Home » Other News

Zhejiang and Guangdong shoe is not easy to break out of the way domestic difficulties

24 August 2010 No Comment

When the crisis came, Zhejiang and Guangdong enterprises encountered the same problem: not easy to switch to domestic matters.
    Today, a challenge to us. This is what used to be the international market, many OEM companies in Dongguan started to work as part of the domestic market. According to reports, enterprises are facing the following problems: First, the international market, based on the production line based on the rigid modes of production, domestic sales in turn must be converted to meet the domestic demand of flexible production line. For example, one production line in the head and tail may have to produce different types of species; a manufacturer had to do "spell list" that is a synthesis of multiple orders for production orders. This has forced enterprises to improve their technology and production processes. Second, reliance on commercial orders, according to a single shipment must be converted to personal marketing mode to enter the market, make efforts to meet consumer needs. Third, domestic sales will involve technology, trademarks, intellectual property aspects. These in the past when the economy is difficult to imagine, therefore, the media called this the "Breakthrough of the road difficult and long."
    Frankly, this matter not only difficult it is not difficult. That is not difficult to review the course of reform and opening up, Guangdong is both international and domestic markets from the building. In addition to foreign trade, huh, on the other hand has also invigorated the domestic market, 80 of the last century, "economic Expedition" how majestic; 90 years, "Guangdong grain," "Pearl River", "Lingnan electricity" swept the country. Dongguan During this period, there have been "Apollo Liquid," "blessed CPT" and so proud products, "Ka U.S. fans," "Ling high air-conditioning" and other competitive products. Until the early '90s, Guangdong is still one third of the products in the market selling local, one-third of domestic sales, one-third of sales abroad, the capacity of the domestic market in Guangdong, not bad. It was not until the late 90s, with the increasing degree of opening of China, Guangdong products will be gradually shifted abroad, the export processing trade practices, Dongguan is more simple, so Dongguan, Guangdong, in particular, export-oriented economy astonishingly high degree of dependence. Not only to Guangdong, the Yangtze River Delta has a similar situation. Such as Zhejiang Province, eight of the last century, the nineties, "thousands of miles, a thousand words, trying to" occupy the domestic market. But in China's accession to the World Trade Organization, international brand has run, they took large orders in China looking for foundries. As a result, companies began mass production and small volume OEM production of own-brand selection. In the end, the former prevailed. Although gross margins because of lower OEM to do, but the total profit greatly. For businesses, do not strenuous foundry. In many cases, transactions both sides do not even have to meet, as long as a few phone calls, several fax, you can start, two clear payment. Over time, people have gradually abandoned the old road, by order to survive life's good.
    That difficult, when the crisis came, Zhejiang and Guangdong enterprises encountered the same problem: not easy to switch to domestic matters. While the media coverage of the difficulties is inevitable, but the most fundamental difficulty is the high transaction costs. Doing business in China, despite the low production costs, but the products sold in the market, the profits get our hands on, and dealing with difficult people, to drink, to Latin America. Would also like to know a lot of unspoken rules, violated not work. None of the international business needs, according to international practice, products, samples of their past, the right to go if a container of a container cargo. Now back to the domestic market, which is equivalent to the things that they have forgotten all over again familiar, do not want to do their own re-done. Who will be positive?
    Therefore, the biggest problem is that entrepreneurs do not want to return to the domestic market. Wenzhou businessmen talk of a so words: human life is limited, 20-year-old, venture; more than 30 years of age, before starting the business-plant marketing systems, sales commission agencies, a modicum of success; 40 years old, he became a export, manufacturers, OEM on behalf of the business; eight years, the international market contracted, there is no order, he is almost the age of 50, and can re-do back-plant it? The current situation is that many people have dry no more. Guangdong, Dongguan is not also the case? The author's last article in this column once said, Guangdong people are good at capturing new business opportunities, new markets, defect is excessive flexibility can not be sustained, and shoot for a place. Now, overseas to die on the return home, but soon occupy the domestic is not easy, is not shifted to other areas or other areas, other industries? Can we attached some, next to no other care, push hard.
  Someone once said, Guangdong to achieve the products are mainly sold abroad, spent ten years. Today, head back to re-occupy the domestic market, three years can be successful. We hope that this is not only a utilitarian argument, but should be a spiritual highlight. Three fail, more years, should keep the job. Most in need now, is to train a group of daring to do the domestic market, the domestic good management talent.

I am an expert from chinacervicalcollar.com, while we provides the quality product, such as inflatable cervical collar , china limbs retainer splint, cervical collar,and more.

Leave your response!

Add your comment below, or trackback from your own site. You can also subscribe to these comments via RSS.

Be nice. Keep it clean. Stay on topic. No spam.

You can use these tags:
<a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>

This is a Gravatar-enabled weblog. To get your own globally-recognized-avatar, please register at Gravatar.