Textile enterprises: independent brands are flying against the wind in the economic cold wave
Enterprises are like cells in an economy. A crisis is an evolution in which the strong are selected and the weak are eliminated. Faced with the recent drastic changes in the external environment, those companies that have been favored by various preferential policies have gradually lost their vitality; while the exports of companies that insist on independent research and development and brand creation have increased instead of falling, and they have more market autonomy.
Li Guangming of Wuxi No. 1 Cotton Factory: “The more difficult the environment, the more likely it is that the company’s ability to resist risks will be improved. Resolving the crisis cannot just rely on asking the government for preferential treatment. The best way is to study the market and develop internal skills.”
“The predecessor of Wuxi No. 1 Cotton Factory is the yarn factory founded by national industrialist Rong Desheng a hundred years ago. The great wealth accumulated over the past century is the indomitable spirit.” Li Guangming, director of Wuxi No. 1 Cotton Factory, said: “The financial crisis has led to the international market The situation is sluggish, and some companies are waiting passively and no longer send sales teams and purchasing teams abroad. However, our factory this year sent people to Europe in turns to find customers, and purchasing personnel went to Xinjiang to purchase cotton door-to-door. Although profits have declined in the first three quarters, we can Sales volume has not decreased, and it has become a major supplier to European yarn companies, and its brand influence is expanding.”
Li Guangming said that the textile industry completes a development cycle in about 7-8 years. This cycle began in 2000 and after several years After rapid growth, it has now fallen back to a trough. The trough period and the financial crisis have overlapped each other, making it very difficult for textile enterprises. Since the beginning of this year, Wuxi No. 1 Cotton Factory has worked hard to improve its level in three aspects:
It is to use cutting-edge technology to transform traditional industries. This year, the company completed the construction of the largest compact spinning base in China, with a production capacity of 480,000 spindles of compact spinning. At present, the fine yarn produced by one workshop of the company in one year is equivalent to 4,000 times the distance between the moon and the earth, while the cotton resources consumed are only 1/3 of those of domestic counterparts. At the same time, the first cotton factory hired a first-class European company to complete the information transformation of the whole process. The quality inspection has changed from the previous post-inspection of finished products to the current quality monitoring of the production process. The second is to use advanced management to improve labor efficiency. Through years of continuous learning and application of the management experience of advanced textile enterprises in the United States, Japan and other places, the number of employees per 10,000 spindles in a cotton factory in Wuxi has dropped to 26 this year, which is 1/5 of the domestic average employment level. The third is to actively explore the European high-end market. Wuxi No. 1 Cotton Factory exports 75% of its products, mainly to Europe, the United States, Japan, South Korea, Southeast Asia and other places. It is one of the earliest domestic textile companies to explore the European market. It has now become a raw material supplier for many famous Italian brands and is recognized by Italy. The customer is listed as one of the five high-end yarn brands. Since the beginning of this year, Wuxi No. 1 Cotton Factory has sent multiple groups of personnel to visit European customers, developed a large number of new customers, and entered the Eastern European market.
“I believe that after the difficulties are over, the textile industry will usher in its own spring!” Li Guangming said.
Ma Jianzhong, Chairman of Jiangyin Shencheng Industrial: “An enterprise is like a tree. It cultivates new branches and cuts off dead branches. Only in a continuously changing environment can it have the opportunity to flourish. Shencheng Industrial continues to develop what customers need. New products, products are always popular.”
Different from the situation of some textile companies that are empty, in the office building of Shencheng Industrial, a textile fabric production company in Jiangyin City, production designers are working overtime, and vehicles are coming in and out of the factory area. . Ma Jianzhong, chairman of the company, said the company’s products are mainly exported to the United States, with sales of 600 million yuan in 2007 and a profit of 7%, higher than the same industry. Exports and profits to the US market have increased in 2008. Judging from the current orders placed by customers, production next year will be too busy.
Ma Jianzhong said that my country’s textile industry used to rely on its industrial base to gain market share, because domestic costs were far lower than foreign costs. However, an open market will bring sufficient competition. After years of international competition, the cost advantage of domestic enterprises is no longer obvious. At this time, it is necessary to expand the value space of the product and lay a good market foundation and R&D foundation. This is like cultivating new branches for the big tree of the enterprise.
Shen Cheng Industrial used to entrust traders in Taiwan, Hong Kong, Malaysia and other places to do sales. It did not have its own brand, and this part of the expenditure accounted for 20%-30% of the company’s costs. In the past, it relied on entrusting scientific research institutions to do research and development. It also accounts for part of the cost. In recent years, by cultivating the company’s own marketing team and R&D team, it has not only saved costs, but also won market initiative and built its own brand. The annual R&D expenses invested by enterprises account for 3% of sales, while the average level of the domestic textile industry is only 0.2%-0.3%.
Nowadays, Shencheng Industrial’s fabric brand has achieved considerable international popularity, has an independent intellectual property system, and has certain pricing capabilities in the international market. Many large international retailers such as Wal-Mart are currently designated to purchase fabrics from Shencheng Industrial.
“With the advent of the financial crisis, life for foreign customers is also difficult. At this time, it is not enough for companies to only provide production value, but also to provide service value and R&D value to customers. Shencheng Industrial has developed products that meet customer needs. Only with multiple values can products be still favored in a crisis.” Ma Jianzhong said.
Qian Yuebao, Chairman of Menglan Group: “The wider the technical field of a company, the more types of products it can produce and the more customer groups it can satisfy. There is no light in the east.”Bian Liang, the financial crisis cannot hit all products, so at least part of our business will always be profitable. ”
“To do business, you must first learn to be a good person” – this is a sentence that Qian Yuebao, chairman of Menglan Group, often talks about. No matter how the market changes, Qian Yuebao always regards insisting on quality as the foundation of establishing a business. . Even when producing popular products for low-income families, all aspects from the selection of fabrics and fillers to process production, packaging and delivery are strictly controlled.
Menglan Group unswervingly follows the road of independent innovation and adopts the highest level of The main focus is on the design of new equipment, new technologies, new processes, new fabrics and new products, increasing effective investment in technological transformation and independent innovation. Currently, there are more than 200 patented products independently designed and developed by the Enterprise Textile Technology Sub-Center. The company also actively cooperates with designers from France, Canada, Italy and other countries, and has developed tens of thousands of flower styles, continuously meeting the personalized needs of consumers.
Menglan Group insists on innovation in marketing, and through strengthening Cooperate with joint ventures with multinational companies in the United States, Japan, Canada and other countries, expand in-depth cooperation with large sellers in the United States and Japan, and use the international sales network to accelerate the Menglan brand to the international market.
Since this year, Menglan has increased its product range R&D and innovation efforts. Focus on improving product quality and process characteristics, and avoiding homogeneous competition. The company’s production and sales rate reached 98% from January to October this year, and the proportion of new products on the market was close to 50%.
Lin Houyu, chief engineer of Jiangsu Textile Group : It is difficult for companies that are spoiled by preferential policies to survive the crisis. The government must encourage companies to take the path of independent innovation, and competitions with preferential policies can only breed “lazy people.”
Lin Houyu, chief engineer of Jiangsu Textile Group, said that my country’s The textile industry is a traditional industry with a long history, a long industrial chain, and a strong ability to earn foreign exchange through exports. The export volume of Jiangsu’s textile industry has remained among the top three in the country for many years, and its total output value has always accounted for 1/5 of Jiangsu’s total industrial output value. Jiangsu Textile Industry In recent years, the integration of high and new technologies has accelerated. New material technology, compact spinning equipment, information management, and brand marketing have been widely used in the production and operation of enterprises. A number of enterprises have firmly occupied a place in the market and developed red beans, seaweed and other products. Clothing brands such as Lan, Bosden and Qianrengang, fabric brands such as Sunshine, Black Peony and Yueye, and famous textile towns such as Yushan, Haiyu, Guli and Shengze have risen rapidly.
But the main characteristics of my country’s textile industry are Labor intensive, highly dependent on exports, and low average profit margins, it has been particularly hard hit this year, and a large number of companies have stopped production and exited. From 2005 to the present, the polarization trend of textile and garment enterprises in Jiangsu Province has become increasingly obvious, with total losses and overall profits are increasing, which shows that the profits of well-run companies are further increasing, while the losses of poorly run companies are intensifying. The main reason for the intensification of corporate losses is serious low-level duplication of construction, which leads to vicious competition and declining profits.
Current , the international competition of textile enterprises has entered the stage of equipment competition. my country’s textile industry is facing severe challenges, and enterprises that do not engage in technological transformation will not survive. When the government helps the textile industry survive the crisis, it must encourage enterprises to take the path of independent innovation.
Lin Houyu said with confidence: “I believe that China’s textile industry is irreplaceable in the world.” AASDGGERY6UFGH
Disclaimer:
Disclaimer: Some of the texts, pictures, audios, and videos of some articles published on this site are from the Internet and do not represent the views of this site. The copyrights belong to the original authors. If you find that the information reproduced on this website infringes upon your rights, please contact us and we will change or delete it as soon as possible.
AA
