Italy Shoe Products Will Be In The Chinese Market.

September 3rd, nearly 100 Italy

"The world is depressed and China is bright. China has become a way for Italy enterprises to find vitality."

Zhang Mi, Professor of Italy Language Department of University of International Business and Economics, said.

However, another analyst pointed out that in Italy, SMEs account for more than 98% of the total number of enterprises and face huge and complex Chinese market. These enterprises may face some unprecedented challenges.

The story of Valentino's "degradation"

Italy's luxury clothing brand Valentino has two Chinese names: "Valentino" and "Valentino".

In those days, Valentino appeared in some high-grade places in China. Nowadays, Valentino, which is familiar with people, is almost flooded with streets and alleys in cities.

In 1908, Vincenzo Valentino (Vincenzo Valentino) founded Valentino brand in Naples, Italy, and became a popular brand of Italy aristocracy and celebrities.

In 1954, the coral sandals designed by Mario Valentino, the second generation of the Valentino family (Mario Valentino), served as a model for the twentieth Century industrial design and exhibited in the Swiss shoe museum.

In 1956, Valenti's third generation of descendants Giovani Valentino founded the brand new named "Giovani Valentino".

It is understood that there are only 3 brands that are directly related to Italy Valentino worldwide, namely Mario Valentino, Valentino Garavani and Giovani Valentino.

In 1987, Valentino entered the Chinese market for the first time and became one of the first luxury brands to enter the Chinese market.

In the past 30 years, the three major brands of the Valentino family have been settled several times. Eventually, they encountered embarrassment. Finally, Mario Valentino and Giovanoi Valentino completely quit, and only Valentino Garavani continued to retain flagship stores in China.

At the moment, the dazzling "Valentino XX" appears in the bustling downtown streets at low prices.

At the same time, people heard the news that Italy Valentino formally withdrew from the Chinese market.

Nowadays, in China, there are many kinds of derivative names about Valentino, such as Valentino Louis, Valentino Cooper, Lugano Valentino, Saint Valentino, Valentino GV, League alliance and so on.

Mao Nongyue, a Chinese brand marketing management expert, said that these manufacturers confuse consumers by prefixing or suffixes in "Valentino", commonly known as "near brand names".

These companies are generally registered in Hongkong or overseas.

According to the official website of Valentino, there are 6 stores in mainland China, all of which are "Valentino Garavani" outlets and belong to Hongkong headquarters management.

The reporter contacted the Wangfujing Valentino store in Beijing.

According to the salesperson, the brand is mainly re establishing the brand image in mainland China, so that Chinese consumers can understand the real high quality Valentino brand.

In terms of turnover and sales, Valentino is at a moderate level compared with other luxury brands.

As of press release, Valentino officials have not yet commented on the questions raised by this journal.

Mao Nongyue told reporters in a telephone interview that, because the Valentino family divided and ruled the brand, it led to inadequate monitoring of brand planning, authorized production, marketing network and other links. Valentino's "acclimatization" and embarrassment in the Chinese market eventually led to the complete decline of Valentino brand in China.

According to statistics, there are no fewer than 200 brands of trademarks with "Valentino" in China.

Mao Nongyue also analyzed that the Valentino headquarters had abandoned the Chinese market, and it might also be powerless.

Because its initial road did not go well, the cost of governance is too high now.

Moreover, Valentino was originally a luxury brand, but when sixty or seventy of people were in use, they had lost their luxury.

At present, many people are still buying Valentino products, and their influence in the two or three tier cities is still very large. If these brands are unified, they will be able to make a medium end brand.

It occupies half of China's luxury brands.

The Chinese people's most sensible knowledge of Italy should include familiar luxury, high-end brands, from clothing shoes to furniture brands.

For example, GUCCI, Versace, Prada, Valentino, Fei Le, back to back, Zegna, Fendi, Fendi, and Fiat in July 2009, the American Luxury Association's sample survey shows that among the ten luxury brands most popular among Chinese consumers, Italy brands occupy half of the total.

"Italy's industrial advantages are not just fashion design and luxury goods manufacturing."

Lai Shiping, chief representative of Italy's Foreign Trade Commission (ICE), accepted the exclusive interview with the financial weekly magazine. "Italy's machinery manufacturing and high-tech industries are very developed, accounting for the bulk of exports to China," said Lai Shiping.

Zhang Junfang, the economic counsellor of the Chinese Minister in Italy, said in response to the Internet question that machinery manufacturing, textile and garment industry and agricultural food processing are the three traditional pillar industries in Italy, and their industrial design and creative industries are all in the leading position in the world.

Italy's fashion industry is well-developed, with many of the world's top brands.

However, under the impact of the international financial crisis, Italy's economy has fallen into recession, and foreign trade has been seriously affected, with inflation rate of 3.3% and unemployment rate of 6.7%.

The 2009 Sino Italian Trade data provided by the Beijing Office of the Italy Foreign Trade Commission showed that the mechanical and electrical products were the main commodities exported by Italy to China, accounting for more than half of its total exports to China, followed by base metals and products, chemical products and textiles and raw materials.

China is the primary source of imports of light industrial products such as textiles and raw materials, furniture, toys, leather goods, luggage and footwear, umbrellas and umbrellas in Italy.

With the deepening of the global financial crisis and the European sovereign debt crisis, European consumption is tight and the market is weak. The Italy government and enterprises are relying on the rapid development of China's expectations for boosting exports.

Lai Shiping said that Sino Italian economic and trade exchanges have entered a new stage.

Daniel, director of the Beijing Office of the Piedmont Export Association of Italy, who attended the Sino Italian business fair in Beijing, told an interview with the finance and economic weekly. "We want to sell our products to the Chinese market, or invest in China and seek strategic cooperation with Chinese enterprises.

This time, it is mainly to strengthen interaction with Chinese enterprises, governments, associations and associations, and discuss the possibility of cooperation. "

{page_break}

90% Italian enterprises are unfamiliar with Chinese market.

Although the two governments have actively promoted cooperation between small and medium-sized enterprises, their development is not smooth.

The difference in scale, business philosophy and mode of operation between the two countries impedes this development.

"They do not want to come to China but fear to come to China."

Lai Shiping emphasized.

In June 2010, the director of the Department of trade promotion and foreign policy of the Ministry of economic development of Italy said that at present, there were 2500 Italy enterprises settled in China. However, compared with more than 500 000 SMEs in Italy, this figure is still too small, and 90% of SMEs are very unfamiliar with the Chinese market.

According to EU standards, enterprises usually less than 250 are called small and medium-sized enterprises.

Italy is a truly "small and medium-sized enterprise kingdom".

According to statistics, small and medium-sized enterprises contributed about 70% of Italy's GDP.

A large number of small and medium-sized companies characterized by family operation are active in many industries such as textiles, furniture and machinery manufacturing. Many hundred years' brands are also small and medium-sized enterprises or family businesses.

Zhang Mi believes that the average small size of 10 small enterprises in Italy, facing the big market in China, is like the small sampan in the ocean voyage.

Marco Conti, general manager of Italy's Marche office in China, admits that although the huge Chinese market attracts Italy enterprises, their psychological and geographical distance makes them feel uncertain.

There are many reasons why Italy's small businesses are reluctant to come to China.

Luo Hongbo, director of the Italy research center of the Chinese Academy of Social Sciences, pointed out that, on the one hand, the capital and manpower of the small enterprises are insufficient, and there is not enough strength to open up the Chinese market; on the other hand, the localization industry chain makes it difficult for small enterprises to move.

Small and medium-sized enterprises in Italy are developed on the basis of local industrial clusters. For example, a shoe sole manufacturer needs to find manufacturers matching shoes.

They can't go all alone in China.

"The incompatibility between small businesses and big markets is quite obvious."

Li Dan, a professor of foreign languages at China Foreign Affairs University, believes that Italy family businesses with historical accumulation are pursuing the identification of specific groups, rather than targeting the large market of more than a billion people.

What they value is not the big market in China, but the cheap labor force in China.

Some small business owners in Italy said they were worried about the "duplication" ability of some enterprises in China. Because SMEs did not have enough energy and financial resources to prevent and combat imitation, imitation had a fatal impact on the brand, which led Italy SMEs to dare to open up the Chinese market.

Sino Italian enterprises have strong complementarity.

Affected by the global financial crisis, Italy textile, clothing, leather shoes, leather goods and other traditional industries have been seriously hit.

However, the export volume of China's exports has been rising continuously amid the gloomy Italy export data.

According to figures released by the National Bureau of statistics of Italy, the total export volume dropped by 20.7% in 2009, and exports to other major trading partners were negative except for China's export growth of 3.2%.

Industry analysts believe that Italy's traditional industries should adjust their strategies and actively develop emerging markets.

The Chinese market, which has always been regarded as a threat, has become an "adventure paradise" for small and medium-sized enterprises in Italy.

"Globalization has stretched the industrial chain of Italy, and its small and medium-sized enterprises can put some link of production in China.

China is a great opportunity and market. If we don't attack, we can't live. "

Luo Hongbo thinks.

Zhang Mi compared Italy's small and medium-sized enterprises to China's "going to the top of the road". Although there is no bottom in mind, it may spell a way out.

The Italy government adopts a centralized strategy to help SMEs find business in China. It is like "making a small dinghy into a galleon and sailing to sea", which can reduce the cost of "going out" of small and medium-sized enterprises.

From the central government to the local government, from all parts of the city to the city, the relevant industry associations, industrialists' associations, bank associations and other industries, such as economy, industry and finance, have been strapped together to lead the small sampan arriving in China to help them connect with the relevant Chinese departments and provide support for settling down in Italy.

Zhang Mi explained that the Italy government is helping small businesses to locate China's economic growth point, such as from the Pearl River Estuary to the Yangtze River Delta, then the coastal area of Bohai, and now comes to the two rivers area.

Although there is little cooperation agreement in such a group negotiation, it is very necessary for the two governments to build an exchange platform for the two enterprises in the absence of sufficient information.

"The talks organized by the two governments have been going on vigorously and vigorously, and the next step is to take a solid approach and implement the needs of those enterprises one by one. This is the key to turning the great ideals and moving slogans into reality."

Zhang Mi suggested.

"Sino Italian enterprises have strong complementarity."

Lai Shiping said that Italy has extraordinary creativity and exquisite manufacturing technology, while China has abundant labor resources and vast market.

Some scholars said that private enterprises in China could cooperate with SMEs in Italy to absorb foreign capital and advanced management experience, promote industrial upgrading and integrate with the international market, so as to achieve complementary advantages and share resources.

For example, some of the OEM processing enterprises in China are also under the pressure of market shrinkage, which is also affected by the financial crisis.

From the end of 2008, Wenzhou folk capital began to brew overseas purchase brands, and Italy's rich shoe leather and clothing brands have become the first choice for the private enterprises.