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Looking At The Transformation Of China's "Cottage" Shoe Enterprises From The Jordan Incident

2012/3/14 9:39:00 45

Jordan China Shoes Industry

Recently, legendary basketball player Michael Jordan announced that he had prosecuted Chinese sports uniforms and footwear manufacturers in the Chinese courts - Jordan sports Limited by Share Ltd suspected of infringing their right to name. Jordan was deeply disappointed by "Jordan sports" and even violating his children's right to name. He also said that the prosecution of the company was "not a question of money".


I am afraid few people think that the famous "Jordan sports" has nothing to do with the flying Jordan. Jordan's lawsuit once again allowed the two characters of "Shanzhai" to enter the public view.


   Shanzhai The term originally refers to a villa built with fence and other defensive works. In the era of Internet, the meaning of the word is extended to "pirated" and "irregular".


Once upon a time, the business community had called for learning the so-called "Shanzhai spirit" and called for "Shanzhai" innovation. But we should not forget that Shanzhai style innovation is not original innovation, but a pseudo innovation based on bringing ism or even plagiarism. Even if "Shanzhai" enterprises can make profits by virtue of good "Shanzhai" ideas, and as these enterprises continue to expand, intellectual property rights will probably fall on their heads.


The so-called "Shanzhai spirit" is not innovation, it is disintegration.


   Jordan's sports rise


"Jordan sports", consumers who do not know the situation will regard it as an enterprise with foreign investment background or with the flying Jordan.


Soho China CEO Zhang Xin also said on micro-blog: "I have always thought that Jordan's sportswear is Jordan's, just like Lining's."


In fact, the real boss of "Jordan sports" is Ding Guoxiong. Since the early 80s of last century, Ding Guoxiong has set up individual shops in Beijing to distribute sports shoes. In 1985, while selling shoes, Ding Guoxiong began to sell wholesale sports shoes and provide them to the self-employed in Beijing. By the end of 1995, Ding Guoxiong had set up more than 10 retail outlets and wholesale stores in Beijing, and a wholesale shop in Tai Kang shoes city.


The predecessor of Jordan sports company was the two factory of daily necessities in Jinjiang, which was founded in 1984. At that time, it was a private collective enterprise with a total capital of 30 thousand yuan. In 1990, two factories for daily necessities were re registered and registered as 136 thousand yuan for collective ownership enterprises. Enterprises affiliated to the village committee are funded by Ding Lao, Ding Guoxiong and his son, each invested 68 thousand yuan.


In 2000, Jinjiang Chen Dai stream two commodity factory was renamed as Jordan sports, began the rapid growth of the brand tour.


Statistics show that from 2008 to June 2011, Jordan's sports revenues were 1 billion 158 million yuan, 2 billion 316 million yuan, 2 billion 927 million yuan and 1 billion 704 million yuan respectively, with 100% and 26.33% respectively. As of June 30, 2011, Jordan sports has 5715 brand stores, 266 design and research personnel, and 2000 new sports shoes and clothing products each year.


While Jordan sports grew up, the competition in the domestic sporting goods market was becoming increasingly fierce. With the help of capital strength, the scale of the sports industry was expanded rapidly, the terminal was upgraded and the brand image was upgraded. In order to seek the breakthrough and promotion of the brand and deal with the competition, it became the common choice of many sporting goods manufacturers.


In November 25, 2011, Jordan's first sports application was approved by the Securities Regulatory Commission of the SFC and half of them entered the threshold of the capital market.


At that time, a lawsuit by Jordan of the flying man pushed Jordan's sports to the cusp of the storm.



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