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    The Collapse Of Zhejiang Bosses

    2011/10/18 9:34:00 48

    Zhejiang Closures

    At present, Zhejiang What is the status quo of SMEs? Recently, reporters and experts from the management training center of Zhejiang University School of management (EDP) visited them together.


      Business failure VS boss collapse


    For the so-called "closure tide" of SMEs, many respondents questioned their personal experience.


    Shen Minyan, general manager of Hangzhou Ai Li Fen import and Export Co., Ltd., according to her understanding of some small businesses engaged in OEM in the vicinity of Hangzhou, did not see the phenomenon of fragmentation.


    "Many enterprises are actually closed but not falling." Hong Wenxiang, general manager of Zhejiang Human Resources Development Co., Ltd. He said that "the great mile" has made a special visit to the enterprises some time ago, and some manufacturing enterprises did stop production and half stop production. For example, some plastic products enterprises have already stopped some workshops, and the plan of putting into operation in a new plant area covering 60 mu in a Taizhou development zone has been postponed.


    In Hong Wenxiang's view, the starting condition of an enterprise must be restricted by orders, but even if some enterprises stop working, it can not be simply interpreted as "failure". He said that several entrepreneurs told him that since the market was not good, they would "hang around" first, rest on the one hand, and find new investment opportunities on the other. In other words, for a business owner who has experienced a long period of steady development and has certain economic foundation, even if the enterprise "stops", its boss is not "turning the corner".


    Lu Yanfeng, deputy director of the EDP center of Zhejiang University, analyzed that a company suddenly "ran" overnight, triggering a chain reaction, such as staff salaries, suppliers' debt collection, and so on. For example, statistics show that from 1 to September this year, 228 business owners in Zhejiang province have "run the road". In terms of quantity, though it can be described as "a drop in the ocean" in the Zhejiang business community, the social shock and deep contradictions reflected can not be underestimated.


       Internal cause VS external cause


    In the eyes of many interviewed entrepreneurs, the collapse of individual enterprises is largely related to blind investment, excessive development and bad habits such as gambling by the boss himself. Although the proportion of such enterprises in the industry is very small, it is worthy of warning as a negative textbook.


    When it comes to the plight of the traditional manufacturing industry, respondents expressed concern.


    Shen Minyan said he went to Germany's consulate in Shanghai for a visa some time ago, and the visa officer asked her to do it when he signed the visa. clothing The export profit margin, she answered 5%. The visa officer said it was "very good", and asked several people before saying that only 3% were not there.


    She told the newspaper reporter that as exchange rate changes and labor costs go up, some small businesses that do export foundry are really hard to keep up. Some enterprises shutting down or even shutting down are also a rational "stop loss" behavior, because such enterprises are not like large and medium-sized enterprises, in order to meet the needs of the overall strategy, they can withstand their losses for a certain period depending on their own strength, and if small businesses lose hundreds of thousands of dollars a month, they will not be able to sustain much longer.


    Speaking of exchange rate, Wang Lichun, general manager of Changxin Huaxin Garments Co., Ltd., an export business oriented company, asserts that textile and apparel industry For example, if the exchange rate of RMB against the US dollar reaches 6 to 1, most export enterprises will be intolerable.


    Xu Bingliang, chairman of Zhejiang Wan Xin Holding Group Co., Ltd., said that the bungee policy gave birth to this round of difficulties for SMEs in a certain extent. He thinks that after 2008, the loose money is called "gate opening and releasing water", and the financing of enterprises is relatively easy. Some enterprises have expanded the scale of investment accordingly, but the scale has been reduced sharply in less than two years. For example, the loan of 9 million yuan last year could only be repaid 7 million yuan after the expiration of the loan, and some enterprises were required to leave some of the funds in the bank as deposits. As a result, enterprises must have serious financial constraints. And those companies that were originally not well off were basically "killed" by this mess.


    Zhu Zhiliang, chairman of Zhejiang Zhongxing textile import and Export Co., Ltd., said that the export enterprises are restricted by the government policies. If the policy changes too fast, the enterprises really can not afford it. He said, "the operation of an enterprise is like a train, suddenly braking is to be turned off."


      Transformation VS upgrade


    When it comes to the way out for small and medium-sized enterprises, the respondents believe that they are nothing more than transformation and upgrading. But "there must be a direction in transformation, and there must be a way to upgrade."


    "Entrepreneurs should not only think about swimming, but also" go ashore "if necessary, and decide what to do next. Zhou Hanyuan, chairman of Zhejiang Fenghe Venture Capital Co., Ltd.


    He said he was originally engaged in the manufacturing industry, but with the shortage of migrant workers and the rising cost of labor, the traditional business has been greatly reduced in recent years, and has begun to turn to new areas such as new energy.


    Zhang Sifeng, chairman of Zhejiang Hefeng Garments Co., Ltd. has his own view on traditional industries: since the European clothing industry is still surviving, the survival space of China's garment industry should still be large. For the plight of traditional industries, he said, "the key is to have core competitiveness". He disclosed that with the arrival of the peak season of production, Hefeng's per capita wage has exceeded 8600 yuan per month. The reason why it can afford such a high salary is that its products sell its own brand inside the domestic market, while the export is mainly for some famous international brands, and the profit margins are relatively large.


    Zhou Hanyuan also believes that the transformation of enterprises is not just looking for a more profitable business, but also to achieve a series of upgrading of enterprise strategy and management. "For example, in the past, enterprises are like sprinklers, sprinkling a little bit and sprinkling a little bit. The problem is not big, and now can no longer be so extensive." He said.


      

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