Transformation And Upgrading Of Yuhang Garment Enterprises Is Imminent.

2011 1 - October Yuhang District above scale

Yuhang 90% garment enterprises are exported to multiple doors and sell brands inside the market.

The cost of raw materials, labor and the profit margins of enterprises have shrunk. The period of foreign trade processing has come to the end. Nowadays, the Hangzhou Yuhang home textile industry, known as the "enriching the people project", is now at the crossroads of more than 90% of the export enterprises.

At the beginning of reform and opening up, a large number of small home textile handicraft shops came into being in Yuhang.

After more than 30 years of ebb and flow, especially after the financial turmoil, the enterprises that originally made quilt cover were able to identify the direction by participating in the exhibition, and dominated by foreign trade.

In recent years, the garment industry in Yuhang has developed rapidly and has become an important part of Hangzhou women's clothing. It occupies an important position in the industrial economy of the whole region.

At present, Yuhang home textile enterprise has developed from manual workshop into modern production management enterprise, and has become one of the largest home textile industry clusters in China.

Now there are more than 20 million garment enterprises of 83 or more, and a large number of well-known enterprises, such as China's largest silk garment exporter, Huating group, Jie Feng clothing, Boka garment, have emerged.

It is reported that from 1 to October this year, the garment industry above Designated Size reached 6 billion 160 million yuan, with a sales income of 6 billion 20 million yuan, of which 4 billion 80 million yuan was exported.

Gao Ligen, President of Yuhang garment industry association, believes that garment home textile export enterprises have entered the end, and pformation and upgrading is already imminent.

In fact, the pformation of foreign trade enterprises is faced with multiple difficulties.

Yang Dayun, President of UTA fashion management, found that there are two main reasons. First, the concept is how to change from factory director to store manager. This is a qualitative change. The second is the massive inventory problem and how to turn inventory into cash flow. This is a technical problem, but it is not a strategic problem affecting the brand.

In addition, China's consumer market is changing. At present, the country is a standard rich country and poor people's society. It needs to stimulate domestic demand.

"Foreign trade subcontracting is like raising children for others. Once the market competition is bad, they will be eliminated."

Deng Lifu, founder of Hangzhou women's diary, has proved the importance of her own brand through 13 years' experience in brand operation.

After 2-3 years of brand pformation, women's diary found that performance is still growing, while OEM companies have low profits.

"Clothing enterprises are facing enormous difficulties. The difficulties of clothing enterprises' low profits or the deterioration of their living environment have not been a year or two.

However, as the economic situation in Europe and the United States continues to deteriorate and all kinds of costs continue to rise, clothing companies should take precautions to adjust the structure.

Chen Bingxin, director of the Yuhang Economic Development Bureau, analyzed the difference between the SME crisis and the financial crisis in 2009. Although the export volume has weakened, the garment enterprises still have room for maneuver: 83 home textile enterprises should integrate resources and become a base for Hangzhou women's clothing.

On the one hand, enterprises should not forget to learn more and improve core competitiveness while working hard.

On the other hand, enterprises should take the road of combining foreign trade with domestic sales, instead of black bears breaking corn and breaking one by one.