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With The Rise Of Raw Materials, The Original Advantage Of The Domestic Footwear Industry Is Gradually Turning Into A Disadvantage.

2010/11/10 11:39:00 113

Footwear Industry

Since the beginning of this year, labor costs have increased in traditional manufacturing industries.

raw material

Rising costs and other factors that are not conducive to development, resulting in

Shoe enterprises

We have to increase product quotations, which will inevitably lead to the loss of some new customers.

Order

On the whole

Shoe industry

Lowering the level of profitability, the domestic footwear industry's original strength is gradually turning into a disadvantage.


It is understood that the rising price of raw materials is the biggest pressure facing the footwear industry. Every change of raw material prices affects the whole industry chain.

From the beginning of this year, cotton prices surged 20% to 30%, rising from 11 thousand yuan per ton at the beginning of last year to more than 17 thousand yuan per ton.

Faced with the gradual increase of raw material prices, the pressure on footwear industry is also increasing, making shoe making business feel pressure.


In addition to the cost of raw materials, footwear manufacturers are also facing the adverse factors of rising labor costs.

The labor cost has risen by more than 10% this year. The shortage of workers has led to the extension of the product production cycle, resulting in the payment of some liquidated damages, not only eating up the meager profits, but also losing some of the cost.

Obviously, the gradual loss of the advantage of cheap labor makes the export competitive advantage of footwear products decline, and the shortage of labor resources and the rising cost of labor are one of the main problems facing the footwear industry.


Change has always come so fast. Originally, footwear processing trade relies on the strength of cheap labor and the advantages of raw materials are constantly intensifying. Where will the shoe manufacturing industry go?


After visiting several shoemaking enterprises in processing trade in Quanzhou, we found that although a lot of work has been done in promoting structural adjustment and economic development mode pformation, some achievements have been achieved. However, the overall change is still preliminary, and the characteristics of extensive development are still obvious, including the weak ability of independent innovation and the lack of future competition conditions.


At present, the proportion of export oriented footwear enterprises in the whole technology intensive industry is relatively small, and the phenomenon of brand loss is also serious.

In terms of product development, we should introduce more skilled talents, and carry out multi category production under the premise of quality assurance.

Secondly, change the traditional marketing mode.

At present, most export oriented footwear enterprises are mainly operated at low prices, attracting foreign markets by price war.

However, this marketing mode is not only difficult to meet the needs of consumers.

It also restricts brand building and brand development.

Therefore, adjusting the marketing plan has become a top priority for export oriented shoe enterprises.

Finally, we should carefully analyze the changes in the market, be good at grasping the favorable channels, and establish a win-win mode.

Through event marketing, exhibition marketing, soft Wen, website promotion and so on, enhance market share and integrate both sides' strength.

According to the characteristics of the brand, we should analyze the advantages and disadvantages, seize the glittering point, endow our products with new connotations, and scientifically conquer the market.

Differentiated marketing channels in highly competitive markets.


It seems that the structural adjustment of the shoe making enterprises in processing trade is imperative. In the current situation, we must extend to the direction of deep processing and high added value. We should introduce more talents of science and technology with structural advantages and change the extensive development mode of over reliance on migrant workers. Only in this way, can shoe enterprises remain invincible in the volatile market.

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