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    China'S Footwear Industry Has Many Advantages To Be Replaced.

    2008/9/28 0:00:00 10277

    Footwear Industry

    Both inside and outside the industry are worried about the status quo and the future of China.

    In fact, this worry is unnecessary. China not only keeps the cost advantage, but also improves its technological superiority rapidly.

    In the short term, China's manufacturing is hard to replace. Many experts say that the advantage of China's manufacturing can be maintained for at least 10 years.

    "The advantages of manufacturing in China are still obvious." I think China's manufacturing advantages have not been replaced.

    At present, the grim situation faced by China's manufacturing industry is just the performance of China's manufacturing industry.

    The world is inseparable from China's manufacturing. "

    Wang Zhentao, chairman of AOKANG group, a famous shoe enterprise, said in an interview, "but the pformation of China made manufacturing is imminent. We can not simply rely on low prices to compete in the international market. Enterprises should extend from the" smiling face "to the" smile curve "at both ends of design and R & D, and really go to China to create.

    For example, he said, shoes do not seem to have much technical content. In fact, only last year, AOKANG group declared that there were as many as 50 patents on products and technologies, and these patents have been used in AOKANG's 2008 Olympic etiquette shoes, GPRS positioning shoes, breathing shoes, shock absorbing shoes, retractable high heels and other functional shoes.

    Ai O Smith, general manager of the (China) water heater company, also said: "in the international market, China's manufacturing cost advantage should have a relatively long-term maintenance.

    But simply relying on the labor cost advantage is a dead end, and it is necessary to create comprehensive competitiveness.

    Therefore, it is the natural rule of market economy to eliminate a group of enterprises that only rely on labor cost to seek competitive advantage.

    It is not necessarily a bad thing to collapse some of the small and medium-sized enterprises.

    Chen Naixing, director of the SME research center of the Chinese Academy of Social Sciences, said, "but the problem is that the number of SMEs must have a reasonable limit.

    I think the elimination rate within 5% is reasonable. "

    "Even if there are some changes in China's economic environment, the focus of global manufacturing will not be able to shift from China.

    We are still optimistic about China's manufacturing industry. "

    He Jieming, senior global director of McKinsey Co (Jimmy Hexter), believes that this is the first labor pains that China has suffered after more than 10 years of golden development, and that any country will encounter in the process of restructuring and upgrading.

    It is not wise for multinational companies to consider turning manufacturing bases to Vietnam and Malaysia.

    By comparing the advantages and disadvantages of China and the surrounding manufacturing base, we will find that the Chinese market is the largest, the talents are good and the supply chain is perfect. If you turn the manufacturing base away from China, your supply chain will become very complicated.

    In fact, China's industrial chain is relatively complete, only needs to be optimized, and the industry supporting advantages are difficult to surpass in the short term of manufacturing industries such as Vietnam and India.

    The advantages of China's labor cost also lie in the fact that a large number of relatively cheap labor force still exists in the central and western regions, but the supply of labor around the main industrial cities along the eastern coast is decreasing.

    At the same time, China's self-developed R & D capabilities and advantages are rapidly improving, and more high value-added products are being produced, and the technological content of export products has been rapidly improved.

    Industrial upgrading is turning to service industry and R & D innovation. It is an inevitable trend that China's future industrial structure will pform from resources and labor intensive to capital, technology and even information intensive.

    But this pformation is not so easy to achieve.

    Professor Xu Xiaonian, CEIBS believes that the specific requirement of economic pformation is to change from the quantity of pursuit of resources to the efficiency of resource utilization, from investment driven to consumption led, from capital and resource intensive manufacturing to labor-intensive service industry.

    For enterprises, pformation is to shift from capacity expansion to innovation, from cost control to R & D.

    "In the future, China's industrial structure will develop towards the direction of R & D, and get out of the predicament of low-end manufacturing and labor-intensive enterprises.

    Therefore, Chinese enterprises should speed up pformation and upgrading, increase R & D efforts and brand building efforts, and cultivate the core competitiveness of enterprises.

    Wang Zhentao said, "enterprises should also expand the breadth and depth of opening up, and strive to enhance their international competitiveness. At the same time, we should innovate ideas and ways of cooperation on the basis of mutual benefit and win-win results.

    In this sense, 2008 will be a good opportunity for China to achieve leapfrog development.

    Li Rucheng, chairman of YOUNGOR group, is more confident: "manufacturing is an eternal industry, and garment manufacturing is no problem for decades.

    In China, the rise in labor costs is normal, and the key is whether products can be upgraded or not.

    The grades of products should be improved and the value should be raised. Ultimately, prices can be brought up and greater profits can be obtained. "

    "In the context of rising costs, companies need to consider how to open source and throttle, but think more about how to innovate," said Sun Yongling, President of the consulting firm.

    She believes that if enterprises are unable to innovate at the moment, they can find partners and go outside to buy and merge businesses.

    "Why not?

    Chinese enterprises now have such capability that they can go abroad to acquire technology well.

    I think we should go this way. "

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