How Does The Clothing Industry Face The "Big Winter"?

Lev Tolstoy is in "

Karenina said, "happy families are all alike, but unhappy families are different."

The "family" can be changed to "enterprise". In the Chinese clothing market, the brand names of the above garment enterprises have enjoyed a high reputation and can be described as "the brand that grows with us" in the minds of consumers.

However, this day is coming. These brands no longer grow old with us.

It was too late to say goodbye, and disappeared from the market.

In those days, the clothing enterprises that called "thousand cities and ten thousand shops" mode were facing a large area of "shutting down".

Many people have a pity for the "odd event". After all, an entrepreneur used all his youth and effort in a brand operation, but he didn't get the corresponding reward.

It may be more cruel for an entrepreneur to lose his lifelong career than to make him lose fame and gain.

Fame and wealth are like smoke, sooner or later they will disperse.

A lot of enterprises have once been an example -- the news of "boss lost contact" suddenly came out of the company, which undoubtedly set a warning bell for clothing enterprises.

It is very dangerous to boldly borrow money, or even to borrow high interest loans from the public, if we recklessly greedy for a lot of money and knowing that there is a high risk of listing and financing.

The listing of the company did not bring the expected high financing to the enterprise, instead, it destroyed the original good brand in the heavy debt burden.

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The market is cruel. The Chinese textile and garment industry is highly vulnerable to the macroeconomic situation, and the market risk itself is not predictable.

Some economists have analyzed that when the macro-economy develops to a certain stage, there will inevitably be a cyclical adjustment. This adjustment period usually means economic structural pformation and industrial upgrading.

In 2014, the retail industry development trend report said: "since 2012, with the development of the economy and the maturity of the consumer goods market, consumer psychology and consumer shopping methods have undergone tremendous changes. China's retail industry has entered the second quarter of reform.

The focus of the reform is improving quality and enhancing efficiency, focusing on consumers and carrying out pformation and innovation in an all-round way.

Bain data showed that the growth rate of FMCG market declined from 15% in 2011 and 10% in 2012 to 4.6% in the first quarter of 2014.

All levels of cities showed an increase in size regardless of size.

Annual household expenditure increased from 9% in 2012 to 4.6% in 2013.

With the deepening of urbanization, the number of urban households has increased by 2.6% annually, contributing to the overall growth of total sales volume.

Bruno lnner said: "the days when brands grow rapidly based on the strong growth of their category is gone forever, especially in the first tier cities."

All data and analysis are hinting at the macroeconomic downturn. Although the overall development of the retail industry has been increasing, it is undeniable that the overall demand has been declining, and that enterprises are experiencing a severe winter since the reform and opening up.

In such a big environment fluctuations, no enterprise can live steadily and steadily, and such a period will not give any enterprise with a breath of internal management.

Even the enterprises with mature management mode can not avoid risks through the established system and management mode in the economic downturn, let alone the existing clothing enterprises that have many difficulties in operation. If the enterprises predict and judge the wind direction and add to their own capital problems and internal enterprise management problems, they will probably play the tragedy of the park.

The bankruptcy of large scale debt enterprises will result in the Domino effect, causing many upstream and downstream enterprises to be implicated.

Macro environment and positioning

Uncontrollable external macro environment is an objective existence for all enterprises. Now the macro environment will not necessarily give the entrepreneurial opportunities of "how big the dream is and how big the world is". Many entrepreneurs are full of enthusiasm and hard work from morning to night. But the reality is cruel. Today's market environment will not give you the corresponding reward because of your effort.

With the growing maturity of consumer concepts and the growing diversity of consumer demand, enterprises can not expect to rely on the internationalization of labels or large-scale advertising to create visibility, and they can win the market, and there is no possibility of emulated international experience to seize market opportunities quickly.

Reporters once saw a creative leather shop in the small town of Barcelona, less than 100 square meters of shops, and a simple window display in the afternoon sun. There was not even a clear store and LOGO. But when you walked into the store, you could see that a bunch of different designs of the belt would have an impulse to collect, because the language was not able to communicate with the only old manual worker in the shop, but according to the next door neighbor, he spent his whole life running this shop, and the sales volume was very high, and many tourists came to fame.

There is a saying that it is true to be ordinary and light. Such a store can experience the impact of the market, and the experience of survival may bring some enlightenment to the development of enterprises.

Many good entrepreneurs are always judged "born to do business". In fact, it wasn't exactly the case. Last week when she interviewed the designer's brand, she told reporters that the brand had not been hit hard for the past two years. She never expected to make high-end brands, because her dream was to let the designers wear the people who love them, but the sales volume climbed year by year, and such clothing brands are increasing in China.

Yang Dayun, President of UTA, told reporters: "the success of enterprises in the past may be a great obstacle to success in the future. Business advantages in the past may become a big disadvantage in the future market.

The Chinese market no longer needs the same brand as ZARA, but it is less "small and beautiful" brand, so it can avoid the vicious competition of homogeneity.

Small and medium-sized enterprises need not be at risk. When the great crisis comes, they will be "small boats and good turnaround".

In recent years, the success of the pformation of the European forces and the Pacific bird has grasped the current trend of fashion, to understand the design sense of the brand, to capture the demand for fashion culture and social phenomenon for young people.

The future Chinese market has entered a stage of slow growth. Only those who are concerned about product development, customer needs and market development will have the opportunity.

Entrepreneurs have to understand self-discipline, and the research and good positioning of the changes in consumer demand is "intrinsic".

Internal management risks

With the development of enterprises, the existence of risks will never change.

Enterprises must work out reasonable internal management processes and set up the key points of the process.

Enterprises must pay attention to using various channels to communicate horizontally and vertically, especially with investors, creditors, customers, suppliers and government departments. The comprehensive information obtained can provide reliable basis for enterprises to make decisions, and the most important thing is to implement real-time management of purchase and inventory.

According to Lei Xiangzhe, general manager of Fu Xi software, at present, the majority of domestic and foreign brands have achieved digitalization in the management of enterprises, which has changed the "patrolling" mode of the past bosses' "beat the forehead" and the "handwriting account" management finance, and many well-known enterprises at home and abroad have made use of the software services provided by Fu Xi in different fields.

But it must be pointed out that software is only a tool to assist enterprise management, so that the scheme is more intuitive and convenient for employees to analyze.

Enterprise risk control also needs to optimize internal management and monitoring, and avoid relying too much on technical means, otherwise all quality planning will be aborted.

Risk assessment is the main basis for determining whether an enterprise has risks, including policy risk, market risk, operational risk, institutional risk, investment risk, financial risk, legal risk and natural disaster risk.

There are qualitative and quantitative two assessment methods for the risk assessment. There are few, unlikely, probable, and basically definite cases in the general analysis results. The frequency is low, higher and higher. For the nature of risk, there are five levels which are not important, secondary, medium, main, and air disaster.

Any enterprise itself has a certain ability to deal with risks, avoid risks, reduce risks and take risks. However, when the market is in a deep adjustment period, the probability and risk of events are usually unpredictable. Even if the enterprises have been steady and steady, they should make "right and wrong" choices at the crucial moment, and need decision-makers to maintain a good attitude.