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    Fierce Competition In The International Price Cause Chinese Clothing Industry To Develop Brand.

    2012/5/2 9:32:00 12

    Chinese PriceBrand InnovationOEM

    "The garments made in Turkey and Kampuchea are more competitive than China, and the cost is 20% cheaper than ours."

    A number of Canton fair clothing exhibitors from Wenzhou, Zhejiang complained yesterday to reporters, "

    China price

    The advantage is fading away.


    Yesterday was the three phase of the Canton Fair. Reporters in the clothing enterprises visited the museum found that the OEM enterprises generally reflected that there was little profit, merchants were old customers, instead of being self owned brands, the front of the booth was crowded, and orders were in good condition.


    The advantage of "China's price" is fading away.


    Wu Jincun is the head of Guangdong new human dress limited company. Before last year, his company was still stationed abroad, but the external environment forced him to withdraw. "Over the past decade, I have been doing OEM for foreign merchants. Like this mode of processing materials, the cost has been clear to both buyers and sellers that a garment earns a few dollars."


    Speaking of the withdrawal of foreign subsidiaries, Wu Jincun said that the clothing threshold was low, and all countries were doing it. Before the financial crisis, the environment was good. With the advantage of China's price at that time, the first phase of the Canton Fair could get orders at least 30 million yuan, so it was convenient for negotiations to set up branch offices abroad.


    Li Chaoxi from Guangzhou Bojun Clothing Co., Ltd. calculated the cost account for journalists. The cost of labor in Eastern European countries is about 4800 yuan. China is now 3000 yuan, but the cost of 700 yuan social security and 200 yuan meal supplement is also close to Eastern European countries.


    "The price of Chinese products has increased in recent years, and the price of Kampuchea and other countries is lower, the difference between the two costs is 20%."

    Wu Yaxi, an exhibitor in Wenzhou, Zhejiang, went on to say, "this does not include tax concessions for Kampuchea and other countries."


    Brand profit is 3 times higher than that of OEM.


    China Textile Import and Export Chamber of Commerce responsible person also said yesterday, in the international textile and garment market demand instability, in 2011, China's textile and garment export growth slowed down, in the European Union, the United States and Japan, the three market share decreased by 1.4%, 1% and 2.2% respectively.


    Under the circumstances of no viability of the OEM and the difficulty of breaking through the Chinese price, many enterprises were forced to embark.

    Brand innovation

    Road.

    The chamber of commerce also said that in recent years, a number of export products with high technology and independent brands have emerged in China's textile and garment enterprises, which are welcomed by the international market.

    Wu Jincun also told reporters that "although the factory export market is still dominated by OEM, the proportion has dropped to 70%, 30% has been making brand gradually, and the domestic market is mainly making brands."


    Guangdong gal Mao Fashion Co., Ltd. started its brand last year, and its sales and marketing manager, Chen Daiping, said that although the company has been established for more than 20 years, it has been doing OEM, and with its own design elements, new customers are increasing.


    Wu Jincun said, "

    Do OEM

    The factory is easy to set up, and it has reached the ceiling of one or two billion in one year, but when making a brand, there is no sales cap, and the profit is 3 times to 5 times that of the OEM.

    Li Chaoxi said, compared to the OEM only 5% gross profit, and the smaller the order, the independent brand as long as the fame has come, it has its own place, the price will have the advantage.

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