The 100 Billion Garment Enterprises In Mainland China Are Not Accidents.

One market The most widely spread joke is that all clothing enterprises do not produce and Stock clothing is enough for the whole country to wear for one year, while another more spicy paragraph says that a garment company of 50 thousand people can not earn as much as a real estate company with only 500 people, much less than a 50 equity investment company.

"In terms of China's own market, it is not surprising that hundreds of billions of enterprises will emerge in the future." Hong Zhongxin does not agree with this view. He believes that the good days of China's clothing industry are not at the end. "China's market is extremely large. At present, there are hundreds of billions of market in men's clothing industry, and the growth rate is two digit per year."

Accordingly, Hong Zhongxin is optimistic that the characteristics and advantages of Chinese clothing brands are also forming, and it is entirely possible to occupy a certain share in the international market in the future.

Clothing enterprises need not feel inferior.

Transnational clothing enterprise UNIQLO's 2009 financial report shows that Inditex (ZARA) and Gap2009 revenue in the fiscal year are 13900 billion yen (111 billion 700 million yuan), 13149 billion yen (about 105 billion 600 million yuan), H&M's annual income has reached 11359 billion yen (about 91 billion 300 million yuan), ZARA, H& M, Gap and other markets in the Chinese market, and the hot sales situation has made Chinese garment enterprises feel enormous pressure.

Inditex, headquartered in Spain, was founded in 1985. It has been used for more than 20 years, and has already entered the "gate" of 100 billion yuan in revenue. However, there is not a "threshold" for China's local garment enterprises across 10 billion yuan. {page_break}

Hong Zhongxin analysis, the above differences and China clothing The path of enterprise growth is inextricably linked.

For example, the development of 31 years has gone through three stages, one is from 1980 to 2000. This is the product era of the clothing industry. As the reform and opening up has released huge market demand, product production has become the key factor determining the survival and death of enterprises. As a manifestation of primary competition, the competitive locations of enterprises are mainly in factories, where decisions are made and prices are determined.

The two is from 2000 to 2007. At this stage, China's garment industry has already said goodbye to the supply shortage era, and the sales channel has become the key to decide the prosperity and decline of every enterprise. Chain operation has become the main business mode of garment industry, and the competition place of garment enterprises has changed from factory to market.

Three, since 2007, brand has become the top priority of garment enterprises. In Shanghai, the rental price of some core business areas reached 100 thousand yuan per square meter. In the two or three line cities where domestic garment enterprises occupy a larger advantage, the rent also rose sharply. With the increase of human resources cost, the continuous growth of the sales channels by increasing the number of sales channels has already met the "ceiling". Laying stress on product development, grasping the fashion trend and enhancing the brand connotation has become the only way for garment enterprises to break through the tight encirclement. After entering this stage, Chinese local garment enterprises and spannational clothing brands really start competing with each other.