An Analysis Of The Reasons Why The Footwear Industry Is Willing To Move Out

In view of the operation of the enterprise, the reporter accurately put the questionnaire to the traditional manufacturing enterprises in Dongguan by point to point method. A total of 369 valid questionnaires were collected, involving a total of electronic,

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Machinery, hardware, mold, plastic and other industries.

Among them, 70% of respondents said that the current situation of the enterprises and industries was not optimistic, and shoemaking industry was the most serious.

Polls show that 13.82% of respondents said their enterprises had the intention to pfer to the mainland or Southeast Asia, and the wages of employees were stronger than those of last year.

Footwear industry operators are the most pessimistic.

The overall data show that respondents from various industries are not optimistic about the current state of their businesses and industries.

When asked about the current overall operation of the industry, 68% of respondents said they were not optimistic, while only 8.94% expressed optimism.

For next year's economic forecast, the negative emotions of the respondents have weakened, but still occupy the majority.

62% of respondents were not optimistic about the operation of the industry next year, a decrease of 6 percentage points compared with this year.

This kind of bad mood is the most serious in the shoe making industry.

75% of respondents from the industry were not optimistic.

This sentiment does not come out of nowhere. It also shows in this poll.

The operating situation is the most downward pressure in many industries.

More than 80% of these respondents indicated that their shoe manufacturers decreased their orders this year, while 55% said that orders from countries (Overseas) decreased compared with the same period last year, and the proportion is the highest among many industries.

The data provided by the Dongguan trust department also show that the traditional textile, clothing, shoes and hats are the most stressed, which is similar to foreign capital and domestic capital.

According to the monitoring department, the main business income of textile, clothing, shoes and hats increased by 2.2% in 1~8 months. The main revenue generated by equipment and assets decreased by 5.5%, and the revenue generated by the equipment decreased by 3.8%. Leather, feather and footwear receivables were extended for 2.5 days.

Popularly speaking, these industries are less revenue and slower in payments.

Nearly 70% of respondents said their enterprises were reducing profits or increasing losses.

In terms of many factors affecting the operation of enterprises, polls data are not satisfactory.

Among them, 53% of respondents thought that the production cost of their enterprises increased by last year, and 78% indicated that the quantity of orders from customers decreased compared with that of last year. 52% of them indicated that the number of orders from countries (Overseas) decreased, and 63% indicated that the liquidity of enterprises was more intense than in previous years.

Under the influence of these factors, 68.02% of respondents said their enterprises were less or more profitable than last year.

The results of the above polls correspond to the actual economic data of Dongguan.

Dongguan's Credit Bureau found that the cost of manufacturing enterprises in Dongguan increased in 1~8 months, of which the minimum wage of labor costs increased by 10% to 15%, and 80% of new loans to large enterprises, and the "28 law" of the loan industry was obvious.

"Labor intensive traditional industries are under pressure, and the overall industrial structure is gradually optimized."

Dongguan economic and Information Bureau spokesman Liu Jintang cited a set of data, "although there are individual industries pressure, however, in the 33 industrial sectors of the city, 21 industries are showing an expansion trend, the growth rate is increasing year by year, accounting for 63.6%, of which 7 industries achieve double-digit growth."

Shoemaking industry

Among them, the first pillar of electronic information manufacturing industry in 1-8 months to achieve the added value of industrial added value of 55 billion 634 million yuan, an increase of 7.8% over the same period last year, up 1.5 percentage points from last month, the growth rate picked up for three consecutive months, and the growth rate in August was 15.7%.

The growth rate of value-added of advanced manufacturing and high-tech manufacturing industries is higher than that of the whole industry.

The willingness of enterprises to increase their salaries increases.

According to media reports, many traditional manufacturing enterprises in Dongguan want to pfer to the mainland or Southeast Asian countries to reduce their labor costs.

Is this willingness prevalent in enterprises? Nandu polls show that only 13.82% of respondents said their enterprises had the above plan.

It is not difficult to see from the poll data that the reason for these enterprises to migrate is the rising cost of manpower at present.

Nandu polls show that there is a clear positive correlation between the increase and decrease in the wages of enterprises and the willingness of enterprises to pfer this year. The wages of employees are stronger than those which were increased last year.

For example, 17.61% of the respondents who said "employee wages increased over last year" indicated that the company had a pfer plan, while the proportion of respondents who said "employee salaries were flat last year" and "staff salaries decreased over last year" fell to 12% and 8.6% respectively.

According to the data provided by the Dongguan Municipal Bureau of Commerce, Dongguan closed down 243 enterprises in 1~9 months, involving 330 million US dollars in contractual foreign capital utilization.

Lei Huiming, deputy investigator of the Dongguan Municipal Bureau of Commerce, said: "the pressure of foreign funded enterprises is also high, and quality projects are also improving. The quality projects are far more than the closure of relocation projects."

He said that in the 1-9 months of this year, 698 new and additional capital projects were involved, involving the amount of foreign capital invested in the contract by US $3 billion 850 million, of which 4 were imported from logistics and headquarters enterprises.

In view of this, the $330 million involved in shutting down the relocation enterprises is only 8.5% of the new ones and the capital increase projects.

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The following are the findings and analysis of the survey:

A anticipation

What is your view on the overall operation of the industry?

A optimism 8.94%

B general 23.04%

C is not optimistic 68.02%

What is your view on the overall operation of the industry next year?

A optimism 12.74%

B general 24.93%

C is not optimistic 62.33%

Is there any pfer plan for local enterprises with low production costs to the mainland or Southeast Asia?

A has 13.82%

B no 55.28%

C wait-and-see 30.89%

B cost

This year's production cost is higher than that of last year?

A decreased by 25.75%

B flat 20.6%

C rose 53.66%

Next year, the production cost of our company is expected to be longer than this one?

A decreased by 19.24%

B flat 31.71%

C rose 49.05%

C order

Compared with last year, how many of the products ordered from our customers this year?

A increased by 12.2%

B flat 9.21%

C reduced by 78.59%

Next year, what is the expected volume of product orders from our customers?

A increased by 21.14%

B flat 22.76%

C reduced by 56.1%

Compared with last year, what is the order quantity of the company from abroad this year?

A increased by 11.38%

B flat 8.94%

C reduced by 52.57%

D this enterprise product is not sold abroad 27.1%

What is the expected volume of orders from outside the country next year?

A increased by 17.89%

B flat 13.01%

C reduced by 42.28%

D the products of this enterprise are not sold abroad 26.83%

D sales

This year, the sales of our products are compared to the same period last year.

A increased by 13.28%

B flat 13.28%

C reduced by 73.44%

Next year, the sales volume of our products is expected to be higher than this year?

A increased by 26.29%

B flat 22.22%

C reduced by 51.49%

E profit

This year's profits (losses) are higher than last year?

A profit / loss reduction 14.91%

B profit and loss unchanged 17.07%

C increase / decrease 68.02%

Next year, our business profits (losses) are expected to be higher than this year?

A profit / loss reduction 31.98%

B profit and loss unchanged 22.49%

C increase / decrease 45.53%

F funds

What is the liquidity of the company this year?

A enough 9.76%

B general 26.56%

C nervous 63.69%

What is the expected liquidity of the company next year?

A enough 15.18%

B general 32.79%

C nervous 52.03%

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G employment

This year, the number of enterprises employed is higher than that of the previous period.

A increased by 14.91%

B flat 22.76%

C reduced by 62.33%

Next year, the number of enterprises is expected to be more than this year?

A increased by 22.22%

B flat 30.08%

C reduced by 47.7%

This year, the wages of the employees are higher than that of last year?

A increased by 47.7%

B flat 27.1%

C reduced by 25.2%

Is it expected that the salaries of our employees will be higher than this year?

A increased by 42.01%

B flat 39.3%

C reduced by 18.7%

H cross analysis

The footwear industry and textile and apparel industry respondents, over 60% or above, are not optimistic about the overall operation of the industry.

75.38% shoe industry respondents said they were not optimistic.

60.87% textile and apparel respondents said they were not optimistic.

More than half of the footwear industry and textile and garment industry respondents indicated that foreign orders decreased year by year.

55.38% of shoemaking industry respondents said reduced orders.

52.17% of the textile and garment industry respondents said ordering reduction.

Mechanical equipment, hardware and die industry practitioners believe that the proportion of the cost of this enterprise is the largest.

100% machinery and equipment respondents said the cost increased this year.

71.43% hardware and mold industry respondents said the cost increased this year.

More than 70% of the respondents in hardware mold and shoemaking industry said that this year the company increased profits / reduced profits.

85.71% hardware and mold industry respondents said the company increased losses / reduced profits this year.

70.77% footwear industry respondents said the company increased losses / reduced profits this year.

In addition to the footwear industry, almost all sectors of the respondents accounted for more than half of the staff salaries.

73.33% mechanical equipment respondents said wage increases

70% plastics industry respondents said wage increases

61.54% respondents in the electronics industry say wages are rising.

60.87% textile and garment industry said wage increases

57.14% hardware and mold industry respondents said wage increases

Only 42.69% of shoemaking respondents said wages were rising.

There is a significant positive correlation between the increase and decrease of employees' wages and the willingness to pfer enterprises, and the employees' wages are more willing to pfer to enterprises in the mainland or Southeast Asia where production costs are low.

17.61% increase in employee wages over last year, there is a pfer plan.

12% of the employees whose wages are flat last year have a pfer plan.

8.6% of the enterprises whose wages are lower than that of last year, there is a pfer plan.