Cheng Weixiong: When Is The Clothing Brand Virtual To?

At present, China

There are thousands of wars in the market.

Ten thousand enterprises are fighting bloody crimes.

Hidden behind this is the increasing cost of processing labor and the meager profits. In addition, because of the lack of brand concept, the brand value and core competitiveness of many garment enterprises can not be reflected.

To break through these shackles, the majority of garment enterprises must improve their management level and benefit from management.

As we know,

The company itself does not produce sports shoes and clothing. Its global headquarters is less than one hundred. Its main function is product design and marketing, relying on the strong attraction of its brand, outsourcing production to developing countries by means of OEM. Korea and China used to be the largest production base, and now they are pferring.

Nike has entered the European market through Irish factories, and has avoided high tariffs. It has also been introduced into the Asian market jointly in Japan. At the end of the 70s, this kind of ingenious marketing idea can be found.

However, compared with the successful international brands such as Nike, Chinese enterprises are unable to conceal the huge gap with foreign brands.

Nike brand can give consumers a sense of glory, while domestic brands can not only produce sales volume, but also can be represented by brand glory.

As a business mode, OEM is not mysterious. As a business tool that anyone can adopt, the difference lies in the internal strength of brand building, which is why many virtual enterprises can only be successful by Nike.

In the process of externalization, OEM enterprises should strengthen not only the standard control and quality management at the product level, but also the R & D design, brand communication and sales channels at the marketing level.

However, to become a truly appealing brand to the market, it is still far from enough to make efforts in R & D and sales channels. As Nike and Adidas continue to create the brand's conquest through advertising and participation in sports activities, the stereoscopic and innovative marketing communication is the long-term task faced by Chinese clothing enterprises such as Metersbonwe. The problem now is that Metersbonwe has been walking in this field for a long time, but it is just not a common practice.

No one would have thought that Metersbonwe's "virtual management" clothing business model will be included in the classic case of Harvard Business School with Hongkong Lifeng group.

The Hongkong economy from 80s to 90s of last century has also gained new development space because it has revisited a value chain that is very similar to Metersbonwe.

At that time, Feng Guo Jing, who was then chairman of Hongkong Lifeng group, was also teaching at Harvard Business School. His brother Feng Guolun just got a master's degree in Business Administration from Harvard Business School. The two brothers were later recalled to Hongkong by their father to revive the family business.

Feng Li's Li Feng Group is one of the oldest trading companies in Hongkong.

After grasping the power of family business management, Feng began to advocate what he called "decentralized production".

Li Fung Group has engaged in high value-added businesses such as design and quality control in Hongkong, and has allocated the low value-added production business to other mainland areas, and production organizations have achieved globalization.

The way of "decentralized production" advocated by Feng brothers has brought beneficial enlightenment to the vast number of enterprises in Hongkong. Hongkong has always been an inch of land, and the cost of processing is very high. So dispersed production can effectively reduce production costs and enable enterprises to concentrate their efforts on design and brand building.

After a large number of Hongkong enterprises were pferred to the mainland, the proportion of manufacturing industry declined gradually, and the position of financial and trade centers increased year by year because of the burden.

Inspired by this, more and more industries and their CEO have integrated supply chain management into their strategic process. This is driven by the global competition pattern.

When enterprises concentrate on core businesses and outsource their marginal businesses, they are more conducive to doing business on one hand and becoming more successful.

As far as I can see, there is hardly any core technology and threshold for the clothing industry. You will be able to do better than others.

But there is no one else to learn, that is, brand, good brand management and clothing design, so that Metersbonwe can become a virtual enterprise in the core chain of management.

This is like the prediction of a new company model in the Asian financial crisis, which is like the focus on core business and professional management.

This specialized management depends on the adoption of information technology. Just as the IT management system, which was invested heavily by Metersbonwe group, has been officially run, achieving the "whole process" of controlling upstream producers and downstream stores.

The information platform, which integrates management, production and sales, consists of manufacturer resource management system, group internal resource management system and agent resource management system.

Through it, we can grasp the status of each store's purchase, sale and storage in real time, and we can also change production orders according to these figures. This greatly facilitates the reduction of inventory and appointment production in sales management.

In supply chain management, modern enterprises must strive to find new profit margins.

If the ex factory price of a consumer product is 1 yuan, its retail price is usually 4 yuan. In a highly competitive era, it is difficult for enterprises to reduce the ex factory price even 10 Fen, while reducing the 3 yuan cost in circulation channels is relatively easy.

Of course, in a historical stage, virtual can become the sunflower treasure of enterprises, but it does not mean that they can win a hundred years.

Therefore, when everyone was following the "virtual operation", Metersbonwe began to consider the pformation and go against it.

Metersbonwe began to investigate the location of CBD in the first tier cities nationwide, and plans to open 100 large direct flagship stores in the near future. In the plan, the United States will invest in the construction of a core factory.

It should be said that Zhou Chengjian is keen to observe this point. After all, virtual is not omnipotent. To control accurately, we must have direct battalion and our own production capacity. In the future, we must have 20% of production capacity and retail terminal under our control.

The change of Zhou Chengjian's thought is not without reason, but from the sudden change of international textile trade situation.

All kinds of international trade frictions and exchange rate changes caused by the post quota era resulted in a large number of export orders lags or even disappeared, resulting in a large number of Chinese textile and garment enterprises under construction or even stop production.

The domestic market has been rediscovered, because the consumption habits of consumers at home and abroad are different. Clothing enterprises must adapt to this change.

{page_break}

Unlike other enterprises in general, Metersbonwe is committed to product development and brand awareness and reputation. At the same time, it attaches great importance to providing various services and managing various franchises.

At the same time, emphasis is placed on management culture grafting. Metersbonwe's business philosophy is shared, replicating management for all franchising stores, and achieving "five reunification", namely, unified image, unified price, unified propaganda, unified distribution and unified service standard.

Through the standardized management of channels, the image of Metersbonwe has been shown to the world, and the terminal sales ability has been improved.

At the same time, Metersbonwe strives to build the first brand of domestic casual wear. From the perspective of enhancing brand awareness, implementing brand strategy, employing front-line Hongkong and Taiwan superstars as brand spokesmen, enhancing brand image and constantly improving product design connotation to meet more consumer needs.

Because of the management problems, Metersbonwe also had quality problems in the early years, and also appeared the phenomenon that the manufacturers sold the clothes with a large number of styles and fabrics to the wholesale market. Although they did not play the Metersbonwe brand, they had a great negative impact.

To this end, Metersbonwe had to set up a full-time anti-counterfeiting team, and set up subsidiaries in Zhongshan, Guangdong and other places, sent special technical groups to carry out technical guidance and training for cooperative producers, and implemented strict total quality control.