Quanzhou Shoe Enterprises Put Forward Internationalization Strategy To Expand Overseas

In recent years, the EU anti-dumping investigation on Chinese shoe enterprises has become more and more intense, and textile, clothing, toys, bags and other industries have encountered technical barriers frequently, and export situation is quite grim.

In the domestic market, the competition of foreign trade enterprises and the expansion of domestic brand sales network is more intense.

Therefore, "going out" has become the only choice for some enterprises.

Like the "diversification strategy", many Quanzhou enterprises have put forward the "internationalization strategy" in recent years, and began to step out of the country and plan for overseas expansion.

Looking at the global spring enterprises to plan overseas expansion, in March this year, at the 2008 autumn and winter new products conference and ordering meeting, PEAK first offered the banner of "global order meeting", and upgraded the order range from the whole country to the whole world.

At the order meeting, PEAK invited more than 40 distributors from dozens of major countries in Asia, Europe, Oceania and the Americas in addition to inviting past domestic agents and distributors.

As one of the earliest strategic enterprises to launch "brand internationalization" in China, PEAK sponsored the European Basketball League and Australia basketball team earlier.

PEAK has basically completed the network laying of the main markets in Asia, Europe, South America and Oceania, according to the person in charge.

In the apparel industry, many brands of clothing are testing the overseas market as they stand firm in the domestic market.

At the beginning of 2007, Li Lang represented China's men's clothing for the first time on the stage of Milan international fashion week, and took the first step of brand internationalization.

At the end of last year, the purpose of the Taiwan tour was sponsored by nine Mu Wang, who was preparing to open a store in Taiwan.

Earlier, Green's children's wear brand in Quanzhou began to build stores in Saudi Arabia, Russia and Turkey.

The establishment of exclusive stores abroad means that Quanzhou enterprises are already exporting brand names, which is hard to imagine in the past.

Take shoes as an example. In the past, Quanzhou shoes used to go abroad for a long time in the wholesale market, and at the terminal, they entered warehouses or reduced fleas market stalls.

But over the past two years, with the continuous development of brand awareness in Quanzhou enterprises, more and more enterprises have chosen to build their own channels in overseas markets.

Rising cost, cheap labor force built on overseas production bases has always been a comparative advantage of "made in China", but this advantage is gradually losing.

"This year's labor cost has increased by 30%%. The monthly salary of 1000 yuan has been able to bring in a worker. If the monthly salary is not 1300 yuan this year, the workers will not come home."

The head of a toy enterprise in Anhai told reporters.

In economics, there is a noun called "wage rigidity", which means that wages can only rise and fall.

Therefore, the labor expenditure of large enterprises is even larger.

It is understood that some brand enterprises in Quanzhou have made clear regulations on personnel wages in the past few years. According to different levels of staff, different upgrades should be raised every year.

"Even if each person raises only 100 yuan, for a factory of more than 1000 people, it will cost more than 100 thousand yuan a month."

Mr. Chen, the head of a garment enterprise in the East China Sea, says that this does not include the cost of management.

In order to find cheaper labor force, from the second half of last year, some shoe materials and accessories enterprises in Jinjiang have gone abroad frequently to inspect Vietnam, India and other foreign markets.

The fact is that some of the world's big names, such as Adidas and Nike, have also appeared in "Vietnam made" products.

Jinjiang Guo Hui shoes factory set up the factory to Vietnam several years ago, and worked together with local distributors to produce Kuwait's brand shoes.

It is understood that the national Hui has already had 4 production lines in Vietnam.

With the help of cheaper local labor force and preferential policies supported by local governments, the new production base has a certain cost advantage compared to the domestic shoemaking enterprises.

Quanzhou Baofeng Shoes Co., Ltd. plans to build factories overseas. It has been inspecting Philippines, Vietnam and Indonesia last year and intends to locate overseas factories in Indonesia.

This phenomenon is more common in Quanzhou's stone industry.

It is understood that at present, in Tanzania, Kenya, South Korea, Vietnam, Indonesia and other 14 countries and regions, all have the shadow of Quanzhou stone enterprises.

They appear in the form of joint ventures or wholly foreign-owned enterprises.

At present, only in Africa, at least 5 Quanzhou enterprises have invested in 8 stone processing plants, with a total investment of nearly 100 million yuan.

Southeast Asia has become the first choice of Southeast Asian sports brands in Southeast Asia. Quanzhou, which has opened up its market in Southeast Asia, has Anta, XTEP, Hongxing Erke, 361, and so on. Overseas markets are mostly PEAK in Europe and Australia, and this year it will be launched into the Southeast Asian market.

In the Southeast Asian market, XTEP has developed rapidly, and has opened stores in Malaysia, Thailand, Singapore and other places, and has drawn up brand advertising programs in Malaysia and other countries.

This year, XTEP will increase its brand promotion efforts in Singapore, London and New York, and encourage powerful distributors to go abroad and bring XTEP to the whole world.

Southeast Asia is also the main market for Anta brand to expand overseas. At present, Anta has stores in Philippines, Singapore and other places.

It is revealed that in the future, Anta will open more branches in Southeast Asian countries.

Reporters also learned that the first station overseas planned by Li Lang will be located in Southeast Asia.

The Southeast Asian market has also attracted official attention and is becoming the driving force for enterprises to enter Southeast Asia.

In April this year, the Jinjiang authorities organized a trip to Southeast Asia, including 10 enterprises such as Heng An, seven wolves, Xun Xing and so on. They went to Kampuchea, Thailand, India and other places to investigate the investment environment.

According to the analysis, the hope of the relevant parties is to use this as a "springboard" to take all the foreign trade and economic cooperation modes that are in or out of the country, and to set up overseas processing plants matching local industries, so that both external resources and trade barriers can be avoided.

When it comes to choosing the Southeast Asian market, the heads of many Quanzhou enterprises have expressed a consistent view.

They believe that Quanzhou is a famous hometown of overseas Chinese. The early stage of Quanzhou's private economy is also dependent on overseas Chinese capital. Most of them are from Southeast Asia.

Owning a large number of overseas Chinese resources is the reason why Quanzhou enterprises first choose Southeast Asia. With the help of local overseas Chinese, it is conducive to the rapid opening of Jinjiang brand.

Overseas exhibitors looking for foreign agents.

Mr. Wang is the head of a machinery factory in Quanzhou. Last year, he went to Europe for a visit. The main purpose is to visit some local exhibitions.

This year, he is preparing to attend the exhibition. His purpose is very clear. He will look for local agents through exhibitions.

Previously, the main markets of the company were in Southeast Asia.

Mr. Wang told reporters that enterprises want to expand overseas markets, to participate in overseas exhibitions is a more direct way.

"Many export enterprises in the past are concentrated in Southeast Asia, and they are not very familiar with the new market. They can only learn about some local consumption by attending some professional exhibitions abroad."

Mr. Wang said, at the beginning, it is not suitable for you to make a brand. It would be better to ask local distributors to help.

"After all, the locals are familiar with local resources, customs, culture and other factors. In the early days, they invited local people to come to the agency, making it easier to enter the foreign market, and the brand was easy to accept locally."

Internationalization strategy has more and more significance for many springs enterprises.

When Anta put forward the internationalization strategy of "deep plowing China, layout Asia Pacific and looking global", it said that by 2010, sales of overseas markets will account for 10%% of Anta's total sales.

However, for the construction of production bases overseas, some business owners also admitted that they were not ready.

"The local policy environment is not very familiar, and effective management practices in China are not necessarily feasible outside."

A clothing business person said that although overseas does have comparative advantages in labor and land, it is not necessarily high in terms of labor efficiency, so it will not rush to try.

Industry analysts pointed out that international brands entering the Chinese market must first face a series of localization issues.

Among them, localization of talents has become the first priority.

Mr. Wang believes that "the lack of talent will be the biggest problem for Quanzhou brands to expand overseas."

In addition, how to adapt products to the local market and brand localization is also a problem.

Some analysts have pointed out that the internationalization of Quanzhou enterprises must be internationalized, internationalized and internationalized.

For brand enterprises, the internationalization of the domestic market is the only way to talk about internationalization.

Conclusion: the macro economy is always cold, hot and variable, and the current situation of "tight inside outside" is a challenge for most enterprises.

How to deal with change, survival and development is the key factor that determines the future and destiny of an enterprise.

We are surprised and delighted by the efforts and potentials of Quanzhou's traditional industries upgrading and upgrading from many sources, creating brands, building channels to diversify and internationalize.

This series of reports on "cold outside industry and tight observation of Quanzhou industry" will come to an end. In view of the impact of the current macro environment on Quanzhou's private economy, it may not be comprehensive and maybe not deep enough. But we see the spirit of Quanzhou entrepreneurs fighting hard to win, hoping to enlighten the vast number of Quanzhou enterprises.

In the future, we will continue to focus on the new changes in Quanzhou's business sector and record them in the first time.