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Facing small and medium enterprises in Wenzhou shoes "cost pressures crisis"


By: lili smith
Submitted: 2011-04-20 21:18:29 | Word Count: 517


Financing, raw material prices, appreciation of Renminbi, shortage of migrant workers ... .... Industry sources said the small and medium enterprises in Wenzhou shoes and apparel categories and other cost pressures being faced with a crisis, or some half-cut or cut-off companies.
Some people say that the development of SMEs will have been developing a good well, not afraid of being hurt, because it is not lack of funds, manpower and other resources, good cost control, product brand, technology and other value-added is relatively high, afford, and the development of poor to a vicious cycle of nature, or having failed to make. It is not.

Companies in trouble should see the crisis in the "machine." Zhu Jianping, frankly, the footwear industry in 2006, he felt a major breakthrough in the development of hard to jump into new industries and decisive - LED, relying on talent and technology innovation to achieve the transformation and upgrading. Three months ago, was also identified as "provincial SME." He suggested that small and medium enterprises, according to their own circumstances, may be involved in emerging areas in due course.
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"There small and medium enterprises in our city, product, market, technology, capital, human resources and industrial structure, and other deep-seated problems. It is also restricting the source of transformation and upgrading of SMEs. Solve these problems is a long and continuing process, not the short term to can be achieved. However, the current economic environment, a group of small and medium enterprises in Wenzhou or half-cut or stop production. "Wenzhou City, president of weeks German SME Development Association, said, according to the stage of development of SMEs, their own conditions, impact and constraints to solve outstanding problems in the transformation and upgrading of SMEs and focus on the Constitution of the institutional mechanism for scientific development of SMEs.
Capital structure in particular, is long plagued the development of SMEs in Wenzhou bottlenecks. Zhou German authorities suggested that the Government continue to encourage banks to increase credit support, support for local financial service innovation, and strive to expand direct financing channels, to open up the financing of insurance services, financial services platform to enhance and strengthen the credit guarantee system to promote the transfer of property rights, the establishment of loan Risk relief mechanism, so as to improve the financing environment for SMEs to protect their subsequent development.

Experts said the transformation and upgrading of SMEs in Wenzhou now more difficult than in the past much larger business, is a systematic project, the government, enterprises, markets among the formation of joint accomplish this strategic objective. That separate government functions from enterprise management, market guidance. To government departments, the need to constantly improve the service system for SMEs, to help improve integration and gradually improve the environment for SME development.

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