"Made In Guangdong" Urgently Needs "Brand Breakout"

To mention "made in Guangdong", "three to one supplement" and "processing trade" are usually synonymous with many people's mindset.

However, "three to one subsidy" and "processing trade" often mean strong dependence and low profit margins.

Once the international and domestic markets are "stirring", the ability to resist risks created by Guangdong will be a severe test.

A man of insight suggests that if we want to enhance the capability of "making in Guangdong" to resist market risks, it is necessary to create a brand influence with strong tension, namely, carry out "brand breakout".

Yesterday, at the "102 Canton Fair" scene, Yu Yaochang, executive vice president of Galanz, told reporters: "at the 101st spring rendezvous, though the price of raw materials and the appreciation of RMB increased, the export prices of products such as air conditioners and microwave ovens generally increased by 5%-10%. However, the number of orders from mainstream outlets in North America and Europe has not decreased, but the average increase is about 30%."

Yu Yaochang believes that an important support for Guangdong enterprises to resist risks is the expansion of product and brand influence.

He admitted that "made in China" was demonized by some foreign people, which caused a considerable negative impact on the main force "made in Guangdong", but at the same time, it also prompted enterprises to actively change their thinking and seek to upgrade from "manufacturing" to "creating".

As the biggest manufacturer of "black power" microwave oven, Galanz unveiled "white electric" products such as fridge and red wine cabinet for the first time in the Canton Fair. In Yu Yaochang's view, this is a big step for Galanz brand extension.

In an interview with reporters, Huang Xiaoming, vice president of the Mei Mei Group, bluntly pointed out that innovation has become a way to polish signs for the 40 year old beauty.

According to its disclosure, the annual investment in science and technology by the United States accounts for 1.2% to 1.5% of the sales revenue.

At present, the group has an independent innovation capability of developing 2 new products on average and 1 patents per day, and has ten famous products such as air conditioners, fans and so on, and has won the title of "China's famous brand products".

The competition of new industries is more and more.

In order to strive for "technical discourse power", ZTE and HUAWEI each year ensure that investment in research and development exceeds 10% of sales revenue.

HUAWEI's excellent alignment strategy is also a major strategy for its brand development.

In 1998, HUAWEI and IBM co operated the "IT strategy and planning" project officially launched. 50 experts from IBM began to enter HUAWEI gradually. In the field of communications, the joint operation of the upper and lower manufacturers with the United States Qualcomm led HUAWEI to play the advantage of its R & D system in many frontier areas, and completed the pformation from "hyenas" to "lions" at a lower cost.

We must strive for brand breakthroughs, and we must not ignore the channels for tackling key problems.

"The biggest problem with Guangdong's manufacturing industry now is" sitting on business ", which is too dependent on brokers' orders.

Ding Li, a professor of the Guangdong Academy of social sciences who has long been engaged in the Pearl River Delta regional economic research, looks at the situation of "manufacturing in Guangdong".

Mr. Liu, who is busy with the shoe factory owner of the Canton Fair, is greatly impressed by the fact that a pair of shoes in his factory is sold to middlemen for 16 dollars, earning only less than 1 dollars in processing fees. These shoes have been exported abroad for several times, and some of them have gone to 60 dollars.

Mr. Liu said frankly, with the increase of raw material prices and labor costs, the living space is getting smaller and smaller. But as a small business, it has no strength to continue to advertise and brand. The most realistic way is to reduce the intermediate links.

Ding Li also said that the profit margins of processing trade are getting smaller and smaller. Sooner or later, it is necessary to go to the end. Therefore, processing trade must be pformed, but at the present stage, it is impossible to "eat fat" at a time when there is no tree brand and innovation.

For most enterprises, the first consideration should be to change the dependence on middlemen's orders, step over the threshold of intermediaries, from passive orders to active orders.

"For the traditional processing trade type" made in Guangdong ", the improvement of design ability will be the key factor to build the brand.

Some industry analysts pointed out that reviewing the fashion of Italy fashion in the forefront of global fashion is not difficult to find that it is an example of "processing foundation to drive design ahead".

Compared with France, the Italy fashion in the early years also had a big gap. But the important thing is that it was famous for its quality. From the processing of the French brand, it began to keep up with the trend of the world. There appeared a number of design masters such as Valentino, who eventually pushed Italy fashion to the world.

The "visible hand" set up the "made in Guangdong" brand, and the government's "visible hand" is also playing a role in the action of the enterprise.

With the emergence of a series of regional brands such as "Shunde household appliances" and "Foshan ceramics", Guangdong began to build the world regional brand with "Guangdong made" products.

Over the past 10 years, Guangdong has formed industrial clusters such as Shunde household appliances, Nanhai aluminum, ancient town lights, Longjiang furniture, Humen garments, Shiling leather products, Yanbu underwear, Xiqiao textile and other industrial clusters.

According to statistics, there are more than 100 such industrial cluster towns in Guangdong Province, of which more than 30 of the actual production capacity is 50 billion yuan -1000 billion yuan.

In the industrial cluster area, small and scattered phenomenon is more common.

In order to solve this problem and enhance the brand competitiveness of "made in Guangdong", we need to wave the government's "visible hand" and formulate regional brand development strategy.

At present, a "regional brand" project involving hundreds of billions of yuan output value and the overall strength of industrial clusters is being launched in Guangdong.

The Trademark Management Office of the Guangdong provincial industry and Commerce Bureau said that an industrial cluster uses a "big name" to unify a "brand" and tie up the enterprises in the industrial cluster. It can standardize the enterprises in the township enterprises with the unified standard, enhance the internal quality and operation level, and finally create famous brands with both famous and intellectual property rights protection.

This is a shortcut to narrow the gap with international brands.

It is learnt that Guangdong province plans to support 30 industrial upgrading demonstration zones including nine pillar industries in five years, and create 50 regional brands. By creating regional brands, it will form a resultant force and "Guangdong manufacturing" into the brand building path.