Survival Of Jinjiang Shoe Enterprises

2007, half of the sinking and half struggle, a few years ago, the southeast small town Jinjiang is famous for its "Jinjiang mode". Jinjiang sports shoes are popular throughout the country, becoming a dazzling scenic spot for the Chinese footwear industry. The "Jinjiang mode" is also known as the "Wenzhou model" and "South of Jiangsu mode". It is also called the three largest private economy in China.

A few years later, when Wenzhou and South of Jiangsu became strong and strong, and farther and farther away, Jinjiang began to pay debts for the original "Jinjiang mode".

In fact, from the very beginning, the Jinjiang mode is a low-level industrial cluster mode. The biggest phenomenon of this mode is "imitation".

It is this simple "phenomenon" imitation, rather than core learning, that led to a slowdown in growth in 2006.

To sum up, the Jinjiang model imitates the speed and scale of enterprise development, rather than healthy and orderly development and stable profits.

At the beginning of the rise of Jinjiang's sports shoes industry, the size and size of the sports shoes were chosen.

Jinjiang shoe enterprises to achieve the expansion of the national market in the shortest time, regardless of the scale of cost increase.

In this process, speed covers the deficiencies of strategy, management and so on.

Obviously, the growth of the geometric multiplier at the beginning of the development has encouraged all of us. Almost every Jinjiang shoe manufacturer has reason to believe that they will have another 100% growth. In the next few years, it is possible for them to have China's Nike, Adidas, Reebok, Puma and CONVERSE. No one believes that bad luck will come to its head.

They do not know that in recent years, the fast growing sports shoes industry is bound to have a sharp pullback like the stock market.

As long as any accident occurs, it is possible to cause panic drops.

However, what is even more surprising is that although the crisis has been buried for several years, the fuse that triggered the crisis is not the quality of Jinjiang sports shoes or other reasons, but the pformation of the national macro economic environment.

Since 2006, China has experienced more economic changes than any other year.

The property market is skyrocketing, the stock market is skyrocketing, inflation is tight, and the storm is blowing again and again to Jinjiang shoe companies, far beyond the original expectations.

The huge changes that have taken place on China's land will not cause a crisis in the industry. Only because Jinjiang sports shoes have overdrawn too much resources in the process of rapid development, they have not left any buffer space for themselves.

In recent years, in order to achieve the short-term scale growth, most of Jinjiang shoe enterprises have chosen such a way without cost supporting agents.

At the same time, they overlooked some of the fundamental "truth" as they poured into the resources.

The agents of sports shoes were originally a group of slower growth of wealth. In recent years, the ups and down of the property market and the stock market stimulated the investment passion of agents. The original capital they had not richly turned to the property market and stock market with higher return on profits.

If the capital is pumped out, it will not be able to pay in due time, high pfer fees, decoration fees and store rentals.

In fact, even if agents are committed to sports shoes agency business and concentrate all their capital on their agency business, they still can not meet the growth rate required by enterprises.

In order not to let the channel drag on the road of rapid growth of enterprises, the support from Jinjiang shoe enterprises to agents gradually shifted from the initially conservative shelves and doors to the daring shops pfer, shop decoration, regional advertising and full cargo support.

The payment cycle for agents and agents is getting longer and longer, and the total amount of loans is also increasing.

This situation is getting worse and worse. Finally, almost every sports shoe enterprise accounts for tens of millions of accounts receivable, and hundreds of millions.

For Jinjiang shoe enterprises, whose capital accumulation is also not very rich, such a large amount of accounts should be far higher than their previous accumulated business over the years.

At this time, Jinjiang shoe enterprises are basically in a difficult position. The half-way will inevitably result in all their efforts, and to maintain the situation, we need to invest more capital.

All the old books have been used up, only by borrowing.

Originally, Jinjiang has rich channels of private lending. The special financing mode of the "bid meeting" has almost become the main financing channel for small and medium-sized shoe enterprises in the early days.

At the same time, on the one hand, the "standard meeting" funds also found the stock market and the property market. The investment channels with higher returns have been shrinking. On the other hand, Jinjiang's shoe companies are growing stronger.

After the difficulties of private lending channels, Jinjiang shoe enterprises began to turn to banks and seek bank loans.

At this time, the two problem contained the only "blood pfusion channel".

One problem is that the shoe enterprises in Jinjiang have been carrying out the manual workshop mode for a long time. There are too few investment in fixed assets and lack of necessary collateral. Banks are afraid to lend money based on risks. Another problem is that China has formally adopted a universal monetary tightening policy, and the amount of bank lending is controlled, and there is not much lending capital.