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    The 08 Year Will Be The Collapse Of Chinese Shoe Enterprises?

    2008/6/18 0:00:00 10421

    Bankruptcy

    This year, China's shoe companies are struggling.

    Guangzhou's shoe makers have not yet come out of the collapse, and shoe companies in Jinjiang are also in the closures.

    Why?

    Chinese shoes may be the most famous Chinese products in the international market. China is the largest footwear producing country and exporter in the world. According to the statistics of the United Nations Industrial Development Organization, our country's shoe production accounts for 63% of the world's total. If the average is calculated, everyone in the world can wear a pair of Chinese made shoes every year.

    However, since last year, Chinese shoes have encountered an unprecedented cold wave in overseas markets. First, the export of leather shoes has declined for the first time in more than ten years, and exports 1 billion 300 million pairs, down 6% compared with the same period last year. Then, in the first quarter of this year, the export volume of the whole footwear industry decreased by 5.3% compared with the same period.

    If Jinjiang is China's shoe industry, I'm afraid no one will object to it.

    The city, which originally made canvas shoes, has been pformed into a domestic manufacturing base for sports shoes overnight.

    Such a swift and gorgeous turn, even if the pnational giants such as Nike and Adidas are daunting.

    However, today's Jinjiang is facing unprecedented difficulties.

    Just like other labor-intensive industries in China, these shoemaking enterprises are struggling on the line of life and death under the heavy pressure of RMB appreciation, raw material and manpower cost raising and export shrinking.

    It is not too much to describe the status quo of shoe industry in Jinjiang with the idiom of crisis.

    "Packaging fees increased by 30% to 50%, soles increased by 30%, and technical workers' wages increased by 30%."

    On the one hand, RMB appreciation and rising raw material costs and workers' wages, on the other hand, the bank's tightening of money and the increase of private lending interest, the enterprise's capital chain unprecedented embarrassment.

    "Almost every week there are factories closing down, not receiving orders, but we dare not take orders again."

    A few days ago, in Chen Dai Town, Jinjiang, reporters learned that before and after the Spring Festival, there were 30 years of shoe making history in Jinjiang shoe enterprises, the first round of closure has occurred, and hundreds of factories have been shut down. According to industry analysis, this situation will continue, and small and medium-sized enterprises will be phased out.

    "Triangle debt can also kill people, owe too much money, and the outside accounts will not come back, so many enterprises are so down."

    Mr. Shi, who has two buildings with five storeys and tall buildings, has been engaged in shoe business since the 90s of last century. According to him, most of the cheddar enterprises started with family shops have been in debt relationship with each other.

    Usury is a common way of financing. Generally, millions of loans are borrowed from each other. Under the oppression of high interest rates, many enterprises often pay debts by assets.

    It is understood that the shoe enterprises in Chen Dai town are only about half of the peak period, and some of the brand enterprises have begun to move out, most of which are in disguised form of bankruptcy.

    In Jinjiang, Chen Dai town chamber of Commerce, reporters learned that, like this, there are about more than 20 small and medium enterprises that have failed before and after the Spring Festival. According to the official statistics of Jinjiang, in the first quarter of 2008, 309 of the 712 taxpayers of the shoemaking enterprises in the city had 309 National Tax warehouses declining or zero storage, compared with a decrease of 32 million 770 thousand yuan, down 40%, compared with the same period, Ding Ronghua told reporters that the shoemaking enterprises in Jinjiang generally reflected that a variety of factors played a central role, and the enterprises had reached the most difficult juncture in history.

    Ding Ronghua, vice president of Jinjiang chamber of Commerce, said: "including the depreciation of the US dollar, the increase in the price of petrochemical industry, the increase in the wages of workers, and the tightening of funds from banks. This is a combination of things. If it is simply a thing, it will be easier to do so, and now it will be very stressful for these export enterprises to concentrate on them. At this time, we are going to survive, not to seek development, and how to properly manage the business to tide over this difficulty."

    Fujian Jinjiang gathered a number of sports shoes brands such as Anta, 31st degree, del Hui, Jordan and so on. When the cost of shoemaking increased sharply, they all turned their attention to domestic sales, and looked for the market from domestic consumers. However, most of the domestic shoemaking enterprises still belonged to raw materials processing. For many years, they had been making export orders for overseas customers in Taiwan, Hongkong and Korea, Europe and the United States. Objectively speaking, these enterprises were accustomed to low price competition, and they all turned around to take the road of brand, which could not hydrolyze the thirst very much. What could they do to overcome the difficulties at the moment?

    Technology and environmental protection in recent years, Jinjiang shoe enterprises "new technology" emerge in endlessly.

    Although some people think that those are "flower boxing embroidered legs", the concept of speculation is the majority.

    But it is undeniable that some leading enterprises are trying to innovate in technology and reflect differentiation.

    The learning ability of Jinjiang enterprises is very strong, from the earliest "star + advertising" brand flow to the current "technology flow" and "capital flow".

    Under the example of a successful example of a leading enterprise, it seems that overnight, technology is the biggest selling point in the market today, and we realize that listing can bring endless benefits. Therefore, everyone is making every effort to develop R & D, and make every effort to prepare for listing.

    It is called "flow" because it has begun to form a trend and has a certain scale.

    In terms of ecological and environmental protection, although we have seen some "signs", this kind of symptom is not yet successful. Only a small number of foresight enterprises are involved.

    As Mr. John Larsen, chairman of the World Sporting Goods Federation, stressed, Chinese enterprises play an increasingly important role in the world sporting goods industry. They should make greater obligations in environmental protection, after all, "people are more powerful."

    We expect that after the leading enterprises launch the brand flow and technology flow, the next one is "environmental protection flow".

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