Analysis Of The Multiple Challenges Faced By The Clothing Industry

Recently, Semir apparel announced an investment agreement with ISE, a South Korean electricity supplier. The company subscribed for 4 million 510 thousand shares of ISE's new issue shares at a price of 4435 won, which totals about 20 billion won. According to the April 20, 2015 exchange rate 174.42, it is about 115 million yuan.

According to the announcement, ISE was established in August 2000. Its registered capital is located in Seoul. Its registered capital is 10 billion 500 million won, or about 60 million 360 thousand yuan.

ISE is a leading provider of domestic e-commerce services in South Korea. Its main business is WIZWID website and WConcept website.

Among them, the WIZWID website is the first domestic website to provide cross-border e-commerce services in Korea. The market share of the Korean e-commerce market is 50%.

A senior apparel industry personage said in an interview that Semir clothing has stepped into overseas electricity suppliers through the acquisition of shares, which will help to open up overseas sales channels. Secondly, the layout of "Internet +" will extend to the "brand + cross-border e-commerce", which is conducive to the pformation of the company.

"However, the form of participation is different from M & A, and the investment of the company is relatively small, and the right to speak in specific business development is likely to be affected."

International fast fashion brands are invading, and traditional fashion leisure brands are facing multiple challenges such as loss of consumer groups, inventory backlog, capital turnover and strategic pformation.

A series of data shows that the domestic garment enterprises as a whole "fall" and the haze of closing shop is surrounded.

According to the earnings report, the number of stores in Baleno mainland has shrunk from 388 to 3432 in the last 3820 fiscal year, closing 388 stores.

By the end of 2014, JEANSWEST had closed 213 stores in mainland China and Giordano closed 190.

In 2013, Metersbonwe closed more than 200 stores, while Semir closed more than 700 stores.

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Besides, the closure of Chinese men's wear brand stores is also accelerating.

According to the disclosure of financial reports, the total number of stores in the first half of 2014 was 347 closed.

By the end of the first half of 2014, the canal road road closed 53 stores in June 30, 2014, the closure of 73 houses, the 53 closure of the card road, and the closure of 46 by Hinur.

And China represented by Lining, Anta, PEAK and 361.

A few years ago, I had experienced the baptism of the tide of shopping in advance.

According to the financial report, as at the end of 2014,

The number of authorized retail outlets has decreased by 471, and the number of 361 outlets has reached 783. Anta has also closed 318 stores.

Compared with Baleno and other fashion casual brands, international fast fashion brands such as UNIQLO, ZARA and H&M have been expanding in the mainland.

Data show that the four "fast fashion" brand stores in China opened less than two and a half days on average.

In 2014, fast fashion brands opened 274 new stores in China, including 14 in Guangzhou.

At present, Guangzhou has 13 UNIQLO stores and 9 H&M stores.

Cui Yu, consultant consultant of CIC, believes that the demand of China's garment industry is in short supply, resulting in a large number of new brands.

But now it is facing a series of problems, such as overcapacity in garment industry chain, high inventory, international brand entry and obvious electricity supplier shock. At the same time, sales of physical stores are decreasing, shops rents are rising, labor costs are rising all the way, and profit margins are constantly being compressed.