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    The Internationalization Of Chinese Shoe Industry Needs New Thinking.

    2008/3/20 0:00:00 10482

    China Footwear Industry

    2008 is bound to be an extraordinary year for China's footwear industry.

    With the implementation of the merger plan, the intensification of anti-dumping and the increase of labor costs, the advantages of low cost manufacturing in China's footwear industry are facing challenges.

    At present, China has become the largest footwear producing and exporting country in the world. The huge export trade figures show that Chinese footwear enterprises aim to internationalize through opening up overseas markets.

    However, it is noteworthy that China's footwear industry is still at the end of the industrial chain, and enterprises lack control over the key links of the international footwear distribution market, especially in terms of channels, brands and so on.

    According to the insiders, the Chinese shoe industry has been closely linked with the global market, avoiding difficulties and challenges can not solve the problem. The key is how to break through the traditional thinking set and find the international roundabout tactics in the new node.

    The internationalization of footwear industry requires new thinking as one of the most important parts of China's economic links. Chinese footwear enterprises have been struggling for many years in the international market, and have made many achievements. On the one hand, China's shoes industry has already occupied a considerable market share in the global market due to its low cost manufacturing advantages, on the other hand, some Chinese footwear enterprises already have the ability of global sourcing and global sales.

    For example, in 2008, VAL Cory LEVERDE, from the fashion capital of Italy, was hand in hand with AOKANG, China. AOKANG acquired the former global brand management power and independently operated its global brand marketing and product manufacturing. "LEVERDE"

    However, some experts in the industry interviewed reporters that they should not be isolated, static or one-sided understanding of internationalization. They should not always think that selling products abroad is internationalized, or acquiring overseas companies is internationalized.

    The experts believe that internationalization of enterprises is not necessarily reflected in products going abroad, or enterprises setting up factories abroad. What is more important is the thinking and mode of business operation closely related to international development trend.

    A shoe business person said that compared with the world's well-known footwear enterprises, Chinese enterprises are not short of technology and capital, but also have strong production capacity and cost advantages. But what we need is a high-end brand image.

    "Due to export constraints, exchange rate reduction and RMB rising, and other factors, 2008 will be a year of domestic sales competition for footwear industry, and competition in sales channels will become more intense."

    Wang Zhentao, President of AOKANG group, believes that in the face of changes in the global market environment, the internationalization thinking of footwear industry should also follow development, especially in the domestic shoe industry.

    "In the future, we plan to buy more overseas brands, and let our shoe industry become the processing factory that makes the world shoe brand."

    Wang Zhentao is preparing to hold a "Pan Pearl River Delta regional large-scale investment fair" in Dongguan, Guangdong.

    He believes that the rise of shoe industry supermarkets means that the era of market integration has begun to change to the trend of market integration enterprises.

    To build shoe industry WAL-MART, once upon a time, "channel is king" and "winning the final battle" are familiar with the shoe industry marketers, and the marketing means of franchised agents and franchised monopolies, which are once popular, have been "struggling to cope" in today's war of price, promotion and advertising.

    How will channel change be changed?

    When the shoe industry once again comes to the new node, is it sitting still or winning?

    Monopolistic store mode has been surging in the domestic footwear market.

    In January 1998, AOKANG's first store opened on top of the Tong store, which led to the first change in the marketing mode of China's footwear industry. After that, China's shoe monopoly store was like KFC, which quickly spread all over the country.

    Up to now, only AOKANG has opened more than 3000 stores in the country.

    However, with the continuous replication of the store mode and the intensification of market competition, the mode is also facing the situation of "increasing sales volume and decreasing profits".

    In March 20th, as a supplier of leather products for the 2008 Beijing Olympic Games, AOKANG group will hold a "Pan Pearl River Delta regional large-scale investment fair" in Dongguan, Guangdong.

    The industry believes that this move is undoubtedly a signal to the industry: only innovation and pformation of marketing mode, in order to remain invincible.

    The shoe industry is also facing such a difficult problem when it expands rapidly. That is, the homogenization of products is serious, and the differentiation between products and products, between brands and brands is becoming smaller and smaller, and the sales channel is also becoming more and more patterned.

    A large number of two or three line brand enterprises do not follow the example of leading enterprises blindly and follow the example of leading enterprises without serious and rational scientific research. This leads to the low profitability of the two or three line brands and even losses, and some brands have to withdraw from the market.

    "The advantages of chain monopolization no longer exist."

    Shoe marketing insiders feel so sorry.

    "Open WAL-MART stores" have higher requirements for capital strength and rich product lines. Small businesses generally find it difficult to follow suit and have strong competitive advantages.

    Wang Zhentao believes that "multi brand stores can maximize the compression of the circulation of products, making it easy to build a brand line, which is of great significance to the internationalization exploration of Chinese footwear enterprises." the next few years will be a critical period for China's footwear industry. If it fails to turn smoothly, it will be ruthlessly eliminated by the market. "

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