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    The Status Quo Of Chinese Enterprises Reflected By Adidas Customs Factory

    2012/7/20 14:44:00 46

    AdidasLow Cost Business ModeProduction Cost

     

      

    Adidas

    The group has confirmed that it will close its factory in China in October this year, or move to Southeast Asia.


    At present, Adidas has more than 1 billion euros sales in the Chinese market. The Chinese market is already the second largest market in the world, and Adidas continues to maintain substantial growth. It is not that the Chinese market has lost its attraction, but that China's labor cost has lost its attraction.

    Labor costs in China have been improving in recent years, which is likely to be an important reason for Adidas's decision to move to factories, which is particularly sensitive to changes in labor costs.

    In fact, Southeast Asia is becoming a powerful substitute for China. Although the infrastructure and skilled workers in these countries still have a large gap compared with China, it seems that the labor force is cheap, and it seems to be "a great mess".


    Adidas is a typical multinational enterprise with low cost. The production base moved from Japan to Japan, moved to Korea and Taiwan, then moved to the mainland of China, and then turned to Vietnam and Burma in Southeast Asia.


    Therefore, sooner or later, there will be more large foreign companies leaving and moving the production lines to lower cost places. This is a problem that China's economic development must face. This is also the reason why our economy emphasizes pformation, because if it is only the world's foundries, where is the place where the foreign investment is attracted?

    China

    Production costs

    The rise requires Chinese enterprises to pform.

    But at the same time, this "request" is not so urgent and crisis in the current environment. The media often like to use the word "forced" for two words, and more is the hope that the media can produce such an effect, rather than the effect that has already occurred in the real environment.

    More enterprises still remain in the inertia of path dependence.


    The direction of pformation has been agreed, that is, innovation, including technological innovation, management innovation and system innovation, which makes China's economic growth no longer rely on the extensive input of factor resources, but relies on higher production efficiency and innovation driven.

    And businesses can't fantasize about the past thirty years.

    Low cost management mode

    In the end, competitive advantage derived from low prices is always unstable and controlled by others.

    As for some enterprises, they are committed to building themselves into so-called "relationship intensive" enterprises, which are too close to government officials, making their enterprises full of risks, and can not really promote the maturity and perfection of the market environment.


    Therefore, the future development of China's economy is all in China's current pformation capability. We should not only break through the single growth mode of labor intensive, but also get rid of the relationship oriented development mode which has gone wrong and turn more towards innovation and service.

    If such a pformation is to happen, it must be a common pformation between the government and enterprises. The former needs to lean more resources to the people's livelihood and turn into a service-oriented government. The latter needs to work hard to reduce the habit of rivers and lakes, to put a long-term perspective on it and to abandon the idea of making quick money.


    This is actually an interaction, a benign interaction that promotes the structural change and pformation of the economy and society.

    Among them, the responsibility of the government is more important, more active and more difficult.

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