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Elite Talk About Clothing Business: Financial Crisis Makes Prices Return To Reason

2012/3/29 21:50:00 23

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The Financial Crisis Of Elite Clothing Business Makes Prices Return To Reason.

Red light for economic data

And true.

Clothing business

Part of the impact was in November last year.

According to statistics, in November 2008, the industrial added value of Industrial Enterprises above designated size increased by 5.4% over the same period last year, while the value added in November was about 13% before November.

The above data indicate that exports have a considerable impact on industry.

Textile and clothing

Industry is most affected by exports.

According to the sales data of large commercial organizations, some parts of the country are high-grade since March 2008.

Luxury goods

Sales growth slowed.

In June, this situation intensified, and even negative growth occurred in November.

In November 2008, the major commercial organizations across the country started the sales promotion to make up for the decline of sales volume. The effect was very obvious and sales volume increased rapidly.

Sales promotion has become a magic weapon for products to enter the market, squeeze competitors and expand market share. Can it help garment enterprises and retail stores successfully get through the financial crisis?

Wang Yao believes that promotion is an emergency plan to pform long-term consumption into short-term consumption.

At the present stage, the effect is obvious, and the consumption expectation in February 2009 was realized in December 2008.

But this raises new questions for clothing enterprises and retail stores: what kind of sales means will be launched in February this year?

Moreover, there are still more serious problems in front of clothing enterprises and retail stores: what is the trend of China's economy at present? Because no enterprise can jump away from the macroeconomic environment. Every link in formulating a development policy must be based on macroeconomic environment as a reference to achieve its own growth.

There are different opinions on the question of when the economic situation will be fully restored.

At present, there is no hard data to answer. We can only compare the Asian financial crisis in 1997 with the current financial crisis, and analyze the current situation.

Analyzing and comparing the GDP and CPI data of the two financial crises, we conclude that the rapid development of China's economy in the past ten years has benefited from exports, especially for the textile and garment industry.

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Strengthen faith and tide over difficulties

What way can we ensure the steady growth of GDP? Only by expanding the domestic demand market and ensuring rapid export growth.

Textile and garment enterprises must firmly believe that the crisis will pass.

Secondly, we must recognize the domestic demand market is limited, we can not easily give up foreign trade exports.

Third, we should introduce new products to meet the needs of consumers' shopping and economic benefits.

The shrinking consumer market has caused consumption to move downward and clothing at medium and low prices has become popular.

In the face of the characteristics of this particular period, clothing enterprises should adjust their product structure reasonably, create low price clothing brands, or reduce the unit price of clothing.

In short, in 2009, garment enterprises need to seriously comb out development ideas, so that commodity prices can return to reason, which not only avoids consumption pfer, but also enhances brand competitiveness, and uses high quality and inexpensive Chinese products to occupy the Chinese market.

Among them, export-oriented clothing enterprises need to abandon the inertia thinking of winning at low prices, improve product competitiveness, avoid risks at reasonable prices, firmly grasp the resources of international customers and tide over difficulties.

In recent years, the Ministry of Commerce has put "famous products into famous stores" into the agenda of 2009, that is, the goal of more famous domestic brands entering famous department stores.

Nowadays, the key to the department store strategy is to build its own brand system, perfect its business operation and maintain customer loyalty.

"Famous brand entry" will have a far-reaching impact on the future operation of independent brands and department stores.

The strategic plan to strengthen the "famous brand entry" in 2009 is mainly due to the declining trend of consumer market since October 2008. At the same time, the huge negative impact of the financial crisis on the international luxury brands and domestic clothing brands is emerging. This influence spreads rapidly to the terminal sales market of the apparel industry chain.

In view of the uncertain factors in clothing business this year, Fan Yanru, Deputy Secretary General of the Chinese Department Store Association, believes that the price of clothing brands will be lowered in the first half of this year.

In the era of "blowout" of clothing consumption, enterprises are too ambitious to pursue sales and raise the unit price. The goal is ambitious and impractical, and marketing strategy is a quick success.

In fact, the clothing discount itself, this is understandable.

Due to seasonal changes and other reasons, in order to reduce inventory and speed up capital turnover, some clothing manufacturers take discount sales promotion, which is a completely normal business behavior.

However, now the global clothing industry has become increasingly popular discount wind has been "distorted", some businesses shouted "discount", but constantly improve the retail price of goods, such "wool on sheep" approach can not help people to doubt the authenticity of the discount.

As we all know, businessmen can not do business at a loss, but there is still a profit to be made after the discount, and the clothing market is so often discounted over the years that it naturally can not be understood.

In this "discount" strange circle, some businesses have won a temporary interest but lost honesty.

In the face of the complicated business environment of clothing, enterprises begin to focus more on the future.

Therefore, Fan Yanru believes that the blind price reduction of losing money in the future will converge in the future marketing strategy, and the price strategy of clothing enterprises will also turn to the strategic level.

In addition, consumers' consumption psychology is generally more mature and rational, no longer easy to follow the trend of price cuts, but more emphasis on the fabric's style, technology content, brand quality, after-sales service and other internal quality.

For enterprises, a reasonable adjustment of product mix and product content will be the only panacea for the clothing sales market.

In 2009, the sales of Chinese garment enterprises got on the roller coaster.

At the same time, the industry's understanding of the clothing market is more rational and mature, which will benefit the Chinese garment industry to enter a healthy and healthy development stage.

Fan Yanru expects that this year's clothing consumption will continue the trend of the second half of last year, and 2~4 will enter the trough of sales, and may day is likely to become a turning point in consumption.

Clothing enterprises can adjust their fabrics and styles, and offer medium priced clothing products.

The financial crisis is also an opportunity for garment enterprises with high profit level.

As for department stores, it is no longer possible to introduce clothing companies that only sell brands and do not sell money, and will eventually return to the commercial essence of genuine real prices.

In addition, garment enterprises also need to innovate in marketing, and marketing mode can not take the traditional route of low price promotion. They need to practise internal strength and promote emotional marketing.

Department stores should always consider the needs of customers and meet the needs of customers. Respecting customers and serving customers is the most important thing.

In 2009, it was a year of uncertainty in the global economic situation, mainly manifested by the pressure of investment and financing and mergers and acquisitions, and the global credit instability triggered by the financial crisis.

Any enterprise, including China's clothing enterprises, is in the background of the global economy. To expand and expand, we need to recognize the essence of this financial crisis and find inspiration from it.

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Recognize the situation

The global financial crisis originated in the United States. We should treat it from several aspects: first, the lack of credibility.

Driven by globalization and information technology, western countries are too much in pursuit of the stock market's surface prosperity, and they are making fraudulent practices in terms of cost, profits, turnover, customers and investment.

The mode of economic development is too virtualized, and the motive force of development should be based on production.

The developed countries represented by the United States are too service-oriented and virtualized, making the economy a castle in the air.

Operation is too professional.

In the process of development, foreign enterprises rely too much on professional managers, while professional managers pursue short-term effects and obtain high returns with false prosperity.

Government regulation is too liberalized.

If these problems are not solved, it is still a temporary solution to save the market even if large-scale investment is needed. The recovery of the global economy will take some time.

Seize the opportunity

Based on the reasons of economic pformation, China's garment enterprises assume the adjustment and pformation of the industrial structure on the one hand, and attach importance to the external environment of the economy.

It can be said that external environment is external cause and internal cause.

It is external cause, because it belongs to the external environment, and the internal cause is that the external environment has become the internal structure of the whole industry from the enlarged global industry.

At present, the globalization of the garment industry has already taken shape: domestic design and manufacture, foreign sales, or foreign design, domestic manufacture and sale.

Chinese garment enterprises can not be left alone in this financial crisis. Instead, they should take the initiative to play a dual role in changing China's economic development mode and clothing industry structure, and at the same time, enhance their strength in the process of pformation, and affect the global garment industry structure.

Since the global consumer market has shrunk, it has affected China's garment processing enterprises, foreign trade enterprises and brand export enterprises, and now it has expanded to the consumer domain.

The crisis has made the Chinese garment industry disjointed in the manufacturing and commercial links to form a complete industrial chain.

The winter service measures of Chinese clothing enterprises are quite clear: we should strengthen our body and protect the cold, hold together to keep warm, look for government support, and create a warm environment.

Seeking pformation

In 2009, the garment industry needs to accelerate the pformation of business mode, strengthen joint and strengthen professional, and shorten the process at the same time.

It is understood that Chinese enterprises earn only 10% of the profits of the entire industrial chain for foreign enterprises, but they have to bear labor costs, resource costs and environmental costs.

Besides, entrepreneurs should pay more attention to international economic changes, merge foreign enterprises and acquire foreign brands.

Powerful enterprises should be good at grasping the opportunity and integrate the industrial chain based on the domestic market.

At present, the cooperation between domestic enterprises and foreign brands has made breakthroughs in structure, for example, the independent design of shirts and YOUNGOR has accounted for more than 50% of the imported brands.

Chen Guoqiang believes that next step, the clothing industry should look for the driving force for development.

For example, Fujian's garment enterprises have established financial alliances, or industrial development funds.

The best way to solve design problems, management problems and capital problems is to create new carriers and platforms, which need the joint efforts of enterprises, industries and governments at all levels.