"Dislocation" Business Helps Shoe And Clothing Enterprises To Fight For Emerging Markets

Ongoing

Reporters yesterday learned from the Municipal Foreign Trade and Economic Cooperation Bureau figures also showed that before September, the value of our exports to emerging markets such as ASEAN, the Middle East and Latin America were 814 million US dollars, 504 million US dollars and 516 million US dollars respectively, up 78.18%, 28.87% and 57.53% respectively.

Finding the right blank is twice the result with half the effort.

The International Monetary Fund (IMF) has predicted that the global economy will probably grow by about 4% this year, while the traditional market will add up to 2% on average, while China will be 10%, but the emerging market will reach 6% on average.

"For example, these countries in Brazil and Argentina have rapidly increased their consumption demand."

Ms. Shi, who was an investment consultant in Brazil, said that taking South America as an example, we will find that the level of consumption in the whole society is very large. From thousands of dollars to several dollars, people can buy shoes. According to the per capita GDP per year, Brazil can reach 4000 dollars at present, and Argentina can reach 10 thousand dollars, and the overall purchasing power is very strong.

"No matter in the Middle East or Latin America, there are some high-end products markets.

In addition, due to the larger social stratification and the imperfect industrial system, many countries in the emerging market are dependent on imports. There are many gaps in the market, and the profits of products are high, for example, the profit of retail products can basically reach 150% in South America. "

Professor Yin Xiaobo, who has long studied international trade at Huaqiao University, said.

Take exports to South America as an example. At present, only Japan, South Korea and China are competing, while the products of Japan and South Korea are dominated by high-end products. After all, they are small groups. The quality and cheap products made in China have greater "lethality" for emerging markets.

"Before enterprises develop new markets, look for what is missing locally, find a blank spot, and then focus on production.

For example, small household appliances and small machinery will be easier to enter the South American market. "

Insiders said.

"Dislocation" production to bypass barriers

Of course,

"Some countries in emerging markets are more prevalent in trade protectionism. In South America's Brazil and Argentina, for example, many products, especially textiles, clothing and shoes, are often subject to anti-dumping duties."

Yin Xiaobo said, "in view of this situation, on the one hand, enterprises can carry out re export trade through China Chile, China Secret free trade zone and the common market of the South; on the other hand, they need to know the local situation beforehand, try to avoid producing similar products with local enterprises," dislocation "production, and differential competition.

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In addition, the demand for buyers in emerging markets is getting stricter and stricter. "If we simply look at prices, the products of some Southeast Asian countries are cheaper than us. Therefore, enterprises need to promote their products more in addition to other factors such as price, where are the truly unique products? Can the product services keep up?" Liu Hong, an economic and Trade Department official of the Brazil Embassy in China, said that an electrical appliance company in China once entered the Brazil market. However, the production process did not take account of the humid and humid climate in the local area, resulting in frequent breakdown of products and the failure to keep up with services, and finally had to withdraw.

Different regional programmes "different"

A domestic organization once surveyed the most worrying problems of enterprises in developing new markets, and found that the first place is to master local business culture.

For example, in the Brazil market, local consumers, whether they are rich or not, like to pay in installments, including some very common products such as socks, will bring pressure to the retailers, but this is the local business habit. If you want to do business in the local area, you may need to understand and accept this habit.

In addition, many emerging markets are made up of many countries. They will not be as simple as the US market, and the demand for products will be much more complicated. Therefore, as exporters, it is not possible for buyers of emerging markets to relax like a buyer in the United States.

The realization of "small orders and batches" production will be more beneficial to the development of emerging markets.

"In fact, for every enterprise's product industry, every enterprise's different development will have different markets for themselves.

Therefore, in the process of developing the market, enterprises should first understand what emerging markets are most suitable for their enterprises and what kind of emerging buyers are the most ideal.

Yin Xiaobo said.