Optimizing Industrial Chain Can Reduce Market Risk

Jiangsu Yaxin clothing and red bean combine to achieve

Complementing with the fabric industry, focusing on the benign docking of upstream and downstream industries, taking advantage of capacity to deal with market uncertainty risks, while ensuring export trade, expanding domestic market development, keeping the growth rate of 15% under the condition of a depressed market, enabling enterprises to greatly enhance their ability to resist market risks and firmly occupy the share of products in domestic and foreign markets.

With the slowing down of market demand at home and abroad, the survival of traditional industrial enterprises has been greatly affected. The rise of raw material cost, manpower cost and management cost has greatly reduced the profitability and profitability of enterprises, and the ability of survival and development of enterprises has been severely tested.

In the face of uncertain market risks, change is an option for enterprises to break through. Holding together to warm up can help enterprises overcome their immediate difficulties. However, speeding up industrial integration is probably an excellent option to deal with market risks at the moment, and optimizing the upstream and downstream intranet to bring the survival and development of the industrial chain is a win-win result.

The combined effect of economic crisis brought about by the global financial crisis often brings considerable uncertainty to the industry.

Microscopically speaking, enterprises suddenly respond to the sudden changes in the market, because enterprises have a short board for their uncertain market risks. With the aggravation of the crisis, enterprises will inevitably not fail or bankrupt. On the industrial chain, some enterprises fail due to market changes, and the inherent supply relationship will break down from time to time for operators to go out of business, which will bring an unavoidable problem to the production and operation of the upstream and downstream enterprises.

Under the trend of worsening market environment, with the increase of price fluctuation, the production organization of enterprises and

Preparation and stock of raw materials have become difficult to grasp and ponder. Market uncertainty risks threatening the survival and development of enterprises all the time.

Facing the risk aversion is the psychology shared by every market economy main body and all decision-makers. In the time of market turbulence, managing risks, determining risks and isolating risks is more important than the business decisions of enterprises.

Generally speaking, in the economic crisis cycle, enterprises usually use the four methods of "eliminating threats", "reducing risks", "separating risks" and "avoiding risks completely" to reduce the probability of occurrence of risk events.

The quality of the clothing products produced by us is aimed at achieving the market positioning and marketing strategy of high quality and high price products, stabilizing the selling cost group of the enterprise products and cultivating the future consumption groups; on the other hand, it can reduce the proportion of raw materials, reduce the cost of travelling, and understand the trend of fabric's distribution, keep the price of fabrics at all times, ensure that the price of raw materials is stabilized in a controllable category; on the other hand, it can eliminate the threat of fabric suppliers' timely supply, reduce the price risk of fabric purchase, and isolate the concussion between the upstream and downstream, and ensure the integration between the upstream and downstream of the industrial chain. The significance of the strong combination of Jiangsu Ya Xin clothing and the red bean group lies in: on the one hand, it can maintain its industrial chain.

Ian Brehm, an American scholar, said in his book "fat tail theory: the political thinking of the uncertain world", in an uncertain world, what you can do is to determine the type of risk you can bear.

The combination of Jiangsu Yaxin clothing and red bean group is a process of determining risks.

It should be noted that in the critical period of the global economic recession, the entire market boundary and main body are undergoing structural changes in the face of cyclical shocks.

Including raw materials, fashion, price, access, crowd selling ideas have been adjusted because of the crisis.

As a company on the industrial chain, enterprises must see that the independent market alone will inevitably encounter unexpected problems. Only the upstream and downstream enterprises of the joint industrial chain cooperate to fight against the uncertain risks of the market, and the possibility that enterprises will survive through the crisis will increase.

It is the enterprises in the industrial chain that see the "united strength" and realize the mutual integration and holding hands between enterprises, ensuring that the overall effect of the industrial chain is not aggravated by the aggravation of the crisis and endangers the survival crisis of the entire industrial chain.

Thus, to ensure the safety of the entire industrial chain, enterprises in the industrial chain need to be closely linked and co-operate to tide over the crisis.

Through the strong combination of enterprises on the industrial chain, the risk of market uncertainty is reduced to the lowest point, and a new growth point for enterprises is found in the process of tug of war.

The example of the strong combination with the red bean group may give us some enlightenment.