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    Textile Clothing Industry Pfer: Overnight Was Invaded?

    2010/7/27 16:23:00 51

    Spinning And Weaving Industry

    Peter Drucker, a management guru, once warned that entrepreneurs only do two things, the first is marketing, and the second is to cut costs. Marketing and spending are often tied together. By contrast, many factory managers believe in "wring water from towels" and cut down all unnecessary costs.


    Only in this way, the profits of enterprises may be doubled, and the comprehensive competitiveness of enterprises will certainly increase.


    Last week, we saw industries that cut costs.

    pfer

    Trend.

    In July 25th, Hon Hai Group adopted the $64 million investment plan for Chengdu and Zhengzhou.

    So far, the dispute of Foxconn's internal migration lasting two months has finally come to an end.


    Last month,

    Foxconn

    The two announced increase in salary resulted in the base salary of Shenzhen Foxconn's front-line employees from 900 yuan to 2000 yuan, and the workers in Foxconn and Shenzhen factories had about 450 thousand people, which means that Foxconn will have an additional 6 billion yuan per year in manpower cost.

    In 2009, Foxconn's net profit was 15 billion 500 million yuan, that is to say, the increase of labor cost in Shenzhen alone would reduce Foxconn group's profit by nearly 1/3.

    In general, the local minimum wage will be lower than Shenzhen, so the wage pressure will be eased.


    Hon Hai is the first to invest in Chengdu and Zhengzhou.

    According to their interpretation, the two regions will become "key areas".

    In fact, Tianjin, Zhengzhou, Langfang, Yantai, Chengdu, Wuhan and other regions have all heard the news of the introduction of Hon Hai group.

    In 2009, the tax paid by Foxconn to Shenzhen was more than 300 million yuan. It can be imagined that wherever the enterprise went, it was a symbol of GDP soaring.


    On the one hand is the rising human resources and land costs of the southeast coast, and on the other hand, the powerful means of attracting investment from the central and western cities. Under such circumstances, the Henan people have taken the initiative to win the favor of big enterprises.

    Prior to this, Coca-Cola has built two plants in Luohe, Pepsi Cola will be built in Zhengzhou, and Dali garden is located in Xinzheng.


    In fact, Wahaha, a Zhejiang native enterprise known for its investment vision, also opted for Zhengzhou.

    They will build their own shopping centers in Shangqiu, Henan, and the number of them will reach more than 100 in the next 3~5 years.

    Prior to that, the Henan Shangqiu government and Wahaha Group have just signed an agreement on the total investment of Wahaha (Shangqiu) Trading Building and production base with a total investment of about 500 million yuan.


    According to a recent McKinsey survey, there are 79% of the global economic crisis.

    enterprise

    Choose to cut costs, but only 53% of executives believe that doing so will really help companies resist the crisis.

    But cost cutting often has problems.


    For example, in the southeast coastal area, quite a few enterprises (especially foreign trade enterprises) turn their export business to inland provinces and cities.

    This trend is very significant. Some powerful textile and garment enterprises have built factories in Anhui, Shandong, Sichuan, Chongqing and other places, because they can not adapt to the local environment and retreat everywhere.

    In fact, as early as more than 10 years ago, many factories in Shanghai were unable to survive because of the high cost of production and relocation. Some of them finally closed factories, or turned factories into trading companies. Only a few manufacturing sectors were retained, and local industries became hollow overnight.

    The present situation may be merely a repetition of history.

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