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    "Shoemaking Is Too Hard!" 68 Years Old, A Generation Of Shoe Factory, No Answer.

    2020/1/14 19:01:00 0

    Shoemaking Industry

    Recently, "Economic Observer" reported: in 2020, just after new year's day, Wang Yicheng, who worked in shoe factories in Shanghai for 25 years, sent a text in the WeChat alumni group of his alma mater, Lanzhou finance and economics university. After briefly mentioning his entrepreneurial experience and current difficulties, he deeply sighed the hardship of the manufacturing industry. When someone approached the shoe factory, he said, "well, no one is interested in it now." in his view, "manufacturing is too difficult." Now that we are old, we have to think about this for the survival of enterprises. It's good for someone to pick up a plate or find a partner to participate in it. "But now no one is willing to accept it. Now people like to engage in finance and investment. They all know that manufacturing is very hard." It is understood that Shanghai Yi Fang industrial production of shoes are mainly anti piercing function, insulation function safety shoes. Wang Yicheng told reporters, "now the profit is far less than the original so high. At the beginning, they were forced to survive. Order workers to feed. At present, there are 100 thousand double orders in the factory, which has been maintained for five years. To achieve 200 thousand pairs, it is more difficult to increase orders. Large orders need to be relied on, and some small steel mills have their orders. Now, each shoe factory has less and less profit margins. In the past 180 to 200 yuan a pair of money, now 60 yuan one pair, some shoes cost 60 yuan. "

    "I am going to run seven after 50, but for the survival of private enterprises, I have been in service for over 8 years. In practice, private enterprises have come to the conclusion that it is not the high profits of private enterprises but the masters of private enterprises. The shareholders of private enterprises are able to survive by managing the workload of a few people and saving the cost of management. Wang Yicheng said, now age is also big, in order to find someone to take up the plate, the price will be paid according to the actual capital 1:1. Another option is to find partners who want to do such things, but without hardware or participation. But reality is nobody cares.

    Manufacturing SMEs, the problem is homogenization, nor have the resources to develop new products. The problem of homogenization is that upstream giants can raise prices arbitrarily, while small and medium-sized enterprises are poor in homogenization, decentralization and bargaining power, unable to pass the cost to the downstream. They can only seize the stock market by pressing each other. Over the past 40 years since reform and opening up, different people have made different money in different time and different industries. In the 80 and 90s of last century, small and medium sized traditional manufacturing entrepreneurs who grew up in the east of China's reform and opening up may face many difficulties and dilemma like Wang Yicheng.

    Source: Economic Observer

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