Jinjiang Shoes And Clothing Enterprises In The Throes Of Pformation

"The footwear industry in Jinjiang is perfect from raw materials to warehousing, logistics and manufacturing, and its industrial chain cluster is relatively complete, but this advantage is no longer the core competitiveness."

Zhang Qing believes that now consumers are very rational, they either choose cost-effective products, or choose high value-added products, not because your brand is a celebrity endorsement will buy.

In addition, the rising cost of production has further squeezed its profit margins.

For Jinjiang shoes and clothing, in the past, relying on demographic dividend to reduce costs, financing and rapid large-scale shortcuts had ceased to exist.

Labor costs rise at 15% per annum, and the average price of 400-750 yuan for a pair of shoes remains unchanged for many years. The pformation is imminent.

According to the statistics of Jinjiang's Bureau of statistics analysis of Jinjiang's economic performance in the first half of the year, the survey shows that the number of orders above normal level in this quarter accounts for only 3.5% of the total, accounting for 82 .2% at normal level, and 14 .3% below normal level; from the feedback of leading enterprises, the orders of enterprises such as Anta and Li Lang have increased by about 10%, with a slight increase in 31st degree, and the seven cards and the power bars are basically flat. The enterprises such as Jordan, "noble bird", "del Hui" and so on have declined. Most of the small and medium-sized enterprises generally reflect the shortage of orders.

Due to insufficient labor supply, reduced demand for products and insufficient orders, the utilization rate of main products in this quarter was only 76.6%.

"Only a few enterprises in Jinjiang's shoe and clothing enterprises can make profits, with an estimated 70% of the enterprises losing money."

Zhang Guanwen believes that the main problem of the industry is overcapacity.

The inherent development mode of shoe and clothing industry has been subverted, and how should it be pformed? Khchi, general manager of the shoe making equipment Trading Co., Ltd. believes that the more we are in a low valley environment, the more we need to grit our teeth and intensify our efforts. The key is investment in Science and technology.

"For example, a computer automatic rotary cutting machine needs 280 thousand, the original punching machine may only need 23 thousand, but its production capacity is 5 times that of the latter. After a year, the labor cost of 5 people is also about 250 thousand.

L V has a production line of about 7 million, but it only needs 14 people. The same capacity needs 70 people in China's production line, but many enterprises dare not continue to invest at this time.

He thinks that only by changing the labor intensive mode can we upgrade the shoes and garments of Jinjiang.

Shu Wen thinks, now

Slow reaction and conflict of consumer demand.

"For most of the traditional enterprises, in the past, we rely on franchisees to do mass production rapidly, and the annual shipment depends on the franchisee's four seasons ordering meeting, but now the consumers are more and more picky and require new models every week."

Shu Wen believes that this model can not keep pace with changes in consumer tastes, and must be changed.

"

or

It is a way out, at least save the reaction time of 1/3.

At the same time, it will save 20% of the channel costs, reduce terminal sales prices, and further digest excess capacity.

Shu Wen said.

With regard to the contradiction between supply chain and consumers, Zhang Qingze believes that Jinjiang shoes and clothing enterprises must return to the starting point of consumers, based on value creation.

When will this bitter day come to an end? Hector hopes to host the 2016 Olympic Games.

"The sporting goods industry is cyclical, mainly following the Olympic Games and other large-scale sporting events 4 years in a cycle. Now the trough is going to continue until 2015. It can only be seen that the 2016 Olympic Games will bring out those sporting goods categories."