Orient Venture Has Launched Its First Battle Test For Domestic Sales, The 500 Billion Apparel Market.

For fifty years. clothing Foreign trade's pioneering work in the East takes its turn. For the domestic market The first step in November 29th was built by the company itself. Electronic Commerce The website launched the original men's wear brand KOOL for export only.

KOOL, founded in 1963, is a special brand for men's wear of Oriental venture export. According to Cai Hongsheng, chairman of Orient venture, the price of online sale is only 1/4 of the export price, and is the 1/2 of the local brand of domestic sales.

"Export processing is easy, but the gross profit margin is very thin, and the main profit is earned by foreign brands and distributors." Qu Yuanqing, general manager of Oriental entrepreneurship, said that in recent years, with the appreciation of RMB and the rise of labor wages, the competition in garment industry has become increasingly fierce and export profits have become thinner.

Data show that in the first half of 2010, the main business income of the eastern venture business totaled 2 billion 893 million yuan, of which 894 million yuan was exported from foreign trade, while its operating profit margin was only 4.83%.

In the trial market of water clothing, the Oriental venture chose e-commerce with less cost and less risk as a breakthrough. "KOOL cards will be sold in China mainly through self built websites and Taobao mall." Zhu Taowei, Minister of Oriental entrepreneurship and trade department, said that the clothing net sales industry expects to have an annual market size of 500 billion RMB, of which Taobao sells 400 billion annually, and the company decides that net sales will be the lowest and fastest way to enter the domestic market.

According to the briefing, only shirts are currently on the line. Next year, the company will further introduce products such as jackets and trousers, but will be basically locked in men's clothing in the short term. At the same time, in order to save the rent of the shops, the company will not develop any entity shops for the time being, but will only set up a few experiential shops in the convenient traffic areas.

For the goal of domestic sales, Qu Yuanqing expressed the hope that domestic sales in the future could be basically flat with foreign trade sales. At present, the sales volume of Orient venture clothing is about 300 million dollars per year.

Dongfang venture was formerly the garment import and export company of Shanghai. Now it is the only listed company of Dongfang International Group, the largest textile exporters in China.