A well known large enterprise that was once more profitable than Moutai and earned 1.2 billion a yea

Mondo Finance Updated on 2024-01-19

Antarctica, a brand that was once glamorous, with the motto "Sell."Hang tags"Started out and created a huge amount in the commodity marketProfits。However, over time,Antarcticadepends on thisBusiness modelGradually, the shortcomings are exposed, and there are huge challenges. This article will be used in:AntarcticaThe story of this "selling, for example."Hang tagsBusiness modeland how businesses can respond to the issue of transformation and growth.

SinceAntarcticaSince its inception, it has been known as:Thermal underwearAs a starting point, the brand quickly became famous in the market. Zhang YuxiangWith their own efforts and innovation, letAntarcticaThe product has made a breakthrough in quality, and has a unique approach in advertising and marketing. Antarcticaslogan".Antarctica, not afraid of the cold" is deeply rooted in the hearts of the people and has become a well-known big brand in China.

However, due toThermal underwearIt is a seasonal itemAntarcticaFaced with problems such as short sales season and low capacity utilization. In order to expand the scope of business and improveProfitsAntarcticaBegan to dabble in sweaters、Home textilesand other fields to increase the variety of sales, but these businesses are related toThermal underwearThere is not much difference in comparison, and the gross profit margin is not high.

In the face of increasing competition in the market, the industry is involved** BattleThe situation,AntarcticaDecide to pursue opportunities for transformation. The outbreak of the financial crisis in 2008 becameAntarcticaAn opportunity for transformation. Zhang YuxiangIt was decided to close the factory and sales channels and transform into a "sell."Hang tags". The advantage of this model is that there are no factories andInventory coststo allow other manufacturers to affix it in an authorized wayAntarcticabrand to sell, thus realizedProfitsMaximization.

However, this "sells."Hang tags"The pattern also exposed some problems. AntarcticaThe quality of the product cannot be effectively controlled, and it is easy to have substandard products. In addition, this model makes:AntarcticaThe brand image is being questioned, word of mouth is declining, and customer trust is decreasing.

With the changes in the market environment,AntarcticaGradually, I found that "selling."Hang tags"ofBusiness modelIt's not a long-term solution. It relies on other vendors' brand royalties and licensing fees once competitors flood the marketAntarctica"ofProfitsSpace will be squeezed. In addition, the market has higher and higher requirements for quality, once the product has quality problemsAntarcticaThe brand image will be significantly damaged.

AntarcticaThe story tells usBusiness modelThe choice must take into account market demand and the company's own capabilities. Although "sell."Hang tags"Patterns can bring fast to a certain extentProfitsBut in the long run, enterprises need to provide high-quality products and services, and establish a good brand image. Only in this way can the business be in a fierce wayMarket competitionNeutral and invincible.

AntarcticaThe failure is also a wake-up call for other brands. In pursuitProfitsAt the same time, enterprises should pay more attention to product quality and service experience, continue to innovate, and improve the competitiveness of the brand.

At the same time,Antarcticatransformation and development also require greater prudence and prudence. Enterprises should adhere to the principle of quality first in the transformation process and minimize the negative impact of product quality problems. In addition, when choosing the direction of transformation, enterprises should consider market development trends and consumer needs, and cannot blindly pursue themProfits

AntarcticaAs a once-successful business, through "sellingHang tags"Models are on the rise. However, this kindBusiness modelsurfaceProfitsPlaced there, but with it came a decline in brand image andMarket competitionof exacerbation. AntarcticaThe story tells usBusiness modelThe choice needs to be carefully considered, and it is necessary to pay attention to product quality and service experience, and enhance the core competitiveness of the brand. Only in this way can the business be in a fierce wayMarket competitionsustainable development.

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