textile testing
How should the textile equipment industry deal with excess production capacity?
by:GESTER Instruments
2022-08-22
In recent years, various small clothing workshops have begun to go bankrupt one after another. Small clothing processing companies in some areas of Hangzhou have experienced a lot of losses and bankruptcy. At present, the number of clothing processing enterprises in the village has been reduced from 900 to 500:“I used to make 15 yuan for a piece of clothing, half of which was profit. Now I can earn up to 8 yuan, except for rent, water, electricity, and labor, there is almost no profit. Some factories only have one or two orders a week, making dozens of pieces of clothing, which is too difficult to sustain.”Just a few years ago, there were many small workshops here for processing materials. Among them, Pengbu Wubao, Qibao and other villages quickly gathered more than 1,600 processing points due to low rent and convenient transportation. At the same time, the number of garment enterprises in Hangzhou increased from 1,400 in 2005 to 2,400 in 2010; A farmer's house, 10 sewing machines, and no more than 20 garment workers at most, Hangzhou's garment processing mode started in the late 1980s, and the products are mainly exported. Around 2000, with the continuous expansion of Hangzhou Sijiqing Wholesale Market,“Hang style clothing”quickly occupy the domestic market,“low scatter”The processing of materials workshops also flourished. At that time, the threshold for garment processing was low, the investment was small, and the profit was relatively high. In just five years, a large amount of resources poured into Wubao and Qibao, which more than doubled the output of clothing. However, the market demand is limited. Around 2012, affected by the global economic downturn and changes in the e-commerce model, clothing orders began to decline year by year, and processing workshops were the first to bear the brunt. A set of data also shows that the traditional clothing industry is experiencing a cold winter: In 2014, the sales output value of clothing enterprises above designated size in Hangzhou was 28.5 billion yuan, a year-on-year decrease of 1.35%, and the first negative growth occurred. In 2015, the sales value of garment enterprises above designated size in Hangzhou dropped by 0.77% again. At the same time, according to the statistics of Hangzhou Economic and Information Commission, the total profit of garment enterprises dropped by 39.65%, and there was a loss of 24%. The extensive clothing manufacturing model is obviously not suitable for green and efficient development requirements, and it is the general trend to eliminate backward production capacity. In Hangzhou, with“low scatter”The processing workshops have gradually withdrawn from the competition, and new clothing processing clusters have emerged in Xiaoshan, Yuhang and other places. different from the previous“fight against each other”, the new cluster has the advantages of resources, functions, services, radiation effects, etc., and is more suitable for small and medium-sized enterprises to develop together. Promoting information-based design and intelligent production has become a long-term goal. The development trajectory of the above industries is similar to the current textile equipment industry. The reshuffle period of the textile equipment industry has come. Since the economic downturn in 2014, the textile equipment industry has begun to show an inflection point, and the industry is weak in growth. Textile equipment manufacturers began to go bankrupt and vicious price wars. In the early stage, due to the simple production process of undifferentiated textile equipment and the large market demand, this industry became a market for public capital, but many small and medium-sized textile equipment manufacturers did not have deep knowledge. The technology accumulation and research and development capabilities of the company are still in the growth period of the industry. Once the competition increases, it will be eliminated. From the life cycle of the small and medium-sized garment processing workshops above, it can be found that in the shuffling period of the textile equipment industry, such enterprises without core competitiveness will inevitably disappear in the future competition, and textile equipment will inevitably appear next. The industry's merger and enterprise phase-out period, so how should the textile instrument industry face this reshuffle period? It is believed that we need to start from the following aspects: 1. It is related to improving service quality and maintaining old customers; as a service industry, we strive to provide high-quality services for customers to solve problems. This is the basic job responsibility of textile equipment companies. It has always been a high-standard industry service guideline to lead the market, and strive to strengthen the maintenance of old customers and the handling of problems. 2. Improve product quality and use market feedback to speak; Product quality is the foundation for companies to develop the market. Good products can speak for themselves, and they will spread word of mouth for customers. Therefore, the textile instrument industry must strictly control the quality in the production of instruments. Control product quality to satisfy customers. 3. Improve R&D and innovation capabilities; 21 The world is a world full of innovation capabilities. Only innovation can make enterprises invincible. Therefore, textile equipment companies need to strengthen their innovation and R&D capabilities to keep up with the changes and needs at this point in time. . 4. Strengthening marketing promotion and brand building Brand building is a priority strategy for an enterprise to stand out in market competition. The fundamental goal of market promotion for textile instrument companies is to build their own brand during the construction period, build brand trust, and maintain market stability. . Today, I will briefly introduce the above points. I believe there will be many details and solutions that can be discussed and analyzed in depth. However, enterprises must establish such a sense of service and innovation to fundamentally change the price competition. kind of situation.
GESTER International Co.,Limited helps high-profile clients build strategic relationships that drive company growth, investments, funding and more. There are many make-or-break details involved in the day-to-day manufacturing within our company.
We would appreciate your immediate attention to textile testing equipment.
According to the latest social survey, more than 50 percent of consumers (across all age demographics) follow a brand before purchasing a product. Therefore, GESTER Instruments's content can make or break a customer's decision to conduct business with you.
GESTER International Co.,Limited helps high-profile clients build strategic relationships that drive company growth, investments, funding and more. There are many make-or-break details involved in the day-to-day manufacturing within our company.
We would appreciate your immediate attention to textile testing equipment.
According to the latest social survey, more than 50 percent of consumers (across all age demographics) follow a brand before purchasing a product. Therefore, GESTER Instruments's content can make or break a customer's decision to conduct business with you.
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