Analysis Of Ningbo Clothing Industry On The OEM Basis And Its Future

Ningbo clothing industry has a glorious history in the clothing industry in China. With the development of more than 300 years several enterprises in Ningbo have grown up into big and famous companies in China such as Shenzhou Group. Youngor Group, Firs Group, Rome Group etc. However, in modern times, it seems that clothing companies in Ningbo do not make as many achievements as their forefathers did.This paper aims to look into Ningbo clothing industry from a new angle by using the case of Shenzhou Group and the different brand internationalization strategies in Youngor Group and Firs Group.The paper can be divided into four parts. The plan of the paper is as follows:Chapter 1 gives the generalization of Ningbo clothing industry which includes the background of the clothing industry in Ningbo, the definition of OEM and its appearance in China and in Ningbo.Chapter 2 analyses the problems existed in the clothing industry on an OEM basis. Section 2.1 reviews three characteristics of the OEM operation mode. Section 2.2 looks at the motivation and the position of both the consigners and consignees. Section 2.3 gives an example of Shenzhou Group manufacturing on the OEM basis. And Section 2.4 and Section 2.5 analyses the advantages and disadvantages of both the consigners and consignees in the cooperation.Chapter 3 focuses on the future of Ningbo clothing industry. And in this chapter the paper points out two possible futures of Ningbo clothing industry that is the upgrade structure and technology and the brand internationalization. Section 3.1 begins with the strategy of Shenzhou Group and then discusses the strategy in details. Section 3.2 opens with the different strategies of Youngor Group and Firs Group in the brand internationalization. And the findings of the comparison will be summarized in Section 3.2.2.Chapter 4 highlights the strategy of brand internationalization. Section 4.1 illustrates the problems in the brand internationalization in Ningbo clothing industry. The internal problems of clothing companies are the issue of Section 4.2. This section sketches different problems each company may face in the process of brand internationalization. Section 4.3 gives strategies in the brand internationalization that includes the strategy in the foreign market, inside enterprises and of the local government. Section 4.4 concludes the paper.