Several Chinese apparel firms may close over next 3 years

Several Chinese clothing enterprises are likely to shutdown over the next three years due to various factors, according to industry analysts.

 

Several Chinese clothing enterprises are likely to shutdown over the next three years due to various factors,#

According to them, the business model transformation of Chinese garment enterprises is too slow and it is not been able to keep pace with market changes. Successful business model transformation requires timely re-market positioning and integration of the supply chain, and simply downsizing is not enough.

 

Several Chinese clothing enterprises are likely to shutdown over the next three years due to various factors,#

Secondly, the management capabilities and standards of clothing enterprises are not able to meet the quickly changing characteristics of those business enterprises, which are transforming through new adjustments, new market positioning, and new supply chain integration.

 

Several Chinese clothing enterprises are likely to shutdown over the next three years due to various factors,#

Next, Chinese apparel firms currently have long supply chain production system, which decreases their profitability and affects their normal business development.

 

Several Chinese clothing enterprises are likely to shutdown over the next three years due to various factors,#

For small-scale, low-end market garment enterprises, the competition is high and the risk ability of these firms is low, which puts these companies at risk in future.

 

Several Chinese clothing enterprises are likely to shutdown over the next three years due to various factors,#

Lastly, as the consumer awareness about high-end brands increase, China’s high-end brand garment companies will face huge market pressures due to income effects of the high-end consumer groups.

 

Several Chinese clothing enterprises are likely to shutdown over the next three years due to various factors,#