Anta: OEM Management May Not Be Suitable For Chinese Enterprises

In October 31st, sponsored by the entrepreneur magazine, the 2008 entrepreneur annual meeting and the "star 50" award ceremony hosted by the future media organization and Entrepreneur Club were held at the Shangri-La hotel in Beijing.

Zhang Tao, vice president of Anta Sports Products Limited, answers the hosts' questions in the theme forum of "China's economic pformation and new opportunities for industry".

Zhang Tao: indeed, Kappa is a miracle in our industry.

Anta has officially made this brand since 94 years ago.

I think the creation of this brand is more than just a Anta like a rocket. Some say Logo is like a hawk.

I think Anta has many unique features to run its own brand.

First, Anta's competitiveness is different from that of many brands.

As we all know is Nike, Nike is a very simple Pyramid operation mode, more channels of operation, research and development and production itself.

They are OEM.

Our Anta shoes account for 60% of their own production and less than 40% of their clothing.

The important reason why we keep manufacturing is the reality of China's current market.

Anta has so far maintained its vertically integrated model, which includes branding, channels and production, and importantly, we firmly grasp the characteristics of the Chinese market.

In the current state of China, OEM management or extension of value chain may not be a better choice for many enterprises.

In particular, the response speed of our 2008 entrepreneurs' annual meeting (afternoon) overtime, China's market is changeable.

It also has the ability to resist risks. If we keep some of our assets, we will respond very quickly when there is a big channel change.

There are also specific brand building aspects. In fact, we are telling jokes today that we have done something simple and have become a sporting goods manufacturer.

I think our company's boss thinks so. The ultimate pursuit of sports products should be a cultural industry. It should be a provider of lifestyle. If you sell Anta or Lining, you really enjoy the culture besides the fabric you enjoy.

There is still a gap between China's first-class sporting goods.

But we have been working hard, just like our slogan says we will never stop and have been working hard.