Export Coping Strategies for RMB Appreciation

Idea: Find out the cause and then find countermeasures and solutions.

Reason 1: The export environment has deteriorated. The renminbi continued to appreciate, the US subprime mortgage crisis, and China’s foreign trade surplus increased.

Reason 2: The cost increases. The increase in labor costs driven by domestic CPI, rising prices of raw materials, and increasing environmental pressures (some new trade barriers are all directed at environmental protection)

Reason 3: Competition is more intense, and Southeast Asian manufacturing has a lower price advantage.

Not only do companies face competition from domestic counterparts, but they are also affected by manufacturing companies in Southeast Asia. You are big, you can't do it, because there are always people on the market who are cheaper than you. You still have distance from Vietnam, Cambodia and Bangladesh.

Reason 4: "Made in China" generally sells in foreign hypermarkets in the name of low-end consumer goods. China's exports are mainly low-value-added consumer goods, with extensive products, low technical content and no brands.

Throughout the above reasons, the first three are things we cannot change. We can only start with the fourth.

The solution: enterprises must work hard

----- Improve the product grade (export products to upgrade), change the traditional image of "Made in China" low-end. Doing high value-added products (export structure from simple manufacturing to high value-added manufacturing). High-tech content, strive to have their own patents, and strive to play their own brand.

----- Exporting the tertiary industry service industry---This involves too much and is not detailed in this article.

Certainly someone has to say it, oh, it’s nice! It’s easy to talk about it!

First of all, we should be thankful that the export business is difficult to do because the market is shrinking, but because China's exports are mainly low-value-added consumer goods, the cost is rising and it is difficult to come down. Most domestic export companies are like this. The bottleneck in export is because the price does not come, and there is no advantage in low prices.

It is really not easy to practice hard work. But if you don't practice, you can only wait to be eliminated...

Where does the practice of internal strength start: innovation. -------Because if it is a new product, even if the price is raised, the importer will not care too much.

Taking product innovation, material innovation and marketing innovation as a breakthrough, we must benefit from products with high added value.

Newly designed products (color, style, style, etc.) to meet the needs of international buyers.

For example, the new products appearing at this year's China Fair: the beautiful things printed with cartoons, turned out to be soap; the cushions of the stool looked like a tire, and then it was actually a clock face; the chopping block in the kitchen, even the toilet lid With a more dazzling style.

Material innovation:

For example, a company has developed environmentally friendly garments that produce negative ions, radiation protection, strong adsorption and antibacterial functions. Although the price is higher, it is quite popular among foreign businessmen. Developed a pearl fabric fashion shirt with skin care, anti-UV and moisture absorption, and the export prospect is very promising. The proprietary sulfonamide fabric with its own intellectual property rights has a high temperature resistant flame retardant function, and this high value-added product does not meet orders.

Marketing innovation:

Look long-term. In the past, foreign trade was often a guerrilla warfare----one is a single.

No longer use low prices as a selling point, first create your own brand and reputation!

At this point, domestic trade seems to have spent more energy on marketing, you can refer to it.

to sum up:

After the test and reshuffle of the export crisis, many small enterprises may be eliminated. Those who remain still stunned will be those who have worked hard in the above aspects, and the overall level of the industry will be improved.