Spain'S Retail Clothing Stores Join In Price War. Chinese Businessmen Are Under Great Pressure.

Inside of large retail and wholesale supermarkets

According to the insider, "the main person in charge of this big cheap clothing supermarket was once a supplier to China's and Spain's clothing import and export trade, which provided the finished brand clothing for the famous shopping malls and shops in Spain. They knew well about the import and export procedures of garments, the domestic clothing market and the Spanish sales market.

However, during the decades of clothing work, the responsible person found that the local clothing brands did not occupy the advantage in competition with Chinese clothing, especially in terms of price, which could be said to be suppressed by Chinese clothing.

After investigating the market one by one, the person in charge of the clothing industry's decades of experience made bold decision to rent a large supermarket of two thousand square meters near DIAGONAL MAR with 7, 80 thousand / month rent and directly from the mainland to retail at wholesale prices.

As the supply and price of the goods are in line with that of the Chinese clothing traders, the official began to declare war on the Chinese clothing market in Spain by using the traditional Chinese business strategy -- "price war".

The insider told reporters: "the person in charge is very experienced in the clothing industry. It is said that he also put forward the slogan of" using Chinese goods to overthrow the Chinese people ".

Because he has been dealing with Chinese people for many years, he knows Chinese business strategy very well. So when he opened a large supermarket, he attracted many customers, some even nearby clothing store owners, which is very large for Chinese clothing stores.

It is understood that, due to price breakthroughs, the popularity of the large cheap supermarket has even exceeded the warehouse area of Barcelona. According to the traditional garment industry procedures, the retail clothing owners can not carefully select the pattern, quantity and the number of the goods when they go to the supermarket to sell the goods wholesale.

And the big cheap supermarket is different, no matter what kind of goods you choose, what kind of product number and quantity you need, you can choose whatever you want.

Moreover, compared to the mixed, chaotic, dirty warehouse area, the shopping environment of large and cheap supermarkets is very ideal. The purchase is equivalent to shopping, plus language, business philosophy and other aspects of communication convenience, so the large supermarket has become the best choice for many Spanish and South American clothing store owners to abandon warehouse purchase.

retail

Driven by the big cheap supermarket, many retail clothing stores began to "gourd" and use the advantage of price war to occupy the market with Chinese clothing stores.

Before the start of this summer's discount, reporters saw many retail outlets selling clothing in Barcelona with "8-10 euro / piece".

These retail stores are generally located in areas with large traffic volume, such as street, station and subway stations.

After entering the discount period, these retailers' "price war" situation is more intense. In the vicinity of Fondo, Triumphal Arch, Sants, etc., reporters have found that some retail stores have hung up the "5 euro / piece" red eye-catching advertisement.

According to the reporter's observation, some of these clothing retail stores are offered by South Americans, some of them are set up by Spanish people, but they all seem to be good negotiations. The red striking advertisements are the same: not only cover the whole facade with red decorative paper, but also write the words "today's whole 5 euros".

According to a overseas Chinese who has lived in Spain for many years and has been engaged in clothing business for many years, "I am also surprised that these shops are not located in one place, they are scattered everywhere in Barcelona, and they are not chain stores, but the discount advertisements even disagree with the color and layout of the advertisements. It seems that if everyone consulted, would someone take the lead in the clothing store for the Chinese people?"

In a 5 Euro clothing store near Sants square, a reporter saw that some common T-shirts, cultural shirts and other garments were sold at the price of 4.99-5.99 euro / piece, while some of the slightly higher fashion and women's clothing were also 6.99 euro -9.99 euros.

Under the pressure of this kind of operation, some Chinese clothing stores nearby have generally reduced their prices to around 6 euros -15 euros, but the gap of just 0.99 euros has made these Spanish or South American clothing stores occupy the advantage and seize most of the market nearby.

According to a worried shopper at Sants square, a clothing store owner told reporters: "every 6-9 months should be the peak season for clothing store sales, but this summer, not only Chinese clothing stores are blooming everywhere, but one family gets up and grabs business, and the clothing stores in Spain are also beginning to lower prices, lower prices than we are and rush to do business with us.

We have no advantage in language, and now even the price advantage is lost. Of course, Spaniards will buy things in the shops where the language can communicate and the price is cheap. "

Not only that, the reporters also found that the Spanish or South American clothing shops that cut down to 5 euros were especially vigilant for the Chinese.

In order to investigate the matter and enter the 5 euros clothing store opened by a South American beauty shop on C/Beethoven street in Fondo, the reporter saw the reporter holding a camera in his hand. The shopkeeper and salesperson of the clothing store stared cautiously at reporters like a thief guard, for fear that the Chinese would "steal" the price of their own shop, so as to reveal the secret of "low price operation and win the other passengers".

The internal organization of the West Chamber of commerce is not ruled out.

On the one hand, Spain's large scale cheap retail and wholesale clothing supermarkets have had an impact on the wholesale business and retail business of overseas Chinese merchants. On the one hand, Spanish and South American clothing retailers have used the "price war" to seize the clothing market with Chinese people in the form of "price war", making the clothing industry strong in summer this year.

In view of the fact that the 5 Euro shop, which has already sprung up and spreads, and advertising contents, patterns and even colors are the same, a Spanish overseas leader in the clothing industry is worried to tell reporters: "according to this model, we can not rule out the possibility that the clothing store will organize the clothing store to fight against Chinese clothing in a unified form.

According to the appearance of this store, on the one hand, because of the competition of garment industry, on the one hand, because of the Spanish economic crisis, Spaniards began to increase competition with Chinese clothing industry.

Now, this situation is unfavorable to both Chinese and Spaniards. After all, the form of "price war" is a vicious cycle of losing money. If we do not control well, it will easily lead to two losses and a market disorder. So this situation is hard for Chinese to contend with.

The Chinese need to be united. Only by being united can we keep up with the market and resist the pressure of any competition.