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The Largest Footwear Industry In The World Is In Lukang.

2010/5/24 11:09:00 27

LukangThe Largest Footwear Industry In The World

  

In the global market, an average of every four pairs of sneakers, one pair is Baocheng production.


  


Internationally renowned sports shoes such as Nike and Adidas compete in the global market, but they are all manufactured by Baocheng international group. One year, the group produces about 300 million pairs of shoes. The total length of the shoes is about two times that of the earth. The average number of shoes in every four pairs of shoes in the world is one of Baocheng production. The company in Lukang has built the largest footwear industry in the world.


  


The total number of shoes made by Yuyuan industry in Baocheng group in 2009 is 246 million pairs.

Cai Qirui, the third brother and President of Yuyuan Industrial Company, President of Baocheng group, estimates that the total number of shoes produced by the company in relation to the year has reached 300 million pairs in.


  


In terms of its output, more than nine pairs of shoes per second are born from Baocheng group and its associated shoe factories, and Cai Qirui has become a "shoemaking king".


  


Yuyuan Industrial last fiscal year (ended September 30, 2009) there were 423 footwear production lines, nearly half of which were in mainland China, 112 in Vietnam and 100 in Indonesia, all of which were mainly made up of famous brand sports shoes, including casual wear shoes, outdoor shoes and sports sandals, shoes and accessories, footwear and sportswear, and the total revenue was 5 billion 16 million dollars, a record high.


  


Yuyuan faced the financial tsunami in the past year, and its revenue could still be a new peak. It had great relations with Baocheng's strategy of using scale economy, resource advantages, strengthening the supply chain of shoes, building up high competition barriers and upgrading the industrial value chain.


  


High yield is not allowed to keep up with second.


  


Cai Qirui has already ordered the management team to make Baocheng's shoe production "absolutely big" so that the second can not keep up with it.

This will lead to greater competitive advantage and competitive advantage.


  


Yuyuan is a subsidiary company of Baocheng industrial holding 49.98%, and Cai Qirui and his family are in charge of the operation leading power.

In the late 1980s, with the separation of Baocheng industry, the factory was set up in Zhuhai, Guangdong Province, and gradually spread to Zhongshan and Dongguan, which belong to Guangdong.


  


With the change of human resources and the development of the mainland's domestic market, Yuyuan production line is advancing to Jiangsu, Hubei and Jiangxi.

The expansion plan of the shoe base in the Greater China region will be from Vietnam, Indonesia, Mexico and Bangladesh to Kampuchea.


  


Yuyuan footwear is the first Taiwanese company to enter Hongkong's Hang Seng index stock because of its largest scale in the world, and its annual revenue has been growing for 18 years.


  


Baocheng is also a shoe making group for the most famous brands, such as sports shoes Nike, Adidas, and Timberland, Rockport and other famous casual shoes brands.

Among them, Nike is the first big customer of Baocheng, and Yuyuan has more than 20% of its revenue from Nike.


  


Baocheng set up an exclusive R & D Center for Nike in Taiwan headquarters. Yu Yuyuan, in line with Nike's need to develop sub brand products, set up Gao Yu Sheng plant in Jiangxi, China. Adidas is the second largest customer of Baocheng group. Baocheng also set up exclusive R & D Center for the company.

By the end of April this year, the total number of employees in Baocheng had grown to 476 thousand and 600.


  


Bao became a brand customer OEM shoemaking company, and through the Baosheng international company of Yuyuan subsidiary, actively developing sporting goods retail outlets in Greater China, and persisting in not fighting its own brand.


  


Cai Naifeng, executive general manager of Baocheng group, said that the replacement and pformation of shoes are very fast, and the factories and Brand Company are interdependent and perform their duties.

For example, Baocheng can set up a network connection mechanism for development, business, production and delivery for the needs of brand customers.

In addition, Baocheng has a sound financial constitution, so during the financial tsunami, it gained more confidence from its brand customers.


  


Cai Qirui said, "brand factories want to enter the mainland market, and products entrust us with OEM. Now we develop the mainland retail channel, help customers open the market, sell their products better, and entrust orders to our production."


  


Locking on the other side sporting goods access


  


Baocheng develops the retail channel of sporting goods, first locks the mainland market, and speeds up the exhibition speed through the YY Sports chain store system of Baosheng international. At present, it has established about 10 thousand sales bases in the Greater China region, and it has the largest scale in the Greater China region.

The annual revenue of US $1 billion 15 million was 19.6%.


  


The gross profit margin of Baocheng in the retail channel of sporting goods is up from 30%, much higher than that of manufacturing industry.

Moreover, after the unprecedented financial tsunami, the consumer market in mainland China rose vigorously, making Yuyuan's revenue from Asia surpass that of North America.

Cai Qirui therefore more optimistic about the mainland will become the world's largest consumer market.


  


He wants to pform Baocheng group's mainland factory into an internal marketing factory, to help Baosheng expand the retail market of sporting goods in mainland China, and strive to achieve the goal of "7-Eleven of sports and sporting goods world" and "world first".


  


Cai Qirui said that the mainland's 1 billion 300 million population will become the world's largest consumer market.

In the next three to five years, China's value will even surpass that of the United States.

Baocheng will use the experience of investment and operation in mainland China for 20 years, invest more resources to expand the scale of manufacturing and retail services, and make the two parties "absolutely big" and expand the gap with second.


  


At present, the huge shoe making supply chain built by Baocheng has been pushing up from the downstream products to many shoe factories with over half or influential status, and the scale of operation is also among the best in the global industry.


  


For example, the Prime Asia natural leather factory with a shareholding ratio of 100% has a production base in mainland China and Vietnam, with an annual capacity of over 80 million feet, at least the first in Southeast Asia, and may even be the world's first.


  


The three aromatization chemistry of 44.72% of the shares, the quality and quantity of manufactured leather, has reached the first level in the world.

In addition, Taiwan Baihe, Nan Bao resin, Sun Sheng chemical, Yongfeng Yu, Zheng long and many other well-known manufacturers related to shoe materials, Baocheng or joint ventures or joint ventures to set up new businesses, to ensure the source of shoes and footwear supply chain leadership.


  


Ensure material source investment shoe material supply plant


  


Because of the vertical and horizontal integration of the industrial system built by Baocheng group,

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