European And American Economic Recovery Slow &Nbsp; Mainland Market Huge Port Enterprises Difficult To Enter

January 1st, according to Hong Kong media, Europe and the United States

The mainland market is difficult to enter.

Lin Guangde, chairman of the ninth group of rubber and leather products of the Hongkong Federation of industry, pointed out that in recent years, Europe and America often adopted the strategy of dropping orders, that is, placing orders at the last second, which created many unnecessary mistakes for the shoe manufacturers, and demanded compensation and depressing the unit price.

Under the "external demand" weakness, the mainland's economic growth has brought huge domestic opportunities.

Lin Guangde pointed out that Europe and the United States consume 8 to 9 pairs of shoes per person per year, while the mainland has only 2.8 to 3 pairs.

However, due to the traditional export oriented foreign trade of Hong Kong enterprises, and over reliance on export orders and designs for a long time, Lin Guangde is worried that Hong Kong enterprises do not have enough courage and determination to enter the mainland.

In addition, insufficient funds and less sales channels are also one of the difficulties.

Moreover, relative to the huge connections of the mainland's private enterprises, and the mastery of local weather, size, preferences and customs, it can not be easily overcome by Hong Kong enterprises.

Beware of currency appreciation, shoe companies need pformation

As for the way out for shoe companies in Hong Kong, Lin Guangde believes that industry innovation is the only way to do so, including investing in new equipment, introducing advanced machinery, upgrading technology and strengthening independent innovation capability, and so on, and can no longer rely on cheap labor in the past.

The Hong Kong and Kowloon Footwear Association reported that the total value of Italy leather and footwear machinery purchased by the mainland last year amounted to US $29 million 690 thousand, reflecting the current opportunity to introduce advanced technology from other countries.

However, Lin Guangde also warned that the continued appreciation of the renminbi could bring harm to the national economy, and the development of footwear industry needs more pformation and upgrading in the future.