The Cost Is Up &Nbsp; Chinese Shoe Companies Are Struggling For Profits.

November 12th hearing Shoe price Rose 100-200 yuan, leather boots almost no less than 2000 yuan; return to Shoe enterprises , foreign trade The recovery of orders is increasing, the machines are not closed, the market is back, the raw materials are rising, the appreciation of the renminbi is coming, and trade barriers from Europe and the United States. Shoe industry now The price of shoes and shoes and the soaring prices of raw materials forced the bosses to be in a dilemma.

This year, with the revival of the footwear industry in Europe and the United States, many shoe factories seem to be booming. Because of the increasingly serious shortage of workers for many years, many shoe factories sigh that there is no one to do it, and they can not catch up with overtime. In the face of such a good business, shoe factories should be happy. They can calm down and take stock of their shoes. Many shoe factories find that this year is almost white and busy, orders are not received, shoes are not done little, but in the end they do not make any money. Some orders have been redone for a while, but they are still losing money, which has made many shoe factories unhappy.

Over the past two years, for shoe factories, all expenses have increased except the price of factory shoes. First of all, labor costs rose sharply under the background of labor shortage and the state readjusting the income distribution pattern. Secondly, the prices of various accessories and machinery and equipment used for shoemaking also rose to varying degrees. But because of the slow recovery of the world economy, the finished products are in a doldrums. Especially in Europe and America, the high unemployment rate makes the export enterprises miserable. Therefore, most of the rising production costs can only be digested by the shoe manufacturers themselves. Now, shoe factories are facing a dilemma. They will not be able to earn money without making money. What is more difficult for shoe factories to give up is that if factories fail to take orders, factories will stop production. If they stop production, they will mean idle factory facilities. A lot of shoe bosses talk about the business condition of shoe factory, the face is helpless all the time, struggle for more than 10 years, made such a factory, after so many years, have feelings to factory and industry, really can not bear to give up. If you don't work, the factory will not be worth a few dollars, and it will not be worth much. Therefore, most shoe factories have no choice but to bite the bullet and take orders so that everyone can have a bite to eat.

In recent years, under the influence of government policies and propaganda, some footwear industries in coastal areas have started a boom in transfer, transformation and upgrading, but few enterprises have really achieved success. Most of the enterprises transferred to the mainland and even other parts of the world have failed because of insufficient industrial support, high logistics and transportation costs, and poor local economic environment. On the one hand, the cost of such transfer is also great. The loss of plant and machinery is huge, and the integration and improvement of human resources is more problematic. Therefore, it is impossible for a shoe factory without certain strength to accomplish such a transfer. On the other hand, the challenge of local transformation and upgrading is greater. First, the lack of talents and the limitations of the overall quality of the boss. Secondly, the strength is not strong enough. After all, most of the shoemaking enterprises are small and medium-sized enterprises. Therefore, in recent years, the vigorous brand building movement and some enterprises have entered the capital market. Only a small number of enterprises have achieved success. More enterprises are just backing up themselves. Even the successful listed companies face many challenges.

Although the factory price of shoes is too low, the profit of shoe factories is close to zero, but in the terminal market, especially in some high-end stores, the price of shoes is four or five times of the factory price. As a result, people suspected that the profits of shoes were all made up by middlemen, but middlemen could hardly speak. The cost of logistics is too high and the popularity of shoes is accelerated. A little carelessness will cause a lot of stock. The entrance fee of shopping malls is very high. In the real estate market, the rent is rising and rising again, all these costs are attached to the cost of shoes. At the same time, in the past, the manufacturers first supplied the goods, and after the sale, the dealers returned the money. Most of them were cash pick-up and risk at hand. In particular, some brand shoes enterprises, dealers want to sell or join, or even pay a large number of agency fees, so the middleman's life is also not good. Looking at these shoe factories these years, there is no easy way to live in a real enterprise. In addition to a few listed companies, most of them are deliberately or unintentionally stained with real estate. For example, if the factory buildings are revalued, relocated and relocated, and those who cooperate with the government to develop industrial parks and invest in the name of footwear industry, these enterprises have made a fortune in the hurricane of land price. Some of them have simply thrown themselves into the real estate market, and they also call it diversification. If the shoe industry can make money 35 years ago, in recent years, shoe-making enterprises can only earn a free ride if they want to make money. {page_break}

Today, the pressure on RMB appreciation in the international market is still great. There is almost no suspense in the appreciation of RMB, but the magnitude is different. In addition, the rise in electricity prices is inevitable. Enterprises have clearly heard footsteps in the era of inflation. Therefore, the labor-intensive manufacturing industry, represented by the footwear industry, will fall into a low profit era for a long time. Unable to change the external factors, the footwear industry can only sustain itself by increasing revenue and expenditure, innovating and improving management.