Brand And Integration Of Casual Wear And Reshuffle

Not long ago, a professional exhibition was held in Zhongshan, Guangdong, where China's casual clothing enterprises concentrated. How to deal with the impact of the global financial turmoil on the domestic casual wear industry has become a hot topic for experts in the industry.

Confused and confused: feeling the "cold winter" in the professional high-level forum, Xu Wenying, vice president of the China Textile Industry Association, told the domestic textile and garment enterprises' Perplexity and confusion about the development prospects: "in the 1-8 month of this year, China's textile and clothing exports increased by only 2%, down 20% from the same period last year."

In the early October, under the influence of the international financial turmoil, Hongkong famous brand uright (Ruwei) international clothing chain store declared bankruptcy. However, in 2007, the sales volume of the company reached 2 billion, and there were more than 500 sales outlets in the mainland.

Under the background of the global financial crisis, the demand for textile and clothing in the world has dropped sharply, and export oriented textile enterprises have been directly affected by the financial crisis.

However, since the fourth quarter of 2007, the production cost of garment industry has shown a rigid upward trend.

"Compared with the same period last year, the production cost of textile and garment enterprises increased by 30% to 35%, and labor cost increased by 25% to 35%."

Jiang Hengjie, executive vice president of the China clothing association, said: "a lot of garment enterprises have no prospect at all because of a series of unfavorable factors such as the appreciation of the renminbi, the rising cost of raw materials and energy, and the increase of the policy cost implemented by the new labor law."

Zhongshan Shaxi town started from the "three to one fill" processing trade, to gradually promote the development of private garment processing enterprises, and began to form a garment industry agglomeration.

Now, Shaxi has more than 500 upstream and downstream products supporting enterprises related to garment making, textile dyeing, dyeing and finishing, machinery parts, and so on, and has formed a series production from weaving, dyeing, fabric to clothing and sales.

There are more than 1300 textile and garment enterprises in the whole town, with nearly fifty thousand employees and about 7000000000 yuan per year.

However, according to statistics, from January 2008 to 9, the Zhongshan inspection and Quarantine Bureau inspected more than 40000 batches of Zhongshan garments exported to about 200000, which decreased by 1.55% and 13.7% respectively compared with the same period last year.

Standing at the bridgehead of the domestic casual wear industry, "Shaxi, a famous Chinese leisure clothing town", has experienced the coolness of "global financial cold winter".

Sun Huaibin, director of the China Textile Economic Research Center, said: "this year, China's textile exports to the United States have been negative growth."

Brand and integration: the production of reshuffle, vice president of China clothing association, Wei Lin believes that for garment processing enterprises, the impact of the global financial crisis will form a lag, and the real "cold winter" will be after September 2009.

The unfavorable factors such as the contraction of foreign trade demand and the rising cost of production, as well as the domestic call for industrial adjustment, will bring the domestic garment enterprises to the turning point of development.

Jiang Hengjie, executive vice president of China Apparel Association, said that the market will see a new round of survival of the fittest, the clothing industry is facing a comprehensive reshuffle.

"Clothing enterprises without their own brands, sales channels and market control skills may be forced out."

Jiang Hengjie said, "China's clothing industry is looking forward to its brand and core competitiveness."

Brand and integration have been widely recognized by industry experts.

Jiang Hengjie said that the biggest problem facing the domestic garment industry is the homogenization of products, the integration of industry resources, and the formation of a joint stock enterprise with mastery of channels, markets and trends.

In recent years, the strength of the brand is being formed in the domestic garment processing enterprises. In Shaxi, Zhongshan, the famous brand of casual wear, such as crocodile, trio, Paci Doug, AI Gu, Jian long, San Martian, RAPOO Gao, Humphrey and Xia Hu family, has gradually emerged.

Wei Lin said that only the enterprises with deep foundation and solid foundation can successfully resist the "cold current".

Brand building and improving the OEM (OEM) mode will be the mainstream of the domestic garment industry in the future.

Brand invasion: challenges and opportunities: when the international financial turmoil temporarily confuses the domestic enterprises, another phenomenon is even more interesting. In March of 2008, the Japanese brand uniquo opened three large stores in Beijing. Then, Spain ZARA opened a store in Shenzhen's Plaza, becoming the first stop to enter Southern China. In October, the famous British clothing and food retailer Marsha also opened in Nanjing Road, Shanghai.

International famous brands accelerate the pace of layout in China.

"Foreign brands look at China's huge consumer market," said Li Kai Luo, President of China's famous fashion brand strategy and President of the international brand marketing consultancy.

"If we say that the competition between domestic clothing enterprises and international brands has price advantage, the price of international brands such as ZARA or H&M is even lower, and they are leading the trend.

International brands will compete with domestic brands in the first tier market. "

Li Kailuo said, "and will extend to the two tier market in China."

Chen Yongbin, general manager of the China Fashion Association Vice-President and Zhengzhou leader (M·SUYA) Clothing Co., Ltd., said that this year, whether Zhengzhou is supplying domestic demand for brand clothing enterprises or being a OEM enterprise, the development situation is better than last year, because Henan has obvious comparative advantages, such as human resources.

"To cope with the shrinkage of international clothing demand, the breakthrough of domestic demand is an alternative."

Wei Lin, vice president of China clothing association.

Take Zhongshan Tongwei Garments Co., Ltd. for example, before 2004, the export products accounted for 80%, and in 2006, exports and domestic sales accounted for half, and domestic sales accounted for 80% in 2008.

Industry experts said that "Tongwei" may be a microcosm of the pformation of domestic enterprises.

Industry experts pointed out that under the good news of the third Plenary Session of the 17th CPC Central Committee, the gap between urban and rural areas will be further narrowed. The two or three line cities, the two or three tier market and the vast rural market will be a good fertile land for the pformation of domestic enterprises.

The choice of Chinese clothing enterprises is how to dig deeper into the two or three tier market, form brand and compete with the international brands in the first-line market.

Jiang Hengjie said: "integration is also an innovation, a wealth."

Yang Jing: editor in charge