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    Loss Of Brand Channels, Loss Of Discourse Power, Luxury Generation Industry Dilemma

    2013/5/30 19:24:00 19

    BrandLuxury IndustryLuxury Goods

    < p > on the one hand, luxury is the luxury, while the other is the "shyness" of the luxury foundry. The two are closely related and distant partners, and are the two extremes of real existence.

    < /p >


    < p > < strong > the profit from the foundry is less than the profit of the brand dealer 10% < /strong > /p >


    It is not exaggerated to say that we are slave workers. P often falls into a passive situation for a small order and meager profits.

    There are only two ways for us to choose: to do it or to maintain it reluctantly, or not to do it, and slowly to "die".

    Deng Jun, a director of a factory in Guangxi Province, made a direct report to our newspaper.

    < /p >


    < p > < /p >.


    < center > < img alt= "" width= "400" height= "256" src= "http://img2.china-ef.com/news/2013/201305300539532.jpg" / > < /center >


    < p > < /p >.


    In the view of Deng Jun, brand P is not only their "food and drink parents" but also their "helmsman".

    Even so, Deng Jun is worried that one day his factory will not be able to run.

    "Knowing profits, but I still go to order, because to ensure the normal operation of the factory, it is more important to maintain the relationship with the customer, and only with the good relationship with customers will we have the next order."

    < /p >


    < p > "in fact, our profit can have 1/10 of brand profit.

    Raw materials, size styles, color styles and so on are provided by brand dealers. We are only responsible for processing.

    People's brand is valuable, and we sell our strength is worthless.

    Deng Jun told reporters that the market price of a senior silk quilt can be as high as 1000 yuan, but the factory price is only $10 billion, which eliminates the profit of the middle trader, and deducts the pportation cost and tax burden. The brand can account for more than 60% of the whole profit chain.

    < /p >


    < p > "now the rising of raw materials, the rise of manual wages, the cost of hydropower plants and so on are all rising, which makes us feel more and more laborious."

    What makes Deng Jun helpless is that the brands only demand the time and quality of the documents. "The time of delivery can not be delayed, and the quality of products must meet the requirements. If we fail to meet the requirements, we will not be able to afford to return the goods or other compensation."

    < /p >


    < p > strong > no brand can not turn over /strong < /p >


    < p > "only by doing the brand can we turn over, only do the foundry, and always be trampled underfoot by others."

    Deng Jun told reporters, "the rich people buy luxury goods to see brands, identify the brand and identify the quality of products.

    In recent years, the expansion of foreign luxury brands in China has been so fast.

    Only by mastering the psychology of consumers can we manage well.

    < /p >


    < p > the value of world-famous brands is rising continuously. The richest countries in the world are built on brands rather than on commodities.

    For OEM enterprises, it is particularly important to learn how to create and master brand operation.

    < /p >


    < p > Deng Jun said that it is not easy to establish its own brand.

    "We must get through all the links of the industrial chain.

    Silkworms must have silkworms and factories, silk weaving machines and workshops. Weaving machines also need machines and factories. Every link needs artificial labor, strong financial support, sales links and brand building. "

    < /p >


    The extension of P chain to the foundry enterprises means that enterprises must get involved in new fields, and must face up to capital, technology and time. This is a real test for enterprises.

    < /p >


    < p > < strong > generation industry is in a predicament < /strong > < /p >


    On the one hand, P is forced to "slave" in modern industry. He is worried about the danger of going out. The embarrassment of the factory is not alarmist.

    < /p >


    < p > changing the low end operation mode of "hard work and fear" is the inexorable trend of the development of the industry.

    < /p >


    < p > "now some brands are more and more demanding on the environment, scale, area and products of the foundries. Especially with the weakness of low labor cost and so on, China is facing the reality of losing cheap labor force, and there will be many Chinese factories or hard luck to be fired."

    Deng Jun said.

    < /p >


    Wang Xianqing, director of the Institute of circulation economics, Guangdong University of Business, director of Guangzhou Guangdong business research center and director of the key research base of modern commerce and circulation modernization in Beijing, told an interview with our reporter that with the increase of the comprehensive cost of raw materials, labor costs and other comprehensive costs, the position of domestic luxury foundry enterprises is at stake. The trend of OEM enterprises being forced to move out of China or set up factories overseas is showing an increasing trend.

    < /p >


    < p > "this will cause some challenges to China's employment situation in the future.

    In order to keep luxury goods in China, it is not only to retain foreign brands, but also to develop luxury goods manufacturers' own brands. This is the fundamental way out.

    However, China's luxury foundry enterprises have their own brands from the strength of enterprises and the market environment, and have not yet become a climate, let alone development.

    Wang Xianqing said.

    < /p >


    < p > the industry believes that besides the efforts of the enterprises, the way out for the OEM enterprises still needs the support of the government and the state policies. If we want to get rid of the dominance of the brand dealers, the OEM enterprises should join closely with the government to speed up the pace of building their own brand influence.

    < /p >

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