Jingjiang Clothing Materials: Market Segmentation Leads The Trend

Leading the trend can not only avoid the fate of being eliminated, but also grasp the initiative and let the enterprise develop steadily.

Differentiated competition, in the market segments to find their own blue ocean......

As a traditional industry, Xiaoshan

Clothing "relatively perfect industrial chain.

At the same time, a number of leading enterprises in the national garment industry are quite influential, such as Hongfa, Zheng Kai, Faun, Zhixing and Yongsheng.

However, with the decline of the current global situation, Xiaoshan's clothing industry is also facing the downturn of the industry.

The superposition of demographic dividend, land cost rise, and financing difficulties make many traditional industries in a dilemma.

However, Xiaoshan is seeking pformation and upgrading.

It has begun to examine itself, and has begun to prepare for the rainy day.

Among them, the garment material enterprises represented by Jingjiang have gone against the trend to find a way out, and have gone out of many distinctive new roads.

The dilemma of traditional industries

With the development of regional economy, the clothing industry in Jingjiang enjoys a high reputation in the domestic and foreign markets.

Through decades of development, the industry has already formed a certain scale of industry and has become a regional characteristic industry and key pillar industry in Jingjiang.

But in recent years, the textile industry, including garment fabrics, is facing severe challenges. It is no longer possible to participate in international competition by quantity and price alone.

Mr. Chen is the owner of a small and medium-sized fabric enterprise in our district. The company mainly arranges production through order.

Affected by the international environment, orders have been greatly reduced since the first half of this year, the operating rate of enterprises has been reduced, and the operation of enterprises has been greatly affected.

Reporters learned that, in the first half of this year, the performance of enterprises can be flat, which is still well developed. More business profits are almost zero, and some even run at a loss.

As a traditional industry, the development and prosperity of the garment industry is largely due to the cheap labor force in China.

Nowadays, with the disappearance of demographic dividend, the low value-added advantages of the fabric industry in terms of labor are being replaced by Southeast Asian countries and even some emerging markets.

According to the briefing, the cost of labor in our garment industry is three or four times that of Southeast Asia.

The owner of a fabric enterprise in Jingjiang says that the annual wages of workers are increasing at almost 15% speed, the profit margins of enterprises are becoming smaller and smaller, and the competitiveness of products is also decreasing.

Facing the reality that demographic dividend is gradually disappearing, the product structure of the clothing industry itself may be its biggest weakness.

The low entry threshold, the large number of garment factories and the blind expansion have led many garment fabrics enterprises to expand the market by relying on price wars at the initial stage of development and form unhealthy competition.

At the same time, the homogenization of products is also the internal reason why the garment enterprises are difficult to continue.

"A lot of enterprises often follow the market to make products, and what is salable in the market, so everyone rushing headlong into the herd. Once the market is fluctuated, many enterprises will suffer heavy losses."

The responsible person in charge of industry in Jingjiang street said that although Jingjiang's clothing material is relatively high in the whole country, it does not have the advantage in international competition.

Market segmentation is king

Entrepreneurs in Xiaoshan can not only endure hardships but also have a broad view.

Although many difficulties, but a lot of entrepreneurs in Jingjiang talk about the development of the present clothing fabric industry in Xiaoshan, but still do not lose confidence.

They are already on the road to upgrading.

Zhao Jidong, President of Yongsheng group, said: "the external causes of development environment and market order are very important, and the macroeconomic situation is not good enough for the development of enterprises.

But the development of enterprises depends on the internal driving force.

Zhao Jidong said that although the outside world has always believed that the clothing industry is a sunset industry, but because of the particularity of the industry, its market demand is always there, and as long as there is demand, there will be a market, and there will be a way for the development of market enterprises.

Then, where is the way of development of enterprises? Zhao Jidong pointed out that the rigid demand of the whole market will not fluctuate too much. If enterprises want to break through tight encirclement, they must consolidate their foundation and take the road of differential production.

What is the way of differentiated production? Zhao Jidong thinks that the important reason for the difficulties of the enterprises is that the homogenization of production is serious, and the profit space is partitioned.

"If an enterprise wants to jump out of this herd, it must develop its own product and arm it with new and high technology."

This is the answer given by Zhejiang Yongsheng garment fabric for finding a way out. At present, its differential fiber fabric is already a leading high-end product in the industry, leading the development of the industry and entering the European and American market.

In order to keep the competitive advantage of differentiation, Yongsheng has a good R & D team for backup.

Zhao Jidong himself is a technical school. He likes to study. "The development of new products in the clothing and fabric industry is different from others. Developers must understand the production situation of the first line and make it possible.

We should improve our products.

Therefore, in the field of Yongsheng technology research and development is the first line production workshop, product development personnel often engage in production work.

Like Zhao Jidong, he is not only a manager, but also a technical person who enjoys the special allowance of the State Council and is responsible for the new product development of the company.

Every year, Yongsheng will invest 4% to 5% of its sales volume, about about 40000000 yuan for technology research and development.

In addition, Yongsheng has introduced nearly 100 world-class dyeing, finishing and experimental facilities from the United States and South Korea, and specialized in the field management and technical guidance of experts in dyeing and finishing industry in South Korea. Its difference in chemical fiber weaving technology is in the leading position in the domestic dyeing and printing industry, and it is also the key and advantage for the company to lead the differential fiber dyeing and weaving industry.

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Leading the trend and mastering the initiative

In addition to looking for the blue ocean in the market segments like Yongsheng, Zhejiang is also exploring his breakthrough.

"The leftover is the king" is repeatedly stressed by general manager Wang neli, general manager of Zhejiang Fu en clothing and Accessories Co., Ltd., in the face of the market downturn of the fabric industry, she believes that sticking to her product positioning and basing herself on the industry is the best way to survive.

"Because the external environment is too complex, at this time blindly change their strategy, to enter the unfamiliar industry is likely to lead to the rupture of the capital chain, and drag down the main industry of the enterprise."

In order not to be eliminated, it is to grasp the initiative. He spent two dollars on the top Italy fabrics.

In the past two years, 8 new products have been identified as Zhejiang provincial industrial new products, and all kinds of fabrics have been well received by Chinese and foreign businessmen. Especially the colored spun fabric products developed by the company have been contracted with Italy and Spain for long-term cooperative development and export contracts, leading to European fashion brand products with an annual sales volume of nearly 500 million yuan.

"An international clothing brand in the United Kingdom now designate us as its fabric supplier."

Fawn cloth is favored by foreign high-end clothing brands. From Martha to H&M and ZARA, the orders of these large customers are all from the reputation of Fu en brand.

"Cloth enterprises should create their own brands different from garment manufacturers, not just putting a few ads on TV.

We are in the middle of the whole industry, and our products are of good quality. Do we have any innovative customers who want to be recognized before we know them?

"Our brand is more of a word of mouth between customers and customers," Wang said.

Meanwhile, foster has adopted and introduced IS09000 quality management system, IS014000 environmental management system, OHSMS18000 staff health management system, ERP information management system, and established an effective quality management system, which has realized the standardization, procedure and legalization of company management.

It is reported that in 2008, the company was awarded the Hangzhou management innovation demonstration enterprise, the company's first "4R+E" marketing mode has also been awarded Zhejiang outstanding management innovation results.

As a new successor to Jingjiang's garment industry, Wang neli said: "innovation management is not only the introduction of new scientific management mode, but also the absorption and improvement of some traditional management modes that conform to the actual development needs of enterprises.

The management of enterprises is a succession and pioneering project.

A sunset industry in the eyes of ordinary people is now moving towards a new height in the hands of a group of passionate "two generation" entrepreneurs.

We will also continue to look for a new model of Xiaoshan's clothing industry, pay attention to the trend of the fabric industry and provide a model for the development of the industry.