How to Develop the Domestic Needs of the Footwear Industry in the High Cost Era

"Dongguan's footwear industry can maintain its leading position for at least 20 years." This statement was made by Zhang Ronghua, president of Huajian Group, a leading enterprise in Dongguan's domestic leather-shoe company. However, since the beginning of this year, the development of the footwear industry in Dongguan with toys and garments as the three “low-value-added industries” has not been optimistic. The major landmark event was the outbreak in the middle of November at Huangjiang Yucheng Shoes Factory. Thousands of workers’ rights disputes.

“As an example of Adidas shoes made by YuYuan shoe factory, the ex-factory price was 20 US dollars five years ago. When I went to study prices a few days ago, it was still a pair of 20 US dollars. Compared with five years ago, workers’ wages rose at least. More than twice as many, this way, the days of the factory owner can be imagined." Mr. Liang Fei, who is engaged in purchasing trade in Houjie, told reporters.

“This is a time when most companies are sad, and very few companies are gradually monopolizing and eventually leading to winners.” Wang Hua, the owner of Houjie Yucheng Shoes, summed up this way. He said that any industry in the worst era is actually a new one. Shuffle, an era when someone is happy about someone's worry. “Those shoemakers with thick homes, adequate cash flow and the ability to stick to them will be the final winners. When most companies do not dare to take over orders in order to protect their capital, some of the rich and powerful enterprises have received more orders, when the economic situation When things turn for the better, these companies will do better business, because in difficult times he can withstand pressure orders, in the industry will naturally get a good reputation."

Zhang Huarong, President of Huajian Group, told the reporter that the overall development of Dongguan footwear industry is facing the problems of reduced orders and high costs. However, as for Huajian Group, this year, the whole industry is still crying out for difficulties, but still achieved sales growth. 20% performance.

Zhang Rongfei, a foreign trade company executive who is engaged in the procurement of leather shoes, told reporters that this year is the most difficult year for all leather shoe factories to recruit. This kind of difficulty is not temporary but an industry phenomenon that has existed for a long time. To his knowledge, five years ago The major leather shoe factories are still picky. They usually like to select honest female employees. In recent years, even male workers have not been able to find it. As large labor export provinces now have large enterprises that have already entered, people no longer go out and can find good jobs at home. As a result, workers in Dongguan's leather footwear industry began to recruit workers in more remote provinces through intermediaries and older workers.

“The wages of shoemakers were 800 yuan a month five years ago, but now they have generally risen to 1,800 to 2,500 yuan. Plants that are less than 1,800 yuan simply cannot keep workers. However, wages are rising, and factory order prices are always maintained. In the low position, therefore, the profit can only be squeezed by the factory, which is the current status of the Dongguan footwear industry exported by OEMs.” Liang Fei revealed that for the small foundry companies without brands, the only way out is to go To open factories in areas with low labor prices, if they are left unguarded, they neither build brands to expand domestic sales nor consider relocating factories. It is certainly not possible to stay in Dongguan in the spring.

*** said that in fact, the success of the Adidas foundry was due to the difficulty of finding workers, and the high-level decision to go to Jiangxi to open a new factory led to. Even the leading shoe-making enterprises such as Huajian have difficulties in recruiting workers in Dongguan. This reporter learned that Hua Jian had opened a branch factory in Jiangxi some time ago, and spent huge sums of money to build the world footwear headquarters base, that is, in order to deal with the declining unfavorable situation of the low-end manufacturing industry. “Dongguan is suitable for R&D, raw materials trading and talent training. The workshop is not suitable for staying in Dongguan.” Zhang Huarong said.

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