Explanation Of Channel Relationship Of Garment Enterprises

From the overall perspective of the channel, Clothing channel relationship It refers to the state of communication and the depth of cooperation among members in the channel system. There are four forms of clothing channel relationship: horizontal relationship, vertical relationship, type relationship and multi garment channel relationship. The horizontal relationship refers to the relationship between the same channel, the same level and similar garment enterprises; the vertical relationship refers to the relationship between garment enterprises at the same channel and at different levels; the relationship among types refers to the relationship between the same channel, the same level and the different types of garment enterprises; the multi garment channel relationship refers to the relationship between different channels of a garment enterprise.

Loose channel relationship means that the whole channel is composed of various independent members. No member has the ability to dominate other members. Each member only cares about the best interests of himself and jointly performs the distribution function. The advantages of loose clothing channel relationship are mainly manifested in the following aspects: enhancing the market flexibility of garment enterprises. Because this clothing channel relationship has no coercive force, entry or exit is entirely chosen by garment enterprises, so clothing enterprises can choose different trading objects according to the market environment changes, which enhances the adaptability of clothing enterprises. It provides innovative impetus for garment enterprises. Because of the highly autonomous ability of channel members in such a relationship, the only way for any clothing enterprise to enhance its influence and control over the entire channel is to continuously carry out innovation in business management and increase its voice in the relationship between garment channels. It provides a realistic and feasible choice for the vast number of small and medium-sized garment enterprises to enter the market. Small and medium-sized clothing enterprises, because of lack of financial resources and resources, are in a disadvantageous position in negotiation and cooperation with large distribution clothing enterprises. It is not wise to put their clothes in the mainstream distribution channels. It is a realistic and reasonable choice to establish a network of instant transactions with distributors of comparable strength.

　　 Loose channel relationship The disadvantages are mainly manifested in the following aspects: temporary trading relationship, which makes cooperation lack the basis for long-term development. The biggest disadvantage of loose clothing channels is that the relationship model does not possess the essential characteristics of the organizational system, but is only a temporary transaction relationship formed at a specific time and place for a particular commodity. The channel has poor stability and small safety factor. Due to the lack of effective supervision and control mechanism in loose clothing channel relationship, the stability and safety of channels depend entirely on the moral self-discipline of channel members. Under the condition of incomplete market economy and imperfect social credit system, the self-discipline safety factor is actually very small.

The lack of incentive mechanism has led to the lack of channel loyalty. In loose clothing channel relationships, Clothing enterprise Members of the channel are most concerned about whether their interests can be realized or how high they can be achieved. This is the source of their power to add channels, while less consideration is given to the overall interests of the channel and the interests of other members of the channel, so there is a general lack of trust among members and loyalty to the channel. The channel has not formed a truly clear division of labor and cooperation relationship, affecting the overall efficiency of the channel. Due to the immediacy and short-term nature of cooperation, this leads to the fact that channel members can not share information, funds and personnel resources, which may lead to low efficiency of investment in NPC and small profits.