Transformation And Upgrading Of Shoe Enterprises Is Imperative

Inflation and labor shortage are pushing up corporate pay.

Recently, the 2011 China remuneration white paper, jointly completed by the school of management and the strategic consulting company of Fudan University, shows that over 60% companies in 2011 need to raise salaries, including private enterprises.

Although the above white paper holds that the trend will make the income distribution pattern and the flow of talents more rational in the future area, but when interviewed by an Economic Herald reporter 14 days ago, Zhang Weiguo, director of the Institute of Economic Research of the Shandong Academy of Social Sciences and a special commentator of the commentator, said that with the elimination of the production cost gap between regions, the pace of enterprise migration may slow down, and the process of industrial pformation and upgrading of big cities and the undertaking of industrial pfer by two or three line cities will be affected.

A month ago, PEAK sporting goods company settled in Heze in fourth domestic production bases.

According to the plan, the PEAK sports Heze Industrial Park, which invested 1 billion yuan, covers an area of 2000 mu and will reach 22 million annual production capacity after completion.

"The Heze base will effectively meet the growing demand in the future market and the rapid development of the brand."

At the foundation laying ceremony in April 17th, Xu Zhida, deputy general manager of PEAK, said.

According to PEAK's 2010 earnings report, in 2010, the output of PEAK clothing was 42 million 200 thousand, and the output of shoes was 21 million 500 thousand pairs.

The Heze base is obviously important for its capacity growth.

To settle down in Heze, Xu Zhi Da explained that apart from the consideration of the layout of the enterprise market, the Heze production base will form a solid Golden Triangle with the 3 production bases above Fujian, Quanzhou, Huian and Jiangxi, and cross the key market areas such as Southern China, central China and North China, so as to lay a strong source of supply for PEAK to develop the market territory.

In fact, as labor intensive enterprises, sports goods, home textiles and other industries have begun to migrate in recent years.

For example, the XTEP group, the Nike group, is located in Qiyang, Hunan.

Shandong Yida Group invested 1 billion yuan in Heze Industrial Park in 2006. Now it has become the production base of the Wendeng group.

Zhang Pengchao, deputy secretary of the Party committee of the group, told reporters in an interview with the reporter that along with the continuous rise in the prices of raw materials and labor costs in the eastern coastal areas, there will be different degrees of "labor shortage" after the Spring Festival every year, and the profit margins of the labor-intensive enterprises will continue to be compressed.

In order to reduce production costs, the entire manufacturing industry began to shift to the central and western regions.

At the same time, the potential and space of the Midwest market are large. The pfer of enterprises to the central and western regions is conducive to narrowing the distance from consumers and occupying more markets.

At present, the Midwest and the two or three tier city market are becoming a new battleground for enterprise competition.

Now, the group of Yida group has developed to more than 400 stores, covering Shandong, Shanxi, Hebei, Henan and other provinces, and the proportion of domestic sales accounts for 35% of the total sales volume.

This year's target is two or three line cities, the domestic market will ensure growth of 50%, and strive to double.

The cost of moving inland is increasing.

But with inflation and labor shortage, the cost of relocation is increasing.

In the Heze city bus station opposite the labor intermediary agency, the reporter found that a number of employment units have opened the tube room and board, the monthly salary of more than 1600 yuan conditions, but the application place is cold and clear.

Li Shengli, the intermediary manager, told the reporter that last year, the monthly salary was around 1300 yuan, or about 1200 yuan the year before. It could also attract people. This month's salary rose by 300 yuan, but few people asked for it.

Xu Haitao from Yuncheng, Heze told the guide reporter that after 5 years of training, he graduated from high school and now works as a plumber. His salary is not less than 200 yuan per day.

Because he is smart and studious, he can understand the installation drawings and work well. He has become a hot cake and has been involved in the installation of new power plants and chemical plants in many provinces and cities throughout the country.

"The wage day is never in arrears, if overtime, even an hour, there is overtime pay."

He said that the daily wage in Heze is 200 yuan, the same as in Zhejiang, Jiangsu and Guangdong, the highest is Hainan, and the daily wage is 230 yuan.

However, he seldom goes back to his hometown in Heze and lives in Weihai with his girlfriend.

In his view, enterprises in Weihai are generally short of jobs and more opportunities than Heze.

The girlfriend is also from Heze, and now works in a foreign trade enterprise in Weihai.

"If you come back in a few years, do some business on your own."

Like Xu Haitao, many young people in Heze choose to go out to work under the condition of low wage level. This makes Heze, once a big export city for labor service, also face "labor shortage". Many enterprises have to raise wages to recruit and retain people.

Faced with the embarrassment of "labor shortage", Xu Zhida made a statement on the construction of Heze base. "PEAK uses high cash flow to reduce the risk of rising prices of raw materials, to create more sense of welfare for employees, to create a sense of belonging and development space, so as to retain talents. The industrial park will also build real estate projects to solve the matching problems of clothing, food, housing and housing for employees."

In order to stabilize the "Army spirit", the Yida group also extended the welfare category outside wages, such as the establishment of the public service facilities such as the staff activity room, bathroom, reading room and so on.

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"With the change of price inflation and the relationship between labor supply and demand, it is inevitable for enterprises in the Midwest and two or three tier cities to raise their salaries, otherwise they will not be able to meet the employment needs of labor-intensive enterprises.

Moreover, the trend of pay rise in the Midwest and two or three tier cities may continue for several years.

In an interview with a reporter, Zhang Weiguo believed that the gap between living and living costs in the past was larger than that in the central and western two or three cities. Compared with the first tier cities, the price difference is basically the same, and the gap is shrinking with the rapid warming of the two or three tier cities.

Correspondingly, the wage gap should also be narrowed so that migrant workers can become a foothold in cities.

To raise wages and welfare benefits for the internally migrated enterprises means that the labor strength of the Midwest and the two or three tier cities is obviously reduced, and the business mode of reducing production costs by shifting production bases is beginning to be challenged.

If enterprises are trapped, the speed of industrial pformation and upgrading in big cities may slow down.

Zhang Weiguo said that China's industrial pformation and upgrading in the past has adopted more ways of pfer, shifting from the eastern coast to the central and western regions, from big cities to small and medium-sized cities.

The way of pfer and upgrading needs to be reconsidered under the pressure of rising pay in the two or three tier cities.

Those who hope to rely on low labor costs to win competitiveness, whether in the coastal or the mainland, whether in big cities or two or three tier cities, the development space is not optimistic.

Clarifying how to pform and upgrade thoroughly is the fundamental way out for the future.