Kangnai Leather Shoes "Three Steps" Strategy To Achieve 1000 Stores In 5 Years

January 24th, "let the whole world know about Kangnai, that's my dream!"

2006 to date, his

Zheng Xiukang said that Kangnai should not only strive to become the leader of the international footwear industry, but also realize the technology.

Settled in usurusk

In order to break through trade barriers, Kangnai chose Russia's Wusu Rees city.

In November 3, 2005, the Wenzhou Municipal Bureau of foreign trade and economic cooperation, the Finance Bureau and the Lucheng Footwear Association organized a group to visit the site. The accompanying Zheng Xiukang found that there were already Wenzhou enterprises settled down and invested.

He is very interested in "one account" of Ruian Xin Er Tai shoes industry.

The company began trading with Russia in 1998, and built 13 production lines in Urumqi in 2001.

Cai Jianlin, the chairman of the enterprise, once counted that the export tariffs on a pair of semi finished leather shoes were only 5%, and the tariffs on finished shoes were as high as 15%, if the customs clearance was calculated on the basis of formal customs clearance. If it entered Russia in the form of "gray customs clearance", it would take more than 3 months from Wenzhou to St Petersburg, and it might face the possibility of being forced to pull goods by tax police.

If the enterprises complete the assembly of semi-finished shoes in Urumqi, they can not only be sold safely in Russia, but also be sold to the main markets of the EU, which will not only reduce the cost of customs duties, but also worry about the problems of "anti-dumping".

Zheng Xiukang learned that the Russian coastal frontier area where Urumqi is located is on the border with China's Heilongjiang Province, and is the most prosperous region in the Far East of Russia.

Urumqi is the second largest city in the region. It is an important channel leading to the Far East and the sea of Japan. It is only 53 kilometers away from our Dongning port. The train runs directly to Suifenhe, China. It is 100 kilometers away from Vladivostok, the capital of the Russian coastal borderland, and enjoys convenient pportation.

Moreover, usurusk became one of the first 8 Chinese economic and trade cooperation zones in China in 2006. The support of national policies behind it has undoubtedly given investors a reassurance.

Zheng Xiukang took the determination to invest in Urumqi.

In May 2006, Kangnai group received a bid for the construction of an overseas economic and trade cooperation zone by the Ministry of Commerce of the state.

In September 19th, Kangnai won the usurusk Industrial Park in one fell swoop.

Then, Kangnai group and Huarun group, Heilongjiang Dongning Jixin industry and trade group set up Conway International Investment Co., Ltd.

It is reported that Ji Xin has strong connections in all circles of Russia, and is familiar with and understanding of Local Taxation and labor export policies.

This provided the greatest convenience for Kangnai to settle in usurusk.

Zheng Xiukang said, for the admission enterprises, the good news is that the state provides some financial support for fixed assets investment subsidies, discount loans and infrastructure construction, and provides bank guarantee and export credit insurance for investment enterprises, so that enterprises will have less worries.

Up to now, the park has settled in more than 20 domestic enterprises. In 2009, it sold 158 million dollars and taxes 27 million 800 thousand dollars, becoming the first large taxpayer in Wusu Rees city.

In March 20, 2010, vice president Xi Jinping proposed to build the park as a model for the two countries to cooperate in the Far East during their visit to Russia.

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1000 stores in 5 years

Zheng Xiukang, who always dares to rush ahead, has formulated the development strategy of "three steps".

First of all, in foreign stores, to avoid buying middlemen profit.

At present, Kangnai has opened more than 200 stores in more than 30 countries in the world. In 2010, the overseas sales growth rate reached 20%, accounting for 10% of the total sales volume of the group.

At the same time, Kangnai group also plans to open 1000 overseas stores in 5 years.

Secondly, we should actively innovate the technology platform and develop it to the high end.

Taking the branding and killing the high-end market in the west, this is definitely a major direction for the future development of Chinese shoes.

In 2004, Zheng Xiukang spent 10 million yuan to sign a cooperation agreement with SATRA, the global footwear certification body of the United Kingdom, and set up a world-class footwear design and R & D center in line with SATRA certification in China. Kangnai also began to pform from a standard executor to an international trade technology enforcer.

As the first crystallization of cooperation between the two sides, in August 28, 2006, Kangnai's high-end "business Shu Shi" shoes, with the leading international core technology of independent intellectual property rights, were listed on the global market synchronously.

Third, realize the strategy of selling real estate and enter the mainstream business circle.

Next, we will replicate the usurusk park model in Latin America and Africa and take the road of "localization".

After setting up an overseas production base, it is just a dodge. Since the end of the study tour in Italy in 1989, Zheng Xiukang firmly believes that only by making shoes more technical and expensive, can the company go far.

He told reporters that at present, Kangnai is striving to change the brand image of China's leather shoes in the international market. In the international market, Kangnai aims at the high-end market and never participates in the price war.

The average retail price of Kangnai shoes reaches 60 US dollars overseas, and the highest price is $200.

Zheng Laili, vice president of Kangnai group, revealed that 70% of the overseas buyers of Kangnai shoes were foreigners, and Kangnai set up corresponding research departments for this purpose.

Kangnai's overseas market is currently mainly concentrated in Europe and the United States, but with the acceleration of global economic integration, its overseas market network will continue to expand, and Asia, Africa and other regional businesses are expanding. Kangnai is ready to expand its efforts to expand the East Asian market.

Sticking to the overseas strategy and finding a new growth and development point for Kangnai, Kangnai is leading more small and medium-sized enterprises in Wenzhou to "go out".

Zheng Xiukang said that China must have a group of internationally renowned brands, which is the only way to enhance the overall image of Chinese shoes and change the status quo of "big but not strong" footwear industry in China.

It is reported that Kangnai is likely to acquire some enterprises in Italy and Spain in the future, so that the number of franchised stores is increasing rapidly.