Luxury Goods At A Low Price Are Left Out Of Trouble.

A few days ago, the Italy TV station "Rai 3" reported in the "Report" column that Gucci used cheap Chinese laborers in the Scandicci town of Florence, Italy. The working hours were 16 hours per day, while the prescribed hours were only 4 hours, and Saturday was not allowed to rest. "Gucci is very clear about the problem of illegal employment," Aroldo Guidotti, Mondo Libero's sub contractor, said in the program. He also said that they sold their handbags to Gucci at a price of 24 euros, but at Gucci stores, these handbags cost up to 1000 euros. In response, Gucci said that in view of the media exposure of Chinese workers' serious overtime work, the company will strengthen its control over suppliers.

This is not the first time Gucci has been exposed to similar scandals. As early as 2001, there were 5 employees who had complained about blood and tears. Gucci flagship store in Shenzhen was a sweatshop. They said that the Gucci flagship store in Shenzhen restricted staff by more than 100 acts: to apply for water, to report to the toilet, and even to stay on the night shift for 7 months. At that time, Gucci China Trade Co., Ltd., Shanghai headquarters Public Relations Department responded immediately, saying that the relevant complaints have been investigated in detail, and a series of measures have been taken, including the removal of relevant managers and shop supervisors.

Besides, the low cost and high selling price of products are also a topic that these luxury brands can not get around. There was once a news report that the Gucci store in Beijing was stolen. Its manager reported that a bag worth more than twenty thousand yuan was stolen, but in the end, the police did not establish a criminal case because the price of the bag was hundreds of yuan.

A luxury factory manager claims that a new Gucci leather bag worth 10 thousand yuan is worth 700 euros in Europe. The cost is about 50 euros, plus rivet, buttons, zippers and other materials. The total price of a leather bag is not more than 90 euros. Gucci has always claimed that A leather bag They are all hand-made in Italy, but most of their styles are completed in overseas production plants, and the cost of each bag process is no more than 4%. In the Chinese mainland market, the cost of factory tax increases of 10 thousand yuan worth of Gucci bags cost about 4000 yuan, and the gross margin can be as high as 60%.

Coincidentally, the Internet writer who claimed to have worked in a manufacturing factory once said in an article: "a LV bag with a special price of about 20 thousand yuan, I estimate that the cost of mass production will be around 200 yuan. It may take 400 yuan for a smaller batch. " It is also mentioned that the synthetic material used for LV is embossed PVC coated canvas or Oxford cloth, and the price of premium PVC resin is more than ten yuan per kilogram. And if the hardware is mass produced, it will probably cost 20-50 yuan. In this way, the cost of a LV bag is about 220-450 yuan.

Not only is it worth questioning Gucci With LV, in May last year, there were media reports that Armani was worth more than 10000 yuan. Man's suit Or jacket, fabric is not from the fashion capital of Italy, but from a Shandong enterprise, the cost is only a few hundred yuan. The OEM factory also claims that it provides fabrics for BOSS, Zegna and other international first-rate luxury goods.

A leather industry expert said in an interview with the media that since the 80s of last century, many famous international brands began to look for production bases in China's coastal areas. Many overseas and old brands that have been decades or even hundreds of years old have gradually lost their manufacturing and processing links to China. "People know that Italy is famous for leather goods, but you know, Italy's labor is very expensive. Ordinary technicians charge 20 to 25 euros per hour, 30 to 35 euros, and once the employment is life long, the benefits of workers can even be doubled, and the cost can be imagined." The leather industry expert pointed out that many well-known Italy leather goods factories often do not have many workers, just like our Chinese workshops. "But do you think that every year, so many top brands of leather goods enter the stores in China and the world? Can we depend on these dozen or 20 workers?"

Although a large number of processes and even the finished products themselves originate from the foundries of developing countries, most luxury brands are reluctant to admit that they have co operated with these factories. When they sell goods, tellers emphasize that products are imported directly from the country of origin. "Luxury brands are expensive and attract buyers. Apart from design and packaging, their brand packaging naturally matches their prices. Therefore, brand countries are always a luxury brand flaunting their own conditions, and naturally do not want buyers to know that their production links are completed in developing countries." The experts said.