Small Shoe Companies Need To Expand Domestic Sales And Make Progress In Order To Survive.

Faced with more and more difficult development environment, some small and medium-sized enterprises realize that spanformation and upgrading are the pains that must be experienced, and have tasted the sweetness of spanformation, and the profits have continued to grow.

In the market environment, enterprises face difficulties in financing and manpower shortages.

Huizhou customs and other departments of the survey results show that, similar to other parts of the country, the main problems faced by small and medium-sized enterprises in Huizhou are financial difficulties, shortage of human resources, reduction of market orders, compression of profit margins, and greater appreciation of the renminbi. Due to the small investment in small and medium enterprises, capital turnover is prone to difficulties. Financial pressure has become one of the most troublesome problems for small and medium enterprises.

Although small and micro enterprises are eager to get financial support, some financial institutions do not support such enterprises very much. It is difficult for such enterprises to obtain loans from banks. In the first quarter of this year, the materials provided by the analysis of Huizhou's economic operation situation showed that at the end of 3, the balance of RMB loans of small and medium enterprises in the city was 57 billion 330 million yuan, up 2.4% from the beginning of the year, which was 1 percentage points lower than the loan growth rate.

Research shows that, because of the strong position of some big enterprises, the delinquency of small and medium-sized enterprises has been deliberately delinquent, resulting in some small and micro enterprises unsustainable and becoming the most vulnerable group of "triangle debts".

In the shoe making town of Huidong County, the owner of a shoe company complained to reporters that because of the difficulty in obtaining loans, the capital flow of enterprises was very difficult. If the private lending of high interest rates was used to maintain production, there would be little profit in the case of high prices of raw materials.

Recruitment difficulties also beset many small and medium enterprises. As small and medium enterprises generally belong to labor-intensive enterprises, there is a gap between large and medium-sized enterprises, which has become the hardest hit area of "recruitment difficulties" and the loss of workers. Mr. HR Wang, a shoe factory in Huicheng, said that since the beginning of the shoe factory, the general workers have been dissatisfied. The company has orders but not enough workers.

Some enterprises have orders but can not recruit people, and some enterprises have a sharp reduction in orders. According to the survey, most small and medium enterprises belong to the OEM processing enterprises. The technology is relatively backward, and the market competitiveness is weak. Most enterprises are unable to finish the original orders, and now the orders have been greatly reduced. Even some enterprises are facing a shutdown because they do not have enough orders.

In addition, affected by the appreciation of the renminbi, the profit margins of small and micro enterprises have been continuously compressed, coupled with rising raw material prices and increasing processing costs, the pressure on enterprises to survive is enormous.

Successful samples are spanformed by expanding domestic sales and creating brands.

When many small and medium-sized enterprises are anxious about the complex and severe market environment in recent years, some enterprises have gone through the spanformation and upgrading, and have gone out of the new development path. Their successful experience includes expanding domestic sales, creating brands and increasing investment in science and technology.

Yongchang Technology Electronics Co., Ltd., located in Dayawan District of Huizhou (hereinafter referred to as "Yongchang company"), is an enterprise that produces DVD, CD and vehicle mounted laser heads. Since 1993, it has been engaged in materials processing, and has been an international well-known company, SANYO OEM. In recent years, especially under the influence of the international financial crisis in 2008, as well as many processing enterprises, the company's orders have been greatly affected.

Yongchang company responsible person said that in the face of severe international financial crisis, enterprises to survive and develop, must be spanformed and upgraded. In the process of spanformation, Yongchang company has invested in R & D funds, introduced hi-tech talents, and started its own brand by using the accumulated experience of many years.

The production of laser head products has been monopolized by famous international companies such as SONY and Panasonic. After winning the brand, Yongchang company has become the only laser head manufacturer with its own brand in China. In addition to creating brand, Yongchang company also actively explored the domestic market, and the domestic sales ratio of DVD laser head products has reached over 90%.

Huizhou Shi Jin steel processing Co., Ltd. is also a successful spanformation enterprise in recent years. The company successfully spanformed from a raw material processing enterprise to a wholly foreign-owned enterprise. After spanformation and upgrading, the company increased the domestic order of 1200 tons, bringing the output value of RMB 8 million 400 thousand yuan to the enterprise. The spanformation of the company mainly includes two aspects: first, to open up the domestic market; the two is to actively introduce advanced foreign equipment. In the process of spanformation, the company has also been strongly supported by Huizhou customs and other departments, enabling the company to make a smooth spanition and ensuring the smooth completion of the formalities such as carrying over the surplus materials and collecting taxes on waste.