Shoe Enterprises Face The Biggest Difficulty In Transformation: Shortage Of Funds

The fourteenth China yesterday Dongguan international shoes exhibition It will open for 3 days. The exhibition brings together about 450 exhibitors from Hongkong, China, Taiwan, Italy, Portugal, Turkey, Denmark, India, Japan and the United States. The exhibition is divided into three thematic exhibition areas: finished shoe area, material leather and accessories area and shoe machine area, displaying high and medium grade shoes, shoe materials, shoes decorations and machinery to meet buyers' one-stop shopping needs.

Shoe enterprises face shortage of funds

Dongguan Dong Zan Co., Ltd. is a three to one enterprise, specialized in foundry products. Women's Shoes 。 The company started exporting 17 years ago, and because it was mainly exported to Japan and other countries, the financial crisis in 2008 did not hurt the company. "But this year is completely different." Wang Huiwen said that the cost of shoes materials such as rubber and pig skin increased by 30%. In addition, the rise in labor costs is also a headache.

Since last year, he tried to switch to domestic sales and re registered the company in China. "There is really no reason why spanformation is really lacking in money." He said. Because he is a native, he often has to take his home property as collateral so that he can get a small loan from the bank.

Wang Zhuoliang, Executive Deputy Secretary General of Dongguan Leather Footwear Association, said that the footwear industry in Dongguan is still mainly OEM export. Although spanformation and upgrading is the way out, expanding domestic sales is not an easy task. At present, in Dongguan, domestic sales are only preliminary, and no climate has been formed. The biggest difficulty of spanformation is the shortage of funds.

This year, Xie Yang, general manager of Yiyang Shoes Co., Ltd., which has just been spanformed into domestic market, has expressed another view. "The key to domestic sales is to calm down the mind and make the product well and the channel well. Don't spread it too far from the beginning.

Organizers will increase investment in shoe exhibition

Reporters at the scene saw that this year's exhibitors of finished shoes have been reduced compared with previous years, coupled with the current shoe industry's rising costs, declining profits and difficult export markets, allowing the industry to add some conjectures.

"It's true that business is hard now, but the prospect of brand, creativity and domestic sales is still optimistic. Now the trend of consumer goods in the world has been slowly targeted at China. Feng Peixi, vice president of Dusseldorf Exhibition (Shanghai) Co., Ltd. said, "Dusseldorf group has never given up on Dongguan market, on the contrary, we will increase investment."

In this regard, as one of the organizers, Zhu Yulun, chairman of the Hongkong Ya style exhibition, said that the reduction of the finished shoes exhibition area is indeed a fact. From the export market, international traders are extremely pressing against Chinese products, and the domestic market has not yet fully started. This is also the labor pains before the spanformation.

In addition, Feng Peixi also talked about a more realistic question. He said, at present, the competition for shoe shows is fierce. The shoe manufacturers will consider the realistic question. They are attending the Canton Fair, the shoe exhibition in Guangzhou or the shoe exhibition in Dongguan. "In fact, the shoe exhibition itself also needs support from local enterprises and the government. The government can consider subsidized the exhibitors and encourage them to participate in the exhibition." Feng Peixi said.