Spanish Chinese Clothing Industry Unspoken Rules: Funding Triangle Debt Apparel OEM Sold

According to the Spanish European wave network report, the number of stores engaged in the garment industry in the West China merchants is no less than that of restaurants, hundred-dollar shops, and candy stores. Businesses do not start to address some potential problems in the development of the apparel industry, and the final pattern is Do not open "Mountain or the mountain, Kan is still the ridge."

Cash flow between merchants turned into "dead triangle"

As we all know, business enterprises do business, once the funds are not enough, in order to maintain the normal operation of the business, it will need new funds for turnover. Due to the fact that the cash flow is not working well and that they are still limping down, even under the premise of being in a desperate situation, they will be forced to move forward. They will inevitably suffer from irritating food and smashing the grain, and will eventually retreat and fail. Nowadays, Chinese businessmen engaged in the apparel industry in Spain appear to be quite prosperous, whether it is retail or wholesale, but in reality most of them have the problem of cash flow difficulties, which are objectively affected by the economic crisis. In addition to the subjective business strategy strategy factors, another factor that cannot be overlooked is the long-term arrears between businesses in the transaction of business transactions, the timing of the use of arrears of funds, to achieve capital turnover. As a result, the cash flow between merchants turned into "triangular debt."

In SEVILLA, there is a quite eye-catching clothing store with an operating area, decoration layout, and operating variety style. The store has been operating for nearly three years since its opening and the owner is Ms. Zhang (alias). When Ms. Zhang is in a good business at the clothing store, she will probably come to Madrid once in less than a week, or call the wholesale merchants in Madrid to order the clothes according to the model number of the clothes. The businesses will be delivered on time, but it will not last long. Today, Ms. Zhang has not received any goods from FUENLABRADA in Madrid. It is not Ms. Zhang who does not purchase, but the clothing wholesaler of FUENLABRADA directly rejects Ms. Zhang’s request.

It turned out that Ms. Zhang was able to pay for cash in Madrid when she first opened her clothing store. According to the unspoken rules of the clothing industry, the first time the merchants basically need to act according to this, and then pay a part, or wait for the third At the time of purchase, the sourcing company needs to settle the second bill with the shipper. However, Ms. Zhang simply obeyed the obligation to purchase without fulfilling payment. The result owed the owner to the West, causing numerous merchants to think that Ms. Zhang had lost her credibility and was unwilling to cooperate again. Among them, Ms. Zhang from January 2009 to July 2009, only owed Mr. Chen a family payment of 17,000 euros, and now Mr. Chen called to recover the money owed to Ms. Zhang, Ms. Zhang either borrowed money or not. Mr. Chen asked for a few days of concession; either simply missed the call or was picked up by his friends. It was not until April 2010 that Mr. Chen knew that Ms. Zhang had narrowed the scale of the clothing store business and made additional funds to open another hundred-dollar shop.

When the author suggested that Mr. Chen personally go to SEVILLA to seek the opinions of Mrs. Zhang for debt collection, Mr. Chen took the opportunity to express the hardships in his heart. He said that these were all unwritten rules in the Chinese apparel industry and he was empathetic. Even if you go in person, it is difficult to chase the money you owe. People are more concerned about their hearts and their lives, and everyone's situation is almost the same. Mr. Chen himself was also paid by other businesses all day long. First, clothing wholesalers in France, Italy, Romania, and other countries were all partners of Mr. Chen for many years. They basically sold the goods they had called for a period of time. Gradually pay the purchase price, but the clothing is not better than the food products, especially the fashion. It has passed the popular season and period. Even if it loses money, it must be rejected. With the current sluggish market, the profits will drop sharply. It is even more stretched. This creates a backlog of inventories that directly affects the turnaround of funds. The second is domestic garment manufacturers. In addition to Mr. Chen's purchases in France, Italy, Romania, and other countries, the other is to entrust garment factories in the country to produce garments, which are then shipped by sea or airlifted. The initial payment is basically 30%-50%. Pay the remaining amount according to the agreed time.

Similar to Mr. Chen’s clothing wholesale store, first of all, a large amount of money needs to be advanced, and the money sent out will not be able to be recovered as scheduled. Invisible forms form a “triangular bond”. In this chain of interests, many businesses are equal to Dancing and dancing, once a party’s capital turns around and the problem affects the normal operation of the business, even if the merchant withdraws from the middle, playing a “hide and seek” game will be formed for other businesses in the same interest chain. Huge deficits, especially those businesses that want to continue their business development, if they encounter such problems as Mr. Chen and Mr. Zhang are in arrears, as Mr. Chen said, Ms. Zhang’s arrears will come back sooner or later, but the current cash flow It is very problematic, especially when Ms. Zhang encounters the payment of money owed to others to open her own store, which is equivalent to using money owed to other people to do her own business and holding “I haven’t crossed the river yet, and people don’t want to go ashore. The psychology of selfishness and self-interested use of the other party’s sense of integrity in the business further tightened the cooperation between the parties, and the money owed was Will form a "death triangle", is bound to restrict the sustainable development of these businesses.

New style clothing, decks, cards

In the Chinese business community, there is a consensus that everyone has acquiesced in private: As long as a business in a certain area is doing well, it will certainly be within the shortest period of time, and other businesses will follow one after another. These businesses will basically not consider it. The actual consumption and endurance of the local market went hand in hand, blossoming all over the place and dividing a bowl of rice into several portions. This status quo makes everyone eat enough, but no one can afford to go hungry. The final result has formed a “mixed meal” in which some businesses are fluently arguing. In this case, it can be said that, at the moment, some Chinese clothing stores no longer stop looting stores, and they no longer copy the world famous brand from beginning to end. Instead, they look at a clothing line in a clothing wholesale store and take a variety of channels. , adapt to various forms for their own use.

OEMs, decks, and cards are different from the past in that some Chinese clothing merchants no longer post the brand name of the world famous brand, but instead wear clothing brands printed on their own storefronts, and the clothing styles, fabrics, designs, etc. Business clothing is exactly the same, the specific operation method in advance from other businesses optimistic about the style, and then entrust another person or posing as a customer to buy, and then get the Italian or domestic clothing manufacturers for processing, wait until the processing of production of clothing in place, ready in advance The trademarks were changed one by one, so that clothes became the brand of their own store. If they had ever entered a business with the same model, style, and fabric, they thought that the goods were sold out. As long as the price was the same or even cheaper, it would not Will be near the farewell purchase. As a result, the total market demand is always constant. These merchants pick out other people's peaches by hand and then push the peaches together to the market. It is believed that the probability of supply surplus will be much greater.

Ms. Iowa, who opened the clothing wholesale, is in the process of doing business because of her own style of clothing, fabrics, and quality. She often goes through her own shopping and collects information about clothing counters or stores. , Or browse the seasonal and trendy fashion on the Internet, understand and master the garments in a certain period of time as much as possible, and then inform some garment processing factories to mass produce and hang shelves for sale at the fastest speed. Therefore, Ms. Iowa has a unique eye for clothing wholesale and has attracted many clothing retailers. An aunt who is a clothing store in CARABANCHEL is a frequent visitor to Ms. Iowa's wholesale store. As long as she will get goods from Ms. Iowa's store in a certain period of time, she will be able to get a standard and put it in her own store. Basically, Will not be slow-moving. Ms. Ah said that as long as Iowa has a new style there, I have to go more or less to get it. Sometimes I feel dissatisfied and I will sell better. So Iowa’s eyes are always so accurate. There was no loss of money in the clothes she had bought in the store.

It is Ms. Ihua who can grasp the market and popular styles in the current season. Her wholesale store business has always been good, so that the surrounding businesses are very envious, but also took practical action. Once a new arrival arrives in Ms. Iowa’s store, someone will come to her shop to borrow clothes and pick up the right one to make sure that the fancy clothing styles, fabrics, colors, and prices will be understood. At first, Ms. Iowa didn’t care much. Even if her store’s cargo had just arrived in two or three days, another wholesale clothing store had the same clothing style as her own store. Ms. Iowa thought it was normal competition. .

Later, Ms. Iowa found that there were some bad signs. She said that some of her peers like this to imitate the samples and styles of their own clothes in the store. They do not worry much about it. After all, they still have to look at their own eyes. People have different perspectives on clothing. If the aesthetics do not keep up with the fashion trend, no matter how imitation is not a long-term solution. However, if some of the peers look at the other good styles, they will immediately start another copy and stick the same brand name as their own in the store, so that customers can't tell which one they really want to buy. In this way, everyone’s days are not always good enough, especially for those businesses that follow up later, because they are not able to afford it because other businesses are not selling them, and they hurry to catch the ducks on their shelves. Or himself, although avoiding the risk of applying the world famous brand in the past, and switching to the current operating methods and models that seem to have its own brand, the result of such a vicious circle is that everyone suffers. This short term Business behavior and patterns have now become unspoken rules in the Spanish Chinese apparel industry, which is not desirable for long-term development.

Digging a well and digging a pit

Blindfolding, as everyone knows, is also used in the apparel industry.

Ms. Iowa mentioned above, in order to prevent competitors, later simply hide some new arrivals and introduce them to familiar customers. There is nothing wrong with doing so. However, not all businesses are the same as Ms. Iowa’s practice, but instead use “to follow his own people and also to treat his people.” If we do not do it, we will continue to do a good job of digging wells and digging pits to trap them.

Ms. Qingtian, who opened a clothing store in a suburb of Madrid, said that her good-hearted results were misunderstood by the same owner of a clothing wholesale store that had worked for nearly four years. Not only was the business impossible, but even friends could not do it. According to Ms. Ye’s account, she had to come to TIRSO DE MOLINA and FUENLABRADA in Madrid every week. Due to familiarity with many wholesalers, when entering a store, the owner would introduce a relatively easy sale to Ms. Ye. At the same time, I would also like to ask Ms. Ye what kind of goods she's selling, or how to sell those styles. For this, Ms. Ye is basically outspoken and honest. Unexpectedly, according to Ms. Ye’s statement, Liu’s owner of a clothing wholesale shop did not investigate and did not collect evidence. He took samples provided by Ms. Ye to rush to a garment processing factory in Guangzhou, China. After processing and production, it was airlifted to Spain. Let Liu boss lose everything, so far the batch of goods still piled up in the warehouse to sleep, so that at that time the cash flow was suddenly stretched out, forcing Mr. Liu to return home with multiple real estate as a mortgage loan, only to come to an end.

After Ms. Yeh was aware of the whole matter, Ms. Ye passed a familiar friend, Ms. Sun, and indirectly tried to provide false information to the clothing wholesaler Mr. Li (a pseudonym). Ms. Ms. Ms. Ms. Ms. M was surprised and Mr. Li was obviously surprised. Knowing that Ms. Ye and Mr. Liu are both fellow villagers and friends for many years, Ms. Yeh will certainly tell Mr. Liu honestly and it is highly probable that Mr. Liu will believe Ms. Ye’s words in order to give long-term advice to Li. Mr. Liu, a gentleman in the store's market, learned a lesson and was surprised to believe that Mr. Liu was really taken in. Later, no matter how Ms. Ye explained to Mr. Liu, Mr. Liu did not take into account the friendship of many years, and even if the goods are ready to sell, they no longer have business contacts with Ms. Ye.

Based on this, Ms. Yi, at one go, using years of experience in operating clothing stores and the accumulated capital, as many clothing wholesalers, will return to China to find manufacturers to produce their own clothing, the results of a debut on the planted a big fight. Ms. Ye’s factory is the same as the owner of a Chinese wholesale store at TIRSO DE MOLINA. The owner of the garment factory seems to be trying to pull a business. He has brought out a plate of cooperation with the owner of the wholesale store, allowing Ms. Ye to convince herself. , and to help introduce the style of clothing to Spain, came to a good start. Unexpectedly, the domestic garment factory owner and the Chinese boss of TIRSO DE MOLINA played a double spring, allowing Ms. Ye to have a big fight with full confidence.

The fact that Mr. Liu and Ms. Yi are losing their clothes seems to be a case. It is almost universal in the apparel market in the Chinese market in Spain. Whether they are French or Italian goods or Chinese goods, as long as they are Chinese competitors, confidentiality is not at all. Sloth. Some new and old customers in the store are strictly guarded against it. Unlike previous cases, as long as there are new good goods, one pot comes out for customers to choose, but no longer specify which one is better for sale. At most, try to bring customers back to sell. If you are good, you will continue to follow the goods. If you want to take the road car business, you will accidentally fall into the trap of competitors.

What the author wants to say here is whether the Chinese practitioners in the Spanish clothing industry today can work together to break away from the unspoken rules and try to build a Chinese clothing brand in Spain. Even if there is only one, I believe one hundred schools of thought contend and a hundred flowers blossom. Not far off.