The garment industry is in trouble all over the country


Due to the weakening demand in the international market, the slowdown in domestic market demand, and the excessive price of cotton at home and abroad, the profits of the apparel industry have continued to decline, and the company’s loss has expanded. The relevant data report of the Ministry of Industry and Information also shows this situation: The textile and garment industry is now at the bottom of history.

In the face of such market difficulties, how should the clothing industry take measures to deal with it? The clothing industry in different parts of the country has given different answers. The existing tricks are summarized as follows:

One trick: discount sales promotion sales

If you have been shopping in stores or specialty stores recently, you should pay attention to this phenomenon: most of the clothing and footwear brands in the mall have discounted, not only the intensity, but also some high-end brands that rarely join the discount team, and now also lower the "noble "The head", where the lowest brand discount hit two fold.

After investigation, it was learned that this kind of discount is the spontaneous behavior of a clothing brand, not a shopping mall's behavior, nor a local phenomenon, but a national phenomenon. The reason is that garment companies have to reduce profits in order to absorb a lot of inventory pressure. Increase sales and return funds as soon as possible.

Trick two: establish a chain market

In the face of this dilemma, the largest Haining Leather City in China has taken steps to establish a nationwide chain market. Its current plan is based on Haining’s local leather products, starting with Haining’s local “professional market” and stepping out of Haining, aiming to establish a nationwide “professional market” chain.

In terms of external expansion, Haining Pi City has been using its own way to build the market. Among them, the sale does not exceed 10-15% of the commercial area and other property types other than shops are sold. Therefore, the rapid expansion of Haining Pi City, while its funds can be quickly withdrawn. At the same time, the rental project can be profitable that year.

Trick 3: Develop high value-added services

In the market downturn, many clothing companies began to look for other ways, including the transformation and upgrading of this model has attracted a large part of the company's attention.

The transformation and upgrading of garment enterprises have seen various developments. In addition to strengthening technical and quality management in production, many apparel companies have advanced to the upstream business and started to work on product design, R&D and application of new materials, hoping to increase product value. Many of the original manufacturers engaged in production also started to develop their distribution business. Some of them even more successfully entered the retail market, established cross-provincial and even retail networks covering the whole country, and at the same time developed their own brands.

Trick 4: All-round reform and innovation

In the face of the slowdown in the global economic recovery and the fragile market confidence, the development of the footwear industry in Wenzhou is extremely grim. The “zombie dilemma”-like phobia has spread in Wenzhou.

In this regard, Wenzhou shoes decided to "innovate" strokes. First, the Wenzhou shoe-making industry has created three "bases" and nine "platforms"; second, it is actively building a national-level foreign trade export demonstration base; and the third is the establishment of the Wenzhou Footwear International Technology Research and Development Center in September this year. The use of science and technology is a priority, and production is planned to start in 2014. By that time, the shoemaking industry can realize the desire to liberate the labor force. A production line only needs four or five skilled workers to realize science and technology footwear.

At the same time as companies make moves, the country has also issued a number of policies accordingly. Among them, the central bank cut interest rates twice in January, to a certain extent eased the financial pressure on the apparel industry. Industry analysts believe that after the RRR and interest rates are lowered, more "steady growth" measures are expected to be introduced. The stabilization of the domestic economic situation will become an important support for the operation of the industry.

The editor expects that although the garment industry may not be able to make a big improvement in the short term, with the introduction of new policies and the adjustment of the garment industry, the garment industry is expected to emerge from the downturn and gradually recover.

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