Analysis Of The Survival Environment And Development Trend Of Local Brands

The Chinese market is a growing cake. People look at it. Foreign brands are also salivating.

"2010

Strong and weak differentiation accelerates Matthew effect

From the perspective of consumers' consumption habits, the psychology of Chinese people worshipping the ocean is quite serious.

Successful people, social elites, those with high or higher purchasing power generally choose only foreign brands, or spend most of their consumption on foreign brands.

Consumers with moderate purchasing power enjoy pleasure in the "fake foreign devil" and the more famous brands in the country; consumers with limited purchasing power choose the price according to their main choice, and the purchase is naturally domestic brand or even no brand name.

From the industry itself, the vast majority of clothing enterprises are small and medium-sized enterprises, with a lot of bruising.

Brand product and style stability is not enough, the route is not clear, publicity and promotion is not in place, more vulnerable to market changes.

To enhance the strength, development and growth of enterprises may be just an unrealistic illusion, or they will encounter bottlenecks and breakthroughs when developing to a certain scale.

Li Shengzhi pointed out that compared with the use of channels, the main locations of high-end mainstream shopping malls and famous commercial streets in the first tier commercial circles in China are basically dominated by foreign brands, leaving only some corner positions to make the "fake foreign devil" and the more powerful brands in China be partitioned out. The rest can only occupy the two or three line position to compete for tourists.

But even if we occupy a better position, there are two kinds of pain to bear. One is the "discount increase" of shopping malls and the more wave of sales promotion, squeezing the pain of profits; the second is the rising pfer fees and rents of street shops, which make people feel reluctant to part.

People are worried about shopping and worshipping the ocean.

The current economic environment is also very unfavorable to the development of local brands. Li Shengzhi said: first, the export is blocked and the future is likely to be a downward trend; two, there is a serious shortage of skilled workers, and the general labor force is gradually decreasing; three, influenced by the policies and regulations of the state, the manufacturing cost is rising and increasing gradually; four, the consumption in the domestic market is increasing, and every year is over double digits, but at the same time, the influx of domestic brands is also increasing. The domestic brand products will be squeezed and attacked, and the situation is not optimistic; five, the excess capacity will exist for a long time, and the price war will also be accompanied by each other.