not reduce the quality of products in order to expand.

    Only by adhering to the creed of "quality based and trust the people" is the fundamental plan for the long-term development of enterprises.


     

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