| The leather-shoes industry in China is able to utilize the competitive advantage of domesticlabor resources. It has developed rapidly since the1980s, with the output and exports ofshoes-products ranking first in the world at present. The substantial growth of foreign exchangeearning makes a great contribution to employment and national economic construction. Thepresent relocation of international industries provides the leather-shoes Industry an opportunityto develop sustainably. The huge demand of home market promotes the upgrading ofshoes-production’s consumption; meanwhile, participating in more and more internationalcompetition brings constant trade disputes to leather-shoes companies. The costs of labor, rawmaterial and channel increase sharply, greatly cutting the profits margin of leather-shoes industry.Problems, such as overstocks and excess production capacity, arise in some companies. Theleather-shoes industry in China is facing, so to speak, many significant opportunities as well as anumber of challenges. Therefore, through research on the current development situations ofleather-shoes industry and analysis on relevant data of leather-shoes market in recent years, wecould know the present environment and position of the industry. We could further analyze thestrategic development of the leather-shoes industry as well, which plays an important role informulating strategies that suits the industry’s conditions.This paper proceeds from the current situation of leather-shoes industry in China. It laysspecial stress on analyzing four decisive factors and two external forces in the industry, based ontheories such as Michael Porter Diamond Model, Comparative Advantage Theory, NationalCompetitive Advantage Theory, New Structural Economics Theory(by Lin Yifu), IndustryAnalysis Theory, Five forces Model,SWOT Analysis, etc. The paper then put forward strategiccountermeasures for China to break through the impasse of the industry and to transform from abig country in production&sales into a powerful country in brand. The topic of this paper takesthe development situation of leather-shoes industry in China as a starting point and explores thedeveloping trend. It proposes strategic measures for the development of leather-shoes industry.Based on the research thoughts mentioned above, the paper will be presented in five chapters.Chapter One elaborates on research background, problem definition, research frameworkand research methods of the topic.Chapter Two analyzes current development situation of the leather-shoes industry in China.According to analysis on relevant data in leather-shoes market in recent years, this chaptersummarizes relevant information of the industry. Chapter Three analyzes the developing trend of the leather-shoe industry in China. Based onMichael Porter Diamond Model, this chapter will probe deeply into the current developing trendby analyzing the following five factors: production and demand, relevant and supportingindustries, enterprise organization, strategy and competition, opportunity and governmentpolicies.Chapter Four presents strategic measures to promote development of the leather-shoesindustry. How does the leather-shoes industry in China break through the predicament offinancial crisis and stand out in fierce market competition? The author synthesizes the analysesmentioned in chapters above and suggests making strategic arrangement in the following aspects:Firstly, companies need to interact with government under the guidance of government policiesand actively ward off global financial risks; Secondly, companies need to implementdifferentiated strategies on marketing, to increase spending on R&D, to change traditionalmarketing thoughts and to subdivide markets;Last but not least, companies should enhancebrand value and added value so as to strengthen their core competitiveness.Chapter Five draws a conclusion of the paper. |