Speaking of fabric and clothing upstream and downstream relations, Zheng Wang Textile Co., Ltd. General Manager Huang Junxi, repeatedly said that this is a topic that can not be separated from each other. Author: Fabric enterprises as the entire apparel industry chain upstream links, we must understand the changes in the status of the industry, how do you evaluate the current situation in the industry? Huang Junxi: Now is the economic problem of society as a whole. As a subdivision industry, clothing is inevitably affected. My clients do 30% of foreign trade, this part of the affected customers is relatively large, after all, the impact of foreign trade enterprises are huge now. However, I still have 70% of customers are domestic sales, they are not affected so much. Author: In the current case, the downstream business needs have changed? Huang Junxi: obviously not the original business daring, more hesitant in the procurement show the attitude. This shows that their ability to accept the market is not very bottom of my heart, always hope that procurement can be more cautious, as far as possible to avoid blindness. I: As a fabric business there is no strategy to deal with? Huang Junxi: Many fabric enterprises have accelerated the research and development of products. Since many businesses are cautious about product choices, we give them as much detail as possible and more accurate product choices. Therefore, the fabric enterprises are now expanding the richness of the product, that is, compared with the previous, we will take more model fabrics to the pants business, we hope to refine the product to find the fabric they really need. Author: In addition to the type of fabric rich outside, there is no adjustment in the business? Huang Junxi: business change is that we have to better deal with receivables and timely settlement, receivables are for customers who previously owed, which is formed for many years the industry used to it. When the market is good, this habit is nothing for us, it's just a bit late, but when the market is not good we risk. If his business down, do not pay the money how to do? I: If you have a fist product, will be released to the same area several agents at the same time do? Huang Junxi: Now is the era of rapid copy technology, high-quality products are also very easy to copy version, the pace of homogenization of products quickly. So sometimes can not worry too much. The most important confusion has two: one is the product, for the needs of garment enterprises, the fabric is still the most important, if the fabric business to solve the problem of poor products, the development is difficult; the other is the business model, Specifically including the relationship with the agents and cooperation with the garment enterprises. The author: You talk about these two issues is equally important for the business? Huang Junxi: fabric and clothing has always been the integration of the industry, the problems encountered naturally have a great degree of coincidence. In this so-called upstream and downstream industry, the two companies face the same problems and the same opportunities. At the same time, I also hope that these two enterprises can work together to face the difficulties and work together to solve the difficulties. Author: Where are the footholds for solving these two problems? Huang Junxi: The foothold to solve these two problems lies in two words: innovation. Without innovation, these two problems can not be fundamentally resolved. For a fabric business, only constant innovation will attract the apparel business customers. For the fabric business, laziness is worse than any practical problem. Author: From the operational level of reality, the most difficult problem of fabric business is what? Huang Junxi: This is the same with the clothing company, the most troublesome is the inventory. Inventory is the biggest killer of interest, can solve the inventory problem, companies can achieve good profits. The stock meeting directly affects the operation of cash flow, will affect the speed of marketing product development and new product listing cycle. Author: Your home in the market is one of the largest fabric fabric market, may I ask for this market-oriented management, what do you know? Huang Junxi: I want to say is that the development of this market has been deformed to some extent. The outstanding performance of deformity is the rent is too high, a standardized stall, a year's rent to seven or eight million. Now the industry situation is not good, and even some of the company's rental expenses can account for 70% of gross profit earnings, the basic can be said that fabric companies are working for the market. This is a very unusual phenomenon. I: Is it possible to operate from this centralized market? Huang Junxi: In theory, it is possible that few foreign countries have such centralized fabric market. However, China's garment industry is relatively low-end, in such a market stage will need such a market form. Fabric companies like us, there is no way to discard the centralized professional fabric market.
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