China Clothing Industry Opportunities and Puzzlements Interpretation Press: Inspirational Clothing Browsing Times: 55 The past twenty years have been a year in which opportunities and challenges coexist in the development of the clothing industry. From "World Factory", "Made in China" to "Design in China", China garment industry has experienced 20 years of unusual opportunities. After four stages of product management, brand management, capital management and resource management, it has achieved or is achieving a leap from family workshop to factory management, from factory management to group management, and from group management to joint-stock management, forming a large-scale production capacity. Among them, the power of competition and industrial integration is more and more critical to the development of the industry. The brand value of China's clothing industry is first manifested in the trend of integration, including the integration of manufacturing enterprises, as well as the integration of terminals and intermediate channels. At present, the clothing industry in China is on the road of brand integration and terminal sales model innovation, and the integration of distribution channels is undoubtedly a hot spot in the industry after terminal integration. This paper mainly expounds the industrial structure of China garment industry, and does not pay attention to the development trend and center of industrial value chain. But one thing is clear: if the channels are not integrated, the brand will definitely have no scale. China garment industry is facing higher and higher challenges. With all kinds of new trade protection and the improvement of green standards in developed countries, the profit margin of China garment industry is getting smaller and smaller. At the same time, the labor cost of developing countries around China is lower than that of China, and the product structure is basically the same as that of China. At present, the competitiveness of some rough machining products has surpassed that of China. The development of clothing industry includes two aspects: first, the processing and production of clothing; The second is the marketing of clothing. Therefore, production and sales will directly determine the rise and fall of the industry. After China's entry into WTO, the challenges faced by China's garment industry mainly include technical challenges, talent challenges, enterprise competitiveness challenges and industry comprehensive competitiveness challenges. Therefore, improving the competitiveness of enterprises in an all-round way is the most important countermeasure for China garment industry to deal with WTO. So what are the opportunities and challenges facing the clothing industry at this stage? I. Opportunities Facing the Clothing Industry (I) The increase of residents' income stimulated their purchasing power of clothing. The upgrading of consumption structure directly leads to the change of sales model. On the basis of the rising total volume, many enterprises are facing the test of sales model innovation. From June to September 2005, the per capita expenditure on clothing was 599.6 yuan, an increase of 32.7% over the same period in 2004. Per capita clothing expenditure was 44 1.8 yuan, up 40.6% year-on-year, accounting for 6 1.6% of clothing expenditure. In the first three quarters, the unit price of clothing increased by 24.8% compared with the same period of last year, and the price increase was exciting. Total expansion and structural upgrading make enterprises have more mode choices. Clothing enterprises with basic conditions must carry out strategic planning of product upgrading in advance. In the future, China will be able to have its own graded brand, and the conditions for the birth of local luxury clothing brands have basically been met. The unbalanced characteristics of China's clothing market determine that the top clothing brands in China must be regional. The concept of key sales day is playing an increasingly important role in the sales of high-end brand clothing products. From casting a net all over the sky to precision strike, the resource matching and strategic synergy mode of enterprise marketing are facing great challenges. The peak season of clothing purchase in 2005 is in February, May, July and September. In recent months, the per capita expenditure on clothing has increased by 1 17.4%, 52.7%, 92.9% and 4 1% respectively compared with the same period of last year, and the sales effect of Golden Week is more prominent. (2) Advantages of human resources. Low cost is the main aspect of industry competition at present. Professional technical reserves and low-cost human resources will lead to two completely different outcomes of industry competition. The demand for talents must first be related to the development strategy of enterprises. In China, the current industry competition is mainly driven by two aspects: brand and cost. There are many colleges and universities specializing in clothing and textile in China, and the existence of these schools undoubtedly provides a rich talent pool for the development of the clothing industry. Up to now, there are 104 clothing research institutions, 2 clothing colleges and more than 40 colleges and universities in China, which are the foundation to support the brand strategy of China clothing enterprises in the future. Clothing industry is a labor-intensive industry, and making full use of human resources is the key to support this industry. According to the labor cost information of the top ten industries released by the Labor and Social Security Bureau in 2005, the garment and textile industry is the lowest. Using cheap labor resources to develop clothing industry undoubtedly has a competitive advantage in clothing production cost. (3) The price of cotton and chemical fiber affects clothing export. The rise of the international status of China's clothing and even the whole textile industry depends on the degree of integration of its own industrial clusters. The status quo of big and complete, small and complete industries will not have international influence at all, and the dream of so-called international brands will not come true. Clothing industry is closely related to cotton fiber price. China is a big producer and consumer of cotton and chemical fiber. The price of cotton and chemical fiber began to affect the international price trend, which had an important impact on the export cost and price of China's clothing. How the export position develops to a decisive position that has an impact on the global market, and how the garment industry in China combines or integrates with the raw material industry to achieve the convergence of power, the prospects are very attractive, among which the use of industry associations and industrial capital leverage will be the key influencing forces. (D) The joint strength of the Association has shown its value. China's overall industrial capacity leads the world, but its overall competitiveness is far from advanced, especially its profitability is not as good as others' 10%. It is feasible to change the reality of small and whole industry first, so joint ways such as trade associations are very good choices. Small and complete have no competitiveness at all, and can only grow and develop by joint efforts. Zhejiang enterprises, especially Wenzhou Garment Enterprises Association, are at the forefront of the country in terms of joint information acquisition and provision, joint design institutions, joint procurement, joint promotion and joint activities. Although Wenzhou's products still have a long way to go on the brand road, the business philosophy of the enterprise has inspired the strategic value of this industrial group. In fact, throughout Zhejiang, the strength of trade associations is sending Shanghai's resources back to Zhejiang, and international fashion information is becoming the competitiveness of Zhejiang enterprises. 2. Challenges facing the clothing industry (1) The clothing brand strategy has a long way to go. The brand strategy of clothing should first solve the profit problem to ensure continuous investment. Therefore, there are two sides of contradiction and unity between low cost and brand strategy: the brand road is a subversion of the low cost road, but for most enterprises, low cost is the blood source of brand strategy. Therefore, how to deal with the two development ideas is not only related to actual survival, but also to the long-term future. In a short period of 10 years, a considerable number of brands have gathered in China market, such as Hengyuanxiang, Hongdu, Li Ning, Youngor, Shanshan, Bosideng and Seven Wolves.