Textile foreign trade: Actually we can do better
Developed capitalist countries have experienced eight economic crises in more than 100 years. There are always some simple repetitions in these eight economic crises – most companies died, but some companies survived and continued to grow. Lehman Brothers has always been able to strengthen itself in past crises, but unfortunately it has completely withdrawn from the stage of history this time. It grew because Lehman did a lot of things he should have done; and left because he did a lot of things he shouldn’t have done. For Chinese garment foreign trade companies facing such a crisis for the first time, what should we do? There may not be a one-size-fits-all rule, but excellent companies always have a lot in common, which is worth learning and thinking about. Recently, reporters have investigated and visited some companies that are still coping calmly during this crisis, and are slowly looking for answers.
Repeat the old tune
Design and creativity are opportunities
Entrepreneurs will understand what design and creativity mean to a company. Especially under such harsh foreign trade conditions. Because of the different strengths and weaknesses of design capabilities, the clothing exhibition area of the Canton Fair presents very different trends. Some companies are worried about survival, while others are thinking about the next step of growth; some companies with outstanding design capabilities can still bring their products to the forefront in 2008. Foreign trade orders increased by 20%. “Because we have a strong design and creative team, we can provide customers with nearly 10,000 styles of sample clothes every season.” Liu Chen, an executive of Beijing Xuelian Fashion Textile Co., Ltd., revealed to reporters that they can win the 20% The point is.
Obtaining this 20% depends on a company’s design and creative capabilities, and the key to obtaining this capability lies in talent. The economic crisis provides a rare opportunity for companies to find talents. A new report from major credit insurance company Euler Hermes points out that the number of corporate bankruptcies next year will hit a record high, with most bankrupt companies concentrated in the automotive, retail, textile and apparel and logistics industries. The designers of clothing companies who are about to lose their jobs are familiar with foreign fashion trends and do not need the high wages before. This will be a good choice for foreign trade clothing companies that are always facing the international market.
The economic crisis will create low-cost human resources. How to use these resources to build a design and creative team with real core competitiveness will be a brand-new proposition.
Learn to choose
Find your own high-quality customers
If establishing a design and creative team with core competitiveness and continuously strengthening products are sufficient conditions for foreign trade companies to survive now and in the future, learning to Choosing high-quality customers is a necessary condition for the long-term development of an enterprise.
How happy it would be if there were three such companies among your long-term customers – ZARA, H&M, and Z&A. Among them, ZARA’s sales in 2007 alone reached 6.3 billion euros. Then there is no doubt that even in such a bad year, you can guarantee a 20% growth.
Yes, as the sweater supplier of these three companies, Beijing Xuelian Fashion Textile Co., Ltd. relied on these high-quality customers to achieve a 20% increase in foreign trade exports in 2008.
Similarly, Shanshan Group, as a veteran enterprise in China’s clothing industry, is also making such a choice. In 2008, the group’s overseas market share increased by 20%, and foreign trade orders have been scheduled to May and June of 2009. In the words of Shanshan Chairman Zheng Yonggang, “In the past, we had 140 foreign trade customers. Through continuous selection and elimination, there are now only 30. This is the inevitable result of industrial upgrading.”
This is the power of choice. , for some Chinese foreign trade apparel companies. Perhaps selection and elimination are not the only countermeasures to deal with the economic crisis, but selection and elimination are essential solutions for early warning of crises and ensuring the long-term development of enterprises.
Mutual benefit and win-win results
Build upstream and downstream industry alliances
You must learn to choose your customers, but also learn to choose your partners. Good upstream and downstream partners can not only help you weather the crisis together, but also bring you more warmth in this cold winter. A solid upstream and downstream industry alliance is the guarantee for higher profits in China’s foreign apparel trade. This is the understanding gained by reporters in recent investigations and interviews.
In China’s foreign trade apparel industry chain, there are always two communities of interest, traders and manufacturers. In this community, there is often prosperity and loss for both. How to face the crisis together in the cold winter has become an unavoidable topic for both of them.
“We now provide reliable financial guarantees to manufacturers and settle payments as early as possible, or even in advance, to ensure their cash flow. This can not only ensure long-term cooperation between the two parties, but also allow the other party to have enough strength to resist current risks. And manufacturers will also reciprocate and give us more favorable prices.” Liu Chen told reporters that this is how their company sticks to the alliance. It is precisely based on the cost under strategic alliance.The dual effects of low manufacturing and raw material prices have allowed Snow Lotus Fashion to increase its business volume by 20% and at the same time, its profits have reached a historical high of 150%.
The reporter also encountered many companies like Snow Lotus Fashion during the visit. Maybe they cannot make huge profits in a short time, but these companies all said that such a cooperation method will pave the way for long-term development in the future. Build a solid foundation, especially after this crisis is over.
There is no doubt that a thousand foreign trade companies have a thousand crisis response strategies, but from the perspective of long-term corporate development, the successful experiences of these outstanding companies will be a wealth that can be learned regardless of crisis. AASDFWFWFWE
Disclaimer:
Disclaimer: Some of the texts, pictures, audios, and videos of some articles published on this site are from the Internet and do not represent the views of this site. The copyrights belong to the original authors. If you find that the information reproduced on this website infringes upon your rights, please contact us and we will change or delete it as soon as possible.
AA
