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    Shenzhen Shoe Enterprises Rely On Strength To Achieve Industrial Upgrading

    2008/8/23 0:00:00 10273

    Shenzhen

    Since last year, the "Matthew effect" in the economics of the strong Heng Qiang and the weaker weaker has become increasingly fierce in the footwear industry in Shenzhen.

    Over the past 1 years, the number of shoemaking enterprises in Shenzhen has decreased from more than 1200 to more than 800 at present, with a reduction of more than 30%. Most of the failures are small and medium-sized shoe factories which rely solely on production orders, and others are pferred to the mainland due to rising costs and declining profits.

    To cope with this, some well-known shoe companies with independent brands have gone up against the market, accelerated the pace of expansion, and even entered the capital market.

    Last year, BELLE international, which was founded in Shenzhen with BELLE shoes, was successfully listed in Hongkong. It has acquired the European FILA China operation rights, Hongkong OSS Footwear Group, Jiangsu shoda shoes, Hongkong beauty Bao group and so on. It has become the first and second largest footwear business lock group in the world. In 2007, the turnover and net profit of the company increased by 87% and 102.7% respectively.

    In the face of this phenomenon, Sheng Bai Chi, President of Shenzhen Leather Industry Association and President of Belle International Holdings Ltd, believes that despite the unprecedented difficulties and challenges at present, the advantages of China's manufacturing industry will not change, and the overall market demand will not change.

    The present situation is not only a game between enterprises and buyers, but also a spontaneous adjustment process of the survival of the fittest in the industry. The enterprises that can survive will surely get better next year.

    In fact, the overall size of the footwear industry in Shenzhen has not been reduced, and exports and sales are still growing.

    At present, most of the footwear enterprises that develop well and expand rapidly in Shenzhen hold the sword of brand.

    Shenzhen's new BELLE shoes, BELLE, Staccato, Teenmix and other women's shoes, are among the top ten sales in the country in 2007, of which BELLE brand ranks first in China's women's shoes for 12 consecutive years.

    Even if it is a shoe manufacturer with OEM production, the impact of this round of industrial adjustment is relatively small as long as the processed brands are famous.

    The world's second largest sports shoes manufacturer, Taiwan long Dian group, has two major shoe factories in Shenzhen, including two workers, nearly 40 thousand workers, and the main processing factories of international brands such as Nike, Adidas, New Balance and K Swiss.

    Similarly, the business efficiency of Shengfeng, Bao Kai, Taiwan Wei, Jia Haoyun, and other high school enterprises, which were specially designed for famous women's shoes at home and abroad, did not fluctuate significantly.

    Industry analysts believe that structural adjustment is bound to go through a period of labor pains. Those enterprises with brand, R & D and market resource advantages will stand out, win more opportunities in the predicament, and accelerate the upgrading of the whole industry.

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