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    Two Different Survival States Of Wenzhou Shoe Enterprises

    2008/9/1 0:00:00 10269

    Wenzhou

    In the afternoon of August 12th, with the gradual decline of aircraft, Wenzhou entered the eyes of reporters: not many high-rise buildings, it seems not very modern, airport terminal building is not luxurious.

    When entering the airport, less than 1000 square meters of luggage hall, the white walls are decorated with colorful billboards of various local products.

    At this moment, reporters feel the bustling manufacturing industry in Wenzhou.

    However, this prosperity seems to be just a representation.

    Many Wenzhou enterprises are struggling on the brink of life and death.

    Of course, there are also enterprises that live very well.

    The sluggish industrial parks, such as "rising costs and the depreciation of the US dollar", have brought tremendous pressure to the survival of Wenzhou's private manufacturing enterprises.

    In the Longwan Development Zone, one of the four major industrial parks in Wenzhou, the reporter saw such a scene: the development zone is sparsely populated, and the gate of Hua Shan Clothing Co., Ltd., No. 2 Xin'an Red Road, is closed.

    Local people told reporters that the clothing factory used to be large in the local area, with 4 floors of nearly 10000 square meters of factory buildings and more than 2000 workers, whose products were mainly exported.

    Affected by the devaluation of the US dollar and the impeding export, the company began to struggle last year and constantly cut down on its employees. By the end of last year, the enterprises had failed because they could not support them.

    Beside the factory gate, a notice of execution of the "labor dispute arbitration committee's payment of Fu Jun Feng and other 286 people's wages" is also issued by the people's Court of Longwan, Wenzhou.

    About 500 meters away from Hua Shan dress, another private enterprise named "beauty dress" is also in a semi closed state.

    "From this year, due to the deterioration of the international economy, orders for enterprises are much lower than in previous years."

    The company's boss said that the business was mainly for foreign investors, and the profit was not high enough.

    After the depreciation of the US dollar, some orders simply did not dare to pick up.

    He said, "it is better to do business than lose money."

    The happy shoe factory owner and the clothing industry in Wenzhou are not better than the garment processing industry.

    There are hundreds of shoemaking enterprises in the three industrial zone of Zhuang Yuan in Longwan. One of them is the natural shoe company, which has 3000 employees.

    The company has its own brand and its products are mainly sold domestically. This company is not only shocked but also considered an opportunity for enterprise development.

    Liu Liaodong, general manager, said: "at the beginning of the reform, the seller's market made the Wenzhou people who knew the foresight get the first pot of gold through the OEM production.

    It may be inertia. For many years, Wenzhou enterprises still dominated by OEM and lacked their own brands.

    After 30 years of development, China's manufacturing industry also has capacity overcapacity.

    Liu Liaodong said that enterprises without independent brands and technological content are bankrupt in competition.

    According to his disclosure, a shoe factory after the nature workshop has less than 400 employees, mainly for other brands processing, is now in a state of shutdown; and another shoe factory next to nature, the boss often ran to nature company recently, expressed the hope to be bought.

    According to the statistics of Wenzhou Statistics Bureau, Wenzhou has more than 30 000 private enterprises, and this year, more than 20% of the enterprises are cut down or half stopped.

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