Heshan Shoe Enterprises Explore Third Ways Of "Made In China"

Different Yu Huidong women's shoes industry and Wenzhou men's shoes "foreign migration", Heshan footwear industry originated from the long history of the shoe making tradition - the family workshop from the Ming and Qing Dynasties.

According to legend, Italians saw Heshan making exquisite shoes and exchanging shoes making skills through Heshan.

Rigorous research reveals that this legend is far from reality.

However, Italy is very close to Heshan: Nowadays, many Italy brands choose Heshan factory as its foundry factory.

Like shoes made in Italy, shoes made in Heshan must be checked by 30 more strict manual processes. They are tested at different levels, and undergo multiple processes such as picking, spreading, grinding, shoveling, manganese, sewing, rubbing, pressing, beating, cutting, bonding and modifying.

This is also the reason why many domestic and foreign shoe brand manufacturers choose "Heshan manufacturing" as the foundry factory, including Italy.

In 1987, there were only 4 shoemaking enterprises in Heshan: Qianjin shoe factory, Huaqiang shoe factory, Dafa shoe factory and crane shoe factory.

In the 70s of last century, there was only one shoe factory.

That is to say, the modernization of shoemaking industry in Heshan in 1987 has just sprouted, and everything is groping.

Today, the number of shoe factories in Heshan has expanded by 250 times.

This is not the end of the story. Maybe the era of Heshan shoe industry is just beginning.

What kind of energy should we break out of the traditional shoe making industry that has been accumulating for hundreds of years and the modern shoe-making technology for more than 30 years?

It is obvious that the shoe industry in Heshan is faced with a dilemma that cannot be avoided when it comes to doing OEM or making brand. However, it does not have multiple choice questions, but bundles R & D and processing to form a strong "manufacturing capital". This mode may provide third paths for the future development of China's manufacturing industry.

Eighty thousand shoemaker gathered in Heshan: neglected manufacturing capital

Coming down from the Jiujiang bridge, the big wild goose mountain with the Heshan logo is directly facing.

From the big wild goose hill, we can look around the Xijiang River and the northern Guangfo city group.

For a long time, gahe County, which was composed of Heshan and Gaoming, belonged to the Foshan special area at that time.

In fact, this geographical natural link is still playing a role -- Heshan is positioned as the bridgehead of Jiangmen's entry into the Guangfo economic circle.

At a deeper level, Foshan, Guangzhou and Heshan are all at the end of the Guangdong shoe distribution map, and the other end is Dongguan, Shenzhen and Huidong on the East Bank of the Pearl River.

Huidong is known as the "Chinese women's shoes production base" in the East Bank of the Pearl River. Heshan in the West Bank of the Pearl River is "China's men's shoes production base", which is probably just a coincidence.

The women's shoes industry in Huidong has been in pition or eliminated. The fact that Heshan's men's shoes industry has been doing a good job of OEM has not changed, but is increasingly strengthening in the years and the market.

In fact, the aura of "Chinese men's shoes production base" is not only a government and factory owner, but also an innumerable shoemaking craftsman.

"Manufacturing industry is the most difficult to maintain", but Heshan has a simple and efficient management mode that is not known. More than 1000 factories share eighty thousand employees. All bosses share the risk of staff management and coexist together.

People wonder that in today's crisis of manufacturing industry, the footwear industry in Heshan is not the slightest decline, but rather a strong vitality.

"Heshan can still be so strong because it is basically basically every factory has its R & D, which does bring a lot of viability to the factory, and its survival space becomes" I have no market, but I have R & D and manufacturing. "

In the past more than 20 years, Huang Zhihong, chairman of Heshan Yi Gao Shoes Co., Ltd. did not leave the industry. He was one of the first shoemaking people in Heshan.

Occupy the top and the middle end of manufacturing and R & D, "smile curve", which may prove that Heshan shoe factories are a group of hungry and contented enterprises, and today Heshan makes manufacturing capital that can be foothold.

World brand Heshan manufacturing

"In 2000, there were only 100 factories in Heshan. Can you imagine how many are there now? Almost 1000."

Deng Ren Yi is a beneficiary of the development of footwear industry in Heshan. At the same time, he is also worried about it. Because the number of shoe factories and orders in Heshan continues to grow, the total number of workers has not been replenished.

There is no doubt that Deng is a grass-roots entrepreneur in all sense, from Guangxi Qinzhou agricultural county Lingshan.

His Han Peng shoes and leather products Co., Ltd. is located in the South bamboo industrial zone of shaping Town, Heshan.

As an industrial area, there are no strict boundaries to distinguish them from other regions.

Han Peng is only one of nearly 1000 shoe factories in Heshan.

Near this area, there is no lack of shoe factories opened by Deng Ren Yi, a fellow townsman in Guangxi.

Deng Renyi said, "the shoe factories in Guangxi accounted for 90% of the whole of Heshan."

In the past 20 years, Deng Renyi has been playing the role of designer.

In fact, from a migrant worker to a factory owner, he is familiar with any part of the footwear industry.

In 1995, he changed from a migrant worker to a shoe factory owner.

This pformation is no different from the experience of many factory owners.

From 2001 to 2005, many domestic brand shoe manufacturers began to search for foundry enterprises in Heshan.

Deng Ren Yi rents 5000 square meters of factory buildings and prepares to go all out to build a shoemaking factory with 600 employees.

Unfortunately, contrary to expectations, the rapidly expanding Heshan shoe industry has carved up hundreds of workers who are expected to belong to him.

In those 5 years, Deng Renyi lost 20 million yuan.

"Now the designers and designers are hard to find. Well done masters build their own factories."

Deng Renyi said that the factory building of Han Peng shoes is only 1500 square meters, with nearly 200 workers, far from his vision.

Today, the shortage of workers and orders is flying ten years ago.

"All Brand Company want to cooperate with me, but I can't do that much."

Deng Ren Yi could not help feeling that his shoe factory capacity was limited to 200 thousand pairs because of lack of manpower.

Because orders are more than capacity, Deng can only work with several traders, and Wenzhou brand men's shoes account for a large part of his output.

Old people, Satchi, Montagut, Lies Dan, Pierre Cardin and so on a large number of international famous brand leather shoes all choose Heshan shoe factory as the foundry enterprise.

So far, the shoe factory owners in Heshan still mentioned that Wenzhou businessman Zhou Jianyun was driving old Santana to Heshan to find an agent factory.

In 1998, Zhou Jian Yun spent 2 million yuan to sign cartel crocodile leather shoes general agent in China, opening up the Wenzhou people's agent for foreign brands.

"At that time, Zhou Jianyun was only two million. After paying the agency fee, there was no money left.

We have a stall in Guangzhou, so we have no money to pay for the order.

Feng Baozhi, chairman of Xinlong shoes industry, said that many shoe factory owners in Heshan were more wealthy than Zhou Jianyun.

People always like to use "where there is a market, where there are Zhejiang people" to describe the ubiquitous Zhejiang businessmen.

In fact, the history of footwear industry in Heshan is much longer than that in Wenzhou. The prosperity of Wenzhou's footwear industry is largely due to the scarcity of natural resources in the region and the limited arable land.

Heshan is a typical land of fish and rice in south of the Five Ridges. Many of the shoe manufacturers like Feng Baozhi are businessmen sitting on the spot.

Today, Feng Baozhi's main clients are from Wenzhou.

He is also a partner of more than 10 international brands such as Montagut, Yi Kang, crocodile, playboy, Goldlion and so on.

More than 10 years of shoemaking, lack of money, lack of technology, he is familiar with it, but now the orders of Xinlong shoe factory are too much to be done.

Every year, many brands will be ordered, and there will always be many shoes factory owners in Heshan.

It can not be overlooked that the shoe industry in Heshan has a substantial profit - most shoe factories have a profit of over 20 yuan for a pair of shoes, which is much higher than that of Huidong women's shoes.

In the past, businessmen in Wenzhou asked for Heshan shoe factories to do their jobs. Now, Heshan foundry still has enough strength to challenge traders and agents, and has strong bargaining power, which is very rare in the Chinese foundry industry.

"If you do not come, I will produce as much as I do, and I will not lose. I will not deliver it to you, and you will have no money to make it."

Deng Ren Yi has a stable partner. At the same time, a sufficient order is his calling for traders' capital.

How much this situation surprises outsiders - many of the enterprises in Wenzhou who have run a lot of businesses are local shoe factory owners. Many of the shoe factories in Heshan come from Wenzhou. On the other hand, Huidong, which is closer to Heshan, is facing difficulties because of rising raw materials, lack of funds and rising manpower costs.

People can't help wondering why the shoe industry in Heshan can stand up and grow stronger.

Eighty thousand shoemaker

Before 2011, Huang Zhihong had never thought about this problem.

The official advantage of Heshan men's shoes is: Heshan men's shoes from raw materials, product development to production and molding; from mechanical equipment, tooling, accessories and other technological innovation and product innovation; marketing network from logistics, sales to professional market, product display; from product quality inspection, inspection packaging to export declaration, forming a more complete supporting industry chain, the industry characteristics are distinct.

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Huang Zhihong does not think this is all the pride of Heshan shoe industry.

Because there are not many factories that are really mature in Heshan, and many factories do not even have accountants or cashiers.

More shoe factories run the same way as Deng Renyi. They take the form of cooperation with traders to get orders, and some profits naturally come to the traders' pocket.

In the view of the chairman of Heshan's biggest shoe-making enterprise, the chairman of the footwear industry, there are dozens of shoe factories in Heshan.

The difference between the size of the local shoe enterprises in the industry is the number of workers, and the 200 person is a watershed.

In nearly 1000 shoe factories in Heshan, the small shoemaking workshop is a huge group.

Most of these shoe factories can only be called family workshops, and several shoe machines and twenty or thirty workers are factories.

In fact, even if Yi Gao is placed in Dongguan, it can only be regarded as a shoe factory of medium size.

"How can I do this? How can I manage this?" the outside world may feel this way. In fact, this is precisely their greatest strength.

Huang Zhihong was curious about how these shoe factories could survive. Before that, he took it for granted that these shoe factories were hard to survive, but the fact was beyond his expectations.

"They have saved a lot of tedious links in the manufacturing process. They have been reflected very quickly.

The government's policies, such as social security and minimum security, have nothing to do with them. However, the average number of workers in small factories can get 5000 yuan or even 8000 yuan a month.

Huang Zhihong exclaimed that it is difficult to find a similar manufacturing mode in China.

Many big shoe factory owners complain that a large number of small factories have diverted the employees who rely heavily on them, because the wages of large factories can not reach seven thousand or eight thousand yuan, and there is no way to keep them proficient.

The efficiency of these small shoe factories is twice as high as that of shoe factories.

Huang Zhihong introduced, "most of the small factory owners are making layout and design origin. The main job of the boss is to develop, so the designers below are different in diligence and efficiency.

Therefore, the overall design and development atmosphere of Heshan is very strong. Small factories can make good shoes. Without development, they can't survive. "

"That way of operation requires employees to be versatile and proficient. They know every process, and they can do it all by themselves.

In Wenzhou, it usually takes two people to complete the production of a pair of shoes.

These shoemaker is not alone. They need information to interact with each other. They follow the "circle doctrine". Workers can jump from this factory to another factory, and do it alone in this factory. They can go to other factories without a single word, which is a very natural and very humane free manufacturing market.

The image point is that Heshan is like a large and invisible platform for workers to freely circulate. After studying all the processes of shoemaking and the styles of different shoe factories, these workers,

To be an all-around shoemaker.

Huang Zhihong laughed at himself. "Workers from big factories are helping others to get married."

In the eyes of insiders, this mode of production is quite similar to that of Italy's shoemaking industry.

In Marche, Italy's largest animal skin, leather shoes and shoe making base, there are more than 5000 shoe factories, with 43000 employees.

This shoe making tradition based on small and family operations has built up an extensive commercial network in this boot shaped territory of Italy.

Former North Korean leader Kim Jong-il is also a supporter of Italy's luxury brand Moreschi.

Moreschi is the representative of Italy's hand-made high quality leather shoes.

Many traditional handicraft products are being put to the museum at a time when they are put to the museum, "mass production", and "scale" has become the key word in the business field. Today, the traditional Italy Peninsula has not changed much.

Now, 60% of shoe factories in Italy still insist on using manual or semi manual methods to make shoes.

"Machine production is only standard, and manual pursuit is perfection. This is the meaning of manual work."

This is a famous saying in the shoe industry of Italy.

In the Moreschi family business, designers, technicians, artisans, artisans and other production personnel are proud of their wealth.

Similarly, for the shoe factories in Heshan, designers and shoemaker mean lifeline.

When Feng Baozhi entered the shoemaking industry, he had asked people to "lose money" for millions of dollars because he was "unprofessional", so that he had to travel to Guangzhou to do business without paying any fees, so he could borrow 50 yuan as a travel expense in a neighbor's shop.

The growth of every shoe factory in Heshan is full of uncertainty and twists and turns, but one thing is very clear. From the beginning, Heshan was not purely a "foundry", but a research and development of binding manufacturing, walking on the top and the middle end of the "smile curve".

"Profit from development."

Deng Renyi said that the factory invested 3 million yuan for development every year, and the annual salary of a designer is 300 thousand yuan, and they have 0.8 to 1 yuan Commission for each pair of shoes they design.

In 1989, when Huang Zhihong opened his shoes factory in Heshan, 20 years old, he was excavating designers from several shoe factories in Guangzhou with a monthly salary of 5000 yuan.

"In 1998, the factory produced shoes at a factory price of more than 300 yuan. Since then, Heshan has erected the atmosphere of making men's shoes and making high-end men's shoes."

"We use about 4 to 5 tons of mold every year, and about 20 tons in 5 years."

Deng Ren Yi's factory is producing new shoes every day. "Heshan can design one thousand shoes every day, even if it is not in Italy."

According to Huang Zhihong, there are 80 thousand "free workers" in Heshan.

"If they go to Guangzhou, they must not do well.

There were also shoe factories in Wenzhou who dug up the past, but the workers came back after six months.

Heshan is even more attractive to these skilled people than Shenzhen and Dongguan.

In this way, all the skilled hands are deposited in Heshan.

"At present, China does not really have second shoe industry clusters to replace Heshan."

Huang Zhihong said.

Reshaping "OEM": third path looming

Mo Shixiang, deputy director of the China Special Economic Zone Research Center of Shenzhen University, believes that the development of export-oriented economy in Taiwan, Hong Kong and Macao shows that the comparative advantage of relying on labor-intensive industries to develop economy is generally less than 30 years.

If this rule is established, the "30 year limit" of the footwear industry in Heshan, which began in the late 70s of last century, has expired.

Perhaps a considerable number of scholars hold such an idea.

But is this really the case? Will Heshan's foundry enterprises be abandoned?

Heavy wings

The cover article of business week once said: "China is the most suitable place to manufacture because there are sustained economic growth, well-trained workers and exquisite manufacturing processes."

In 2007, a book called "one year away from China" was once popular among the United States and China. Sara is a housewife of a middle-class family and a former business reporter.

She did an experiment in 2005 - she didn't use Chinese products all year round, and her family's life became a mess.

Faced with the $10 pair of Chinese children's shoes and the $60 pair of Italy children's shoes, she had to admit, "prices always win over our values.

We simply can not refuse products sold in China. "

In many people's eyes, the only weapon that the Chinese manufacturing industry can sweep the world in twenty years is the price, losing the price advantage, and there is no advantage in making China.

Since 2010, the price of this invincible China has begun to blunt. The appreciation of the renminbi, the reduction of export tax rebates, the increase in labor force and the rise in prices of raw materials have resulted in a superposition of a number of factors, such as the cost of "made in China" made up of clothing, toys and shoes, which has risen by about 30%.

In October 22, 2011, Lang Xianping, a well-known financial scholar, said in a private speech in Shenyang, "China has no chance of winning in international competition against the background of rising labor costs, worsening investment environment and rising RMB exchange rate."

"Remember that at least 97% of China's private enterprises rely on the usury market, and the critical interest rate of the usury market has reached over 48%, or at least 40%."

Lang Xianping claims that the disease in China is called the manufacturing crisis.

Lang Xianping said in a speech in Guangzhou, "when you go home and stir up a plate of green pepper meat, do you notice who controls the price of this dish? The price has been controlled by Wall Street."

This is the two theory that it has been selling all around the world: the six link theory, the increase of interest rate leads to the worsening of the manufacturing environment - the "six link", which is China's "product design, raw material procurement, logistics pportation, order processing, wholesale operation, terminal retail six links to Europe and the United States".

Deng may not know who Lang Xianping is, but the ensuing order apparently gave the well-known scholar a slap in the face.

Indeed, the "world factory" based on the manufacture of cheap goods by the human sea tactics is seeking pformation and upgrading.

Before the 2008 economic crisis, Guangdong proposed a double pfer policy of "changing the cage for birds" - the labor intensive industries in the Pearl River Delta shifted to the East and west regions and the mountainous areas of northern Guangdong; while the labor of the East and the West and northern Guangdong, on the one hand, pferred to the local second and third industries, on the other hand, some of the higher quality labor forces were pferred to the developed Pearl River Delta region.

Although this strategy is not effective, it can be seen that the small and medium-sized enterprises in the Pearl River Delta, which are mainly engaged in processing trade, have been squeezed under such circumstances as the sharp decline in overseas orders, the continuous rise in costs, the shortage of labor force, the decline in profit margins, the risks of trade finance and the difficulties in financing.

For a long time, Nike, a multinational giant in the Pearl River Delta and other places, has also revealed in the fourth quarter of fiscal year 2011 that Vietnam has replaced China as Nike's largest sports shoe production base in the world.

China's manufacturing has become mediocrity in the wave of industrialization, and competitiveness has been questioned. The mainstream view is that manufacturing in China, including shoemaking, is still at the bottom of the "Smiling Curve".

However, this is obviously a misreading.

Miuccia Rada, Prada's family heir and chief designer, said she likes Chinese shoes best.

This is always justified. It can not be fully interpreted as justification for Prada's work in China.

However, the fact is that since the 80s of last century, international brands have started to look for production bases in China's coastal areas, and globalization has allocated manufacturing and processing links to China.

So far, the area represented by Jiangsu, Zhejiang and Guangdong has formed a very mature and complete manufacturing system.

Li Yuzhong, chairman of the Standing Committee of the China Leather Association, often visits Asian and European foundries. In his view, the so-called pure manual level in Europe can be achieved in many factories in Guangdong, even better than that of European workers.

In the view of TCL chairman Li Dongsheng, there will be a large number of second levels of processing plants in the future, so that Chinese enterprises can achieve diversified, dynamic and competitive development.

"Any technology is pferred and permeated each other. We can not start from scratch without emphasizing on independent innovation. I think we need to have an open mind and establish the springboard that is most suitable for us to start by active exchanges and cooperation."

In an interview with the media, Li Dongsheng said that enterprises should build up their core competence step by step in the process of development.

The third way of OEM Enterprises

The US brand Coach has 85% of its production in China, so in the Coach package, there will always be a sign indicating that "this bag is made in China, made by the best craftsmen of craftsmanship".

The fact is that the products originating from the country of origin are few and far between.

"Made in Italy" can also be interpreted as "Made in Italy by Chinese" in many cases.

Today, the footwear industry in Heshan is not only the role of the processors as the enterprises that grow up in these demanding demands.

Huang Zhihong's shoe factory is Italy's No. 1 leisure shoes brand Geox (Jian loisi) in China's foundry, each year has 500 thousand pairs of shoes export orders.

And the Heshan small shoe factory's foundry brand is also famous.

In the era when China's manufacturing industry is on the verge of extinction and forced to pform, Huang Zhihong's Yi Gao has quietly enjoyed the good fortune of BELLE group.

BELLE group is the largest footwear group in the world with an annual output of more than 25 million pairs. It has more than 13 thousand footwear and sportswear outlets in mainland China and Macao, Hongkong.

Its own Belle, Teenmix, Tata and other private brands, and agents including ELLE, Geox, Clarks, including eight international brands of footwear.

BELLE bought 36% of Yi Gao (estimated by company's market value), and Huang Zhihong did not disclose the exact amount of capital injection.

Insiders estimate that this paction may bring 50 million yuan in cash for Yi Gao.

Huang Zhihong introduced, "we produce Geox shoes to be imported through Hongkong, and then back to Hongkong via Hongkong, where there is a 30% tax, which makes BELLE a lot more expensive, and it can not react quickly."

Only in this way, BELLE group can save hundreds of thousands of yuan per year.

Huang Zhihong said, "some of our technology and technology can help BELLE produce products for the domestic market."

If management master Peter Drucker's statement of the basic duties of enterprises is correct, then Yi Gao is obviously a "competent" enterprise, because it has reasonably realized the two basic duties of innovation and marketing.

"After BELLE joined the stock market, Yi Gao's way of life has all been opened up, and the market's future needs not worry. It can produce millions or even ten million pairs of shoes in one year."

Huang Zhihong said that Yi Gao did not need to worry about the operation of enterprises.

Compared to two other shoe factories in Heshan that are committed to building the brand, they must be more relaxed.

From 1996 to 2000, Liang Yuanguang spent 15 million yuan to promote the brand PiTanCo by television, magazines, newspapers, street signs and other media.

As the first batch of shoes in Heshan

One of the founders of the industry, Liang Yuanguang's bdon high shoe leather Co., Ltd. is a representative of the footwear industry in Heshan. PiTanCo is also the only "well-known Chinese Trademark" in Heshan shoe industry (judicial recognition).

"Children in Hunan know that parents wear high shoes."

Wen Huayao, head of the Ministry of personnel and the head of ISO, said, "we must have more than 1000 high quality brand stores, and we hope to increase 1 to 2 stores in each region."

Wen Huayao referred to Zhang Huarong, chairman of Huajian group, who said, "the worst thing I do for an enterprise is not having its own brand."

Huajian group is the largest shoe factory in Dongguan, and is also one of the largest women's shoe manufacturing groups in China.

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Obviously, we must not repeat the tragedy.

However, the road of brand is not easy.

"1000 stores can hardly imagine that our 100 stores are very laborious."

Huang Guangshen said.

This is the executive director of another Heshan based brand company, Howard Chun ho.

Because of the difficulty in recruiting workers, the company, which once had nearly 1000 employees, now has only 400 employees.

In the conference room of "Hua Jun Hao", there is a plaque for "trying to compare with heaven". The "heaven" in the eyes of chairman of the company, Mr Michael Chan, is the footwear industry in Italy.

Mai Zhen chin once said that if my brand fails to go up, Heshan will not be able to rush ahead.

Now, Howard Jung's own brand "Italy" has 100 stores in Guangxi, Guangdong.

Huang Guangshen said that each store had invested less than 1 million yuan in cash, but the result was not satisfactory.

Hua Jun Hao is the foundry of Satchi.

An obvious fact is that Satchi's leather shoes sell for thousands of yuan, and the price of the same workmanship is only 400 yuan.

Another leading enterprise in Heshan shoe industry, new Hengda shoe factory, has also encountered such a dilemma. The large shoe factory, which once had thousands of employees, although has its own brand "ant crown", has already returned to the OEM production mode.

Li Zuopeng, another chairman of the new Hengda chairman, is the chairman of the Heshan footwear industry association. He said that now Daphne has become the main customer of new Hengda.

New Hengda is also one of the few women's shoe manufacturers in Heshan.

In reality, technological innovation and market capability are not the same thing.

Huang Zhihong has been wobble between exports and domestic sales, and has not failed to move the idea of branding, but his natural sense of business and his peers are more reliable than experts' analysis.

Yi Gao is no longer the workshop type private enterprise. It is a company always starved due to congenital deficiency.

In 2010, Huang Zhihong had a bold plan that had already been put into effect: spending 2 million yuan to build his own production base in remote Tongren, Guizhou.

"Open the factory to the doorstep of the countryside, ask the local rural women to go to work during the day and take care of their families at night," Huang Zhihong hopes to spend more time to train these people into all-round proficient.

The ultimate goal of the Guizhou plant is the size of the 5000 people.

Imagine that Yi Gao now has no more than 1600 people, and 5000 people can produce 4 million pairs of shoes, although this scale can not represent anything compared with BELLE, the biggest shoe maker in the market value, but it is enough to cause a great sensation in Heshan shoe enterprises.

On the other hand, Huang Zhihong even imagined that one day he could reach some sort of tacit agreement with the shoemaking factories in Heshan: try to tie them up with the easy development, so as to get a stable product matching, and a large R & D team and skilled and efficient workers to cope with the high quality of more orders.

Large companies are responsible for dealing with large orders from ordinary consumers, while small companies can customize them for personalized purposes.

This may be a more effective way of production.

Despite the increasing number of shoe factories, some people even speculate that the shoe industry is overflowing, but in Huang Zhihong's mind, shoemaking is still a sunrise industry.

Like many shoe factories in Heshan, Yi Gao no longer stays in the manufacturing process, but extends to the "smile curve" of design and development, which has crossed the survival stage and entered the development stage.

Although there is still a distance from the real "Chinese creation", they have already put their fate in their own hands.

Huang Zhihong didn't want to go all the way. He had many opportunities to try.

Who will dig the capital rich mine made in Heshan?

Last year's Da Vinci price furniture was suspected of fraud, so that its foundry Dongguan Changfeng furniture company was also implicated, shut down and inspected.

Many people began to examine the "crime and punishment" of OEM enterprises.

The matter has just come to a full stop. Guangdong's opening of the "three strikes and two construction" in February has made many Heshan shoe enterprises feel very nervous.

These OEM based enterprises, although there are formal licensing contracts, but a considerable part of the production is off-site.

The South China's largest producer of shoes for men's shoes does not seem to have broken away from the fate of manufacturers.

As a matter of fact, Heshan, a R & D bundled manufacturing industry, has long been able to create the brand of "made in Heshan": the added value of products is already low, the status of industry and industry can not be replaced, and there is enough bargaining power.

In this sense, "made in Heshan" is a huge and intangible capital in itself, but Heshan's manufacturing capital is still a huge gold mine that has not been excavated.

People can not help asking, who can become a real digger?

Fortune of non leading industries

In 2009, Heshan ranked fourth in the comprehensive development of county economy in Guangdong.

Although Heshan explicitly put forward the idea of building a livable city with characteristics in south of the Five Ridges in the "12th Five-Year plan", in fact, as a new industrial base in the Pearl River Delta, it has been implementing the strategy of "strong industry" for many years.

The shoe industry's "status in Heshan" does not have the title of "China's men's shoes production base".

People call Heshan the second gradient area of the core circle of the Pearl River Delta, and the forefront of Jiangmen's "leftist Guangfo".

Heshan has a natural geographical relationship with the Guangfo economic circle. Apart from frequent contacts with the leather market in Guangzhou, the footwear industry is basically insulated from this geopolitical relationship.

On the other hand, combing a lot of public information, we can easily find that, with the production base of Chinese men's shoes, Heshan also has many "national brand" bases of the national new material industry base, China's printing industry base and China's plumbing and bathroom industrial base.

In the industrial structure of Heshan in 2010, the footwear industry with the output value of 2 billion 150 million yuan ranked the six largest industry. The top five were the electrical machinery and equipment manufacturing industry with the output value of 5 billion 290 million yuan, the output value of 5 billion 130 million yuan Hardware bathroom industry, the output value 4 billion 860 million yuan computer and electronic equipment, and the output value 3 billion 120 million yuan printing and packaging industry.

In Heshan and Guangdong Province, the reputation of Heshan's printing industry is far ahead of the footwear industry.

The total value of its printed products ranks third in Guangdong Province, among which there are also about 1 billion yuan worth of Printing Company Limited.

There are only 8 Heidelberg high speed printing and polishing machines in China, and two in Heshan.

There are more than 90 computer direct plate making output systems in Guangdong printing industry, and 70 in Heshan.

During the "12th Five-Year" period, Heshan will focus on cultivating strategic emerging industries, and plans to develop new energy, new light sources, new materials, new equipment, new medicine, modern logistics and leisure health industry as the leading industry in Heshan.

Such a set of data may explain the situation of Heshan's footwear industry.

One shoe business owner said, "the government believes that shoes can not create big taxes and can not produce achievements, and they think that shoemaking is a little polluted."

A realistic problem is that although Heshan has the title of "China's men's shoes production base", it is hard to call it "industrial cluster". Thousands of large and small shoe factories are scattered in the streets of Sha Ping, Ya Yao, Gu Lao and Gonghe four towns, but they are only natural accumulation of shoe factories.

In the face of the fragmented "made in Heshan" with strong manufacturing and R & D capability, Huang Zhihong is most looking forward to a super commercial city. "I think the most effective way is to create a market without market cohesiveness.

Like Guangzhou, we have several large markets, and our shoe factories can directly trade with suppliers. "

This is not complicated and anticipation is definitely a good thing for the shoe industry in Heshan.

In August 29, 2011, Liu Suilong, chairman of Heshan new world group, invested in the signing ceremony of Heshan new city international shoe material and leather hardware procurement center.

However, Liu Suilong's speech before the conclusion of the speech seemed to confirm that the procurement center was hard to build successfully. He said, "today's signing is only the first step in the long march. The construction of Heshan New Horizon International shoe material and leather hardware procurement center is still a long way to go."

According to people familiar with the matter, the project, which was originally planned for five years, has extended the construction time to ten years, and has yet to show signs of construction.

In the vision of the Heshan municipal government, the Heshan men's shoes industrial park, which has been planned for 5000 mu, has been planned to concentrate on production of shoemaking and tannery enterprises, and introduce famous international and domestic brand manufacturers into the park. The industrial park will be built into a modern industrial park with integrated service functions, which integrates production, R & D, logistics, warehousing, exhibition and gathering high-end resources of men's shoes.

At the same time, we constantly improve the shoe product quality testing center, R & D center, shoe material market and other supporting construction, and promote the development of Heshan shoe industry towards production base, marketing network, product branding, market internationalization and scale grouping.

However, two years ago, the project that had made many shoe makers' heartbeat failed to get the corresponding land targets.

This makes many shoe factory owners have some regrets: the Heshan shoe industry "the biggest action" of the two projects can not be effective in the short term.

Loss of capital

Huang Zhihong's factory in Tongren has already started production, although it can only carry out leather processing now, and the pportation cost of each pair of shoes is more than 80 Fen, but the cost of labor there is more than twice as cheap as here.

"It costs about ten yuan to produce one pair of shoes in Heshan, and only five yuan in Guizhou."

Huang Zhihong was not the first person to eat crab. Liang Yuanguang chose to build his own shoe factory in Tongren before he did.

Tongren is preparing to build a shoe base in Guizhou. Before the two enterprises settled down, the leaders of the municipal government came to Heshan for investment.

"There is no suitable land to go to Tongren, and Tongren still managed to give us two factories, though the two factories were not together."

Huang Zhihong is quite satisfied with the services of the Tongren municipal government.

Huang Zhihong and Liang Yuanguang's "leaving" may be interpreted as driving the logic of their own development: on the one hand, Tongren can not only provide the cheap labor force needed for the development of enterprises; on the other hand, there are good supporting policies and thirsty governments.

Is it a case? No statistics have been made, and shoe factories in Heshan whose output value is more than 20 million yuan will enter the statistical scope of the government.

"No government support and workers can't solve these two problems. They are always bottlenecks."

Deng Renyi said that from 2004, the wages of Heshan workers increased by 15%-20% per year, and the average wage of workers was more than 4500 yuan.

Deng Ren Yi calculates an account. If the factory does not start, the cost will be nearly 500 thousand yuan a month.

"We talked with the labour bureau about this problem, and the publicity was not enough. The labour bureau had no money.

Actually, these shoes factories give you 2 thousand yuan and 300 thousand yuan enough. You helped them to advertise a month ago and a month later.

But the labor bureau did not agree. "

However, many manufacturing city governments have already started to work together: on the one hand, they are sending labor agencies to labor resources provinces such as Sichuan and Hunan to attract foreign labor to come to work. On the other hand, a provincial vocational training base has been set up to attract people from around Zhou to train and stay in local employment.

Huang Zhihong said, "in fact, everyone is willing to do something profitable, and the government may not want to understand it."

In fact, the "made in Heshan" hidden beneath the paper figures is amazing output value, but no one is willing to mention it voluntarily.

"Every factory has an endless list of workers. One worker can produce 4 pairs of shoes a day, and how many workers can produce 80 thousand?" Deng Renyi said that the output value of the footwear industry in Heshan has already exceeded 10 billion yuan.

Laymen may not know that they may not be able to distinguish their shoes from the dazzling shoes of the shopping malls, which are made in Heshan, but the factory owners in Heshan can easily distinguish them from the design and work of shoes.

However, even the "made in Heshan" from today's price war is clearly not going to be "suicidal" production under the pressure of traders and branding. In the long run, the "discretion" in the hands of Wenzhou businessmen and their agents began to turn to "Heshan manufacturing" with certain added value and bargaining power. But what seems to be lacking in Heshan footwear industry is the only opportunity to polish Heshan manufacturing.

"Before the delivery, I am the uncle. After delivery, they are the big Ye."

The different circumstances of trading with traders in a month made Deng Ren feel the psychological gap of "becoming grandson after being a big uncle".

There are traders among Deng Ren Yi. For businesses and governments, on the one hand, these traders have established trade relations for Heshan enterprises and other regional companies. On the other hand, their existence means that a lot of money and taxes are slipping away.

"The loss of tax revenue in Heshan footwear industry is very large, and the suppliers have to get the invoice elsewhere."

Huang Zhihong regrets that these taxes can not be fully collected in Heshan.

Unfortunately, almost all the men's shoes made in Heshan OEM do not see the "Heshan" sign. "The shoebox is provided by the Brand Company, which will only play the name and address of the company that he works with."

And the shoe factory owners in Heshan still need to worry about this: Although there are contracts, the shoes produced in Heshan are not reflected in the products, so they have to worry about the risks caused by "off-site production".

Perhaps there is no shoe factory owner, therefore, "brand" and "agents" for agents, but this situation has not changed, "get the plate" is sooner or later.

"The government can concessionary chamber of Commerce, or in the form of" shoes office "in the form of unified management of" made in Heshan "brand.

The industry suggested that the government and the chamber of Commerce take the lead in convening the brands and agents to Heshan, and select the brand dealers from the Heshan shoe factories to change the pattern of the past brands selecting Heshan enterprises.

But all this depends on whether the "made in Heshan" brand can start, without collective voice, and can not challenge the original order.

Of course, this road is still quite long. Can Heshan polish the aura of "made in Heshan"? We can only wait and see.

Guo Wei, Secretary of Heshan Municipal Committee:

Making big manufacturing capital

In February 23, 2012, after six months, Guo Wei once again boarded the report table of the plenary session of the Heshan municipal Party committee and made a work report on behalf of the Standing Committee of the municipal Party committee.

Unlike the Heshan municipal Party committee's plenary report on the eleven plenary session, this time, Guo Wei's report points out that we should "check the problem".

The party secretary, who has been in office for less than three years, has been praised as the "squad leader" of Heshan. As early as last September, at the eleven plenary session of the municipal Party committee, he said, "we will fulfill our duties and take the lead in giving our enthusiasm and strength to Heshan as a hot spot and dedicate to the Heshan people who are diligent in their wisdom and wisdom. I sincerely hope members will support and supervise them."

At the beginning of his term of office, Guo Wei began to adjust the general plan of land utilization, and invited the Singapore planning master to compile three plans, namely, overall planning for urban and rural areas, urban planning and Binjiang new district planning. The plan was divided into three major functional areas, namely, the northern business plate, the central industrial plate and the western ecological plate block.

In his vision, Heshan has become a fine city, a low-carbon city, a happy city, and a city full of cultural charm.

This time, Guo Wei threw the "five reasons" to the members present: why does the scale of Heshan's economy do not match the geographical advantages? Why has Heshan never formed an industrial cluster? Why is Heshan's economic development efficiency low? Why does Heshan's urban face change little? Why do social instability factors increase?

"Heshan has been brilliant for a while, ranking among the top 100 counties in the country.

Despite the rapid growth we have maintained for many years, we are looking at the current trend of competition, which has shown weakness in the new round of regional competition.

Guo Wei said.

The "five reasons" reflect Heshan's embarrassment and regret that Jiangmen has lost its position as a bridgehead to the Guangfo economic circle. However, behind the embarrassing regret is the first step taken by Guo Wei to overcome his handicap.

Guo Wei's intentions are obvious from the theme of the report on "accelerating pformation and upgrading and promoting happiness sharing".

The local leader, when he was the Secretary of the Taishan Municipal Committee, once said, "many problems that can not be solved in the past can be solved if we adjust our ideas through innovation.

If we follow the same old way, we may encounter a dead end and encounter difficulties.

In the final analysis, "mentality decides the way out."

Obviously, pformation and upgrading is not a simple slogan, but a huge systematic project.

However, for the next step in Heshan, how to "suit the remedy to the case" and break it up, in fact, as a "squad leader", Guo Wei had a strategy in mind.

What is his strategy? What kind of attitude will Heshan break out in the future? Around these topics, China Leather weekly conducted an exclusive interview with Guo Wei, Secretary of the Heshan Municipal Committee.

Fight "three battles"

Reporter: during your three years as party secretary, a series of notable changes have taken place in Heshan. This can not help but let people look at the fringe cities in Heshan's Pearl River Delta.

So, as a leader, can you give us a specific introduction to Heshan's economic and social development?

Guo Wei: Heshan is a new industrial city in the Pearl River Delta.

After years of development, six pillar industries, such as textile, clothing, printing, shoemaking, electronic and electrical appliances, chemical industry, hardware and stainless steel manufacturing, have been formed, forming a certain scale industrial production system.

Hardware and bathroom manufacturing enterprises are mainly located in the site Town, the total development history is only 10 short years, but there are more than 380 hardware and bathroom enterprises.

Heshan also has the title of "China's printing industry base". The two giants of the printing industry, the Heshan Investment Company Limited, which invest HK $1 billion 500 million, and Heshan Hongxing Printing Co., Ltd., which invest HK $500 million, are all located in Heshan city.

On the basis of developing and expanding traditional industries, the Heshan municipal Party committee and the municipal government have made great efforts to introduce advanced manufacturing and emerging industries in recent years. Heshan industrial city has been awarded the "National Torch Program Jiangmen new material industry base".

In 2011, Heshan realized a GDP growth of 18 billion 875 million yuan, an increase of 12% over the same period of last year, an increase of 11 billion 266 million yuan in the above scale industry, an increase of 14.8%; the general budget revenue of local finance increased by 1 billion 408 million yuan, an increase of 21.3%; and the fixed assets investment was 9 billion 128 million yuan, an increase of 12%.

Heshan's comprehensive economic strength ranks the forefront of Jiangmen. In 2009, it ranked the fourth place in the comprehensive development of county economy in Guangdong province.

Reporter: you are here.

At the two plenary session of the eleven session of the municipal Party committee, Heshan said that due to the fact that the industry did not form clusters and land index restrictions and other factors, China has shown weakness in the new round of regional competition.

We also get a key word from your report, that is, pformation and upgrading.

Next, how will you plan systematically the pformation and upgrading of Heshan?

Guo Wei: in the campaign of pformation and upgrading, Heshan is now undertaking three aspects of its work:

The first is to build the two municipal development platform: Heshan low carbon Valley, relying on the ecological environment of the Central Valley of Heshan, integrating Heshan industrial city and Hecheng, Gonghe Industrial Park, focusing on the development of new light source, new energy, new materials, new equipment, new medicine and other strategic emerging industries.

Strive for five years, low carbon output value exceeds 30 billion yuan, become the first engine of Heshan industry.

Heshan logistics port is planning to build an international logistics port which integrates logistics, warehousing, bonded, advanced manufacturing and supporting services. It focuses on following up the world's largest logistics enterprise, the American Pulus project, and the specialized markets of steel, agricultural and sideline products, textiles, etc., to boost the development of 100 billion logistics markets and gradually build Heshan into a hub city on the West Bank of the Pearl River.

The two is to cultivate high-end industries and pursue efficiency economy.

We should seize the trend of integration in the Pearl River Delta, seize the high-end links in the industrial chain, and actively introduce all kinds of enterprises to set up headquarters and financial centers in Heshan and develop regional headquarters economy.

We should speed up the construction of the new international shoe material and leather hardware procurement center and the Shan Shan sanitary ware trading city, prompting Heshan to pform from "goods producing area" to "commodity distributing center".

The implementation of the general plan for the development of modern agriculture in Heshan will focus on the development of high-efficiency eco agriculture, and promote agricultural pformation and increase farmers' income.

The three is to cluster high-end talents and develop innovative economy.

Relying on the compound advantages of Heshan's ecology and location, creating a good working and living environment, formulating high-level talents introduction plan, setting up a special fund for innovation and entrepreneurship, accelerating the agglomeration of production factors such as talent, technology, capital and information, and promoting Heshan to upgrade from "migrant worker paradise" to "entrepreneurial paradise".

The next five years will be a critical period for Heshan's leap forward development. In particular, the integration process of the Pearl River Delta is speeding up. Industrial pfer, factor mobility and information sharing will be more frequent and convenient. This brings new opportunities for accelerating the pformation and upgrading of Heshan's bridgehead.

Making big manufacturing capital

Reporter: your report says, "why has Heshan never formed an industrial cluster"?

As far as shoe industry is concerned, the earliest industry in Heshan not only has formed a certain scale, but also enjoys a reputation all over the country, but it seems that shoe companies are still fighting their own way.

As the helmsman of Heshan, what are your thoughts on the future development of the footwear industry in the strategic plan of promoting pformation and upgrading?

Guo Wei: the goal of the government is to hope that enterprises can upgrade and pform. The footwear industry in Heshan should seize the opportunity of industrial policy adjustment and take the road of new development of green ecology, quality safety and circular economy.

Heshan has the regional brand of "China's men's shoes production base".

The footwear industry cluster effect in Heshan is obvious.

At present, the special industrial belt is mainly located in Sha Ping Street office, Ya Yao Town, Gu Lao town and Gonghe town. The men's shoes brand is in the leading position among the domestic counterparts.

Although the vast majority of shoe factories are still foundry production, the difference with other parts of the shoe industry is that we are not simply processing, but R & D and processing bundles, forming an industrial "manufacturing capital".

Heshan can develop more than 1000 pairs of shoes every day, and the R & D design capability is stronger than that of any shoe manufacturing base in the world.

Because of its good workmanship and strong research and development, BELLE group, the largest footwear company with the largest market value in the world, even shares 30% of Heshan Yi Gao shoes.

Now, the municipal Party committee and the municipal government plan to build 5000 acres of Heshan.

The industrial park will guide the production of shoemaking and tannery enterprises to concentrate production, and introduce international and domestic well-known brand manufacturers into the park. The industrial park will be built into a modern industrial park with integrated service functions, which integrates production, R & D, logistics, warehousing, exhibition and gathering high-end resources of men's shoes.

At the same time, we constantly improve the shoe product quality testing center, R & D center, shoe material market and other supporting construction, and promote the development of Heshan footwear industry in the direction of production base, marketing network, product branding, market internationalization and scale grouping.

We hope that through the government guidance, park support and enterprise operation, more international and domestic famous brand manufacturers will enter the industrial park. On the one hand, we will promote the economic development of Heshan, and on the other hand, promote the upgrading and structural adjustment of Heshan shoe enterprises.