Advantages And Disadvantages Of Diversification Strategy For Shoe Enterprises

In the past few years

It is reported that many enterprises adopt diversified operation to enter the outdoor market, and now Jinjiang's outdoor market is popular market.

"The seven wolf wolf shoe industry is no longer what it used to be."

Zhou Shaoxiong, chairman of the seven wolves industrial Limited by Share Ltd, said that as the first enterprise to realize diversified development in Quanzhou, seven wolves have already tasted sweetness. The annual sales revenue of the seven wolves sports has been broken by 1 billion yuan, and the sales of the seven wolf wolf shoe industry (including leather goods) is also increasing year by year.

Zhou Shaoxiong has no secret that his goal is to get through all fields, from shoes to clothing to accessories and luxury goods.

The "lofty aspiration" of the seven wolves can not help people to raise their thumbs. It is understood that many of the famous brand shoe companies in China are also quietly pforming.

Huang Yishun, who designs the OEM Shishi card company of famous domestic footwear enterprises such as the rich birds, the wood, the red dragonflies, and AOKANG, said that if Fujian is the world of casual men's clothing, Zhejiang is the genuine leather shoes city. Besides shoe products, many shoe enterprises like Jiangsu and Zhejiang have begun to slowly pform, and have begun to set foot in such supporting fields as clothing. "This is the general trend. In the future, they will enter the field of accessories with sufficient financial strength."

Huang Youshun said.

Although diversification strategy can create many unexpected market opportunities for shoe enterprises, there is no denying that there are also bigger risks.

Because of the need to get involved in a broader direction, shoe companies have to invest a lot of resources, such as manpower, material resources and financial resources, which will inevitably lead to difficulties in capital operation and large span of operation. They also need to be very critical in the choice of projects. If careless mistakes can lead to business difficulties, or lose the advantage of the core brand, or make the enterprises fail, they will be trapped in the plight of everlasting redemption.

It is not easy for a shoe enterprise to take a diversified road. Cross-border development, enterprises often need higher visibility and market awareness, and cross boundary is not easy, but for shoes and clothing enterprises, cross-border is also necessary.

According to Zhang Wenbin, chairman of Mobile Group Holdings Limited, the success of the listing has not only brought great confidence to the development of China's casual footwear industry at the critical stage of pformation and upgrading, but more importantly, it has a broader development platform, such as Jin Mai Wang and Golev, and truly becomes a brand clothing operator. It is no longer a dream.

Brand "growth" is the core strategy of a brand after its establishment, how to continuously innovate, expand and strengthen, strive to enhance brand connotation, and firmly grasp market discourse power.

With the anticipation of economic pformation, the proportion of consumption sector in the macro economy has been increasing, making the brand and shoes and clothing guiding market ability continue to look good. The huge development prospects will push the brand new round of shoes and clothing brand.