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How To Digest Inventory In Dragon Year To Test Many Garment Enterprises

2012/1/31 17:44:00 9

Beginning in October 2011, on the one hand, shopping malls

Sale

Volume pressure makes garment enterprises hard to bear, on the other hand, the relationship between peers.

compete

As the market is becoming increasingly fierce, the situation of China's clothing market has changed dramatically, and sales of many garment enterprises have stagnated and inventories have surged.

How to digest inventory in the year of dragon has become a severe test that garment enterprises have to face.


At present, the international economic situation is still chaotic. As the largest garment producer in the world, China's clothing industry is hard to stay away from it.

The export situation of China's garment industry this year is not optimistic.

Hindering foreign trade is bound to trigger a chain reaction, which will lead to a more far-reaching impact on the domestic clothing market.

First of all, the impulse of export enterprises to export to domestic market will be strengthened, which will bring a new impact on the original market structure.

Second, the two recession of the global economy is expected to further exacerbate the continued downturn in the European and American markets, and the desire of European and American clothing giants to seek a way out in the emerging market led by China will also be unprecedented.

In 2011, ZARA, HM, UNIQLO and many other international brands entered the two or three tier market in China unprecedentedly, and this trend may be strengthened in 2012.

It can be predicted that in the next 3-5 years, the confrontation between international brands and domestic brands will be unprecedented in the two or three line market.


Although the domestic economic situation looks much more optimistic than the European and American markets.

The government has also indicated on various occasions that this year's funds should be tilted to the industrial sector, which seems to be a positive sign for the business community with tight capital chains.

However, at present, inflation rate of over 4% indicates that China's macroeconomic regulation and control policy will not be completely changed this year.

Transformation

Pain.


This means that in 2012, there was no substantial improvement in the financing prospects of Chinese garment enterprises. With the public's concerns about the economic development prospects, the difficulty of obtaining financing from banks by private clothing enterprises is even more likely.

The downturn in the stock market has also made many garment enterprises "very hurt".

Despite the strong impulse of listing and financing in 2011, a large number of domestic clothing brand enterprises are seeking to be listed at home and abroad, but the situation is not optimistic.

According to a survey, the IPO pass rate of China's garment industry in 2011 was only about 50%.

Obviously, how to deal with it.

Investor

The doubt will also be troubling the clothing companies that plan to go public.


In addition, it is worth noting that the shadow of domestic inflation will continue to follow the shadow of the future and become a great pressure on China's economic development.

At the same time, the pressure of garment enterprises' cost rising is also huge, which will severely test the profitability of garment enterprises.


In 2012, the principle of financial prudence may be a good choice for many domestic garment enterprises.

For fear of the market, domestic garment enterprises will be more prudent in channel expansion, product development and other aspects, and strengthen cost control to overcome the difficult period.


Reduction may be one of the top 2012 tasks of garment enterprises.

Due to the pressure of inflation, the consumption power of the public is suppressed, and the market prospect is uncertain. The smart move of Chinese clothing enterprises is to keep pace with market changes, innovate products and adapt to new market segments, and control inventory level tightly.


Of course, another good way to digest inventory should be to accelerate the expansion of terminal stores.

The strategy of opening a large store seems to be the prevailing trend of garment enterprises at present. But in China's current market, whether big shops can really bring profits is a problem of comparison.

Although large stores can drive a large number of sales, it will also be a hidden danger of huge inventory. The current clothing enterprises need to be more cautious about the expansion of stores.


Of course, for some garment enterprises with strong financing strength, they can integrate the upstream and downstream industry chains related to the company's business through acquisition, strategic cooperation and so on, and gain more value added opportunities from them. They can also expand the number of terminals in the regional target market through financing, thus widening or approaching the distance from their competitors.


Although many garment industry personages say that, combined with the experience of European and American market development, combined with the actual development of China, the garment industry in China will remain at a relatively high growth stage for a long time. However, how to spend this cold winter is perhaps the most urgent practical problem of many Chinese garment enterprises.


 
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