Restore 'Shanghai Brand' Prestige

By Shanghai Municipal Economic Commission

Highlights: In recent years, a batch of name brands with a great gold content and high added value have emerged in Shanghai, these brand-name products have become the vigorous "boosters" of Shanghai's economy.

Since the introduction of the reform and opening-up policy, particularly since the beginning of the 1990s, Shanghai's economy has maintained sustained and rapid growth, likewise, Shanghai's industrial economy has also recorded tremendous development, its average growth rate since 1991 has exceeded 16 percent, last year it registered a total industrial output value of 630.712 billion yuan, up by 10.8 percent over the previous year. This is inseparably related with Shanghai industry's vigorous implementation of a brand-name development strategy.

After many years of its economic development, Shanghai, as one of the most vigorous old industrial bases in China, has formed a large batch of famous brands. Along with the further deepening of reform and opening up, particularly after the start of the 1990s, Shanghai municipal Party committee and government have attached great importance to the implementation of famous brand development strategy, the Implementing Plan for Quality Improvement of Shanghai approved by the municipal government states: through implementation of the name brand project, by the end of this century the city will form a group of several hundred name brand products which are qualitatively perfect and have a large market capacity and a reserve strength for further development, it will organize large groups with the development of name-brand products as the lead, give play to the efficiency of scale and enhance Shanghai's economic operation quality and economic efficiency as a whole, so that Shanghai will really become an economic, trade and financial center and an international metropolis.

At present, a group of famous brands with high gold content and high added value have emerged in Shanghai, such as Golden Star, White Cat, Maxam and Hero. These name-brand products basically reflect the level of Shanghai's famous and excellent products, many of which are in a leading position at home. Statistics show that in the electromechanical, chemical, computer, textile and other industries, the sales income, profits and other economic indexes of the brand-name products have witnessed a trend of rapid growth, a group of Shanghai's brand-name products have become vigorous "accelerators" of the city's economy.

With the arrival of the new century, the globalization trend of the world economy has further revealed itself, market competition has changed from pure product competition and price competition to brand-name competition. Name brands that embody the quality, reputation and image of enterprises have increasingly become an important content of competition between enterprises and become the symbol of the economic strength of enterprises and their international competitive capacity.

Firstly, deepening enterprise reform, implementing the strategy of large enterprise groups and enhancing the competitiveness of name brands. Supporting and encouraging mighty enterprises to become large and multi-level enterprise groups through merger, association or reorganization, with fine-quality brand-name enterprises and brand-name products as the lead, expanding the production scale of brand-name products, giving full play to the superiority of famous brand products and enhancing the comprehensive strength and competitiveness of enterprises.

Secondly, with reliance placed on scientific and technological progress, actively readjusting the product mix, and establishing a global view on brand-name products. Integrating technological development with technology import, and digestion and absorption of new technologies with popularization and innovation, the adoption of new technology and the development of new products with the transformation of old enterprises and the renewal of old products, constantly increasing the use of science and technology in products and constantly weeding out the old to bring forth the new, striving to develop global name brands with competitive superiority and, through the application of products, experience and knowledge on the international market, further expanding the reputation of name brands, thereby enabling enterprises to gain new development and a niche on the international market.

Thirdly, intensifying the effort for the export of name brands, and enhancing their controlling force. This is the new trend appeared in today's world competition. Making timely readjustment of the operational strategy, putting in money to set up factories through multiple forms and channels, carrying out production and sales locally and, through the influencing force of name brands, controlling related enterprises, thereby effectively having the market share within regional trading groups and constantly enhancing the reputation of name brands.

Fourthly, actively using information technology, vigorously developing E-commerce, and exploring new ways for the development of name brands. Keeping a close watch at and actively participating in the development of E-commerce, setting up a complete enterprise information system, so as to acquire the ability of rapid reaction and following closely the changes in both domestic and international market trends.

Fifthly, quickening the pace of the construction of sales mode centered on the sales of name brands. Today when market competition has become white-hot, selling activity has become a bridge linking name brands with the consumers. At the time when the difference of the product quality itself is shrinking, the marketing of name brands has necessarily replaced traditional sales. Therefore, it is primarily necessary to intensify service for name brands. .An important way for name brand competition is service competition, famous brands in the world all pay attention to the exploitation of service resources, offering brand-name service and brand-name commodities at the same time, for example, the IBM Company has raised the slogan "IBM means service". Shanghai's name brands should make high-quality service run through the whole process of sales through a perfect service system, and improve the name brand image in the process and at the end of service.

Sixthly and lastly, establishing a good external environment for the operation of name brands. Strengthening the construction of laws and regulations, providing a fair environment for enterprises to create name brands, intensifying efforts to crack down on counterfeit and shoddy products; vigorously developing the exhibition industry, holding various forms of sales exhibitions, meetings for the placement of orders and fairs; establishing large specialized markets radiating through the country, providing more stages for Shanghai's brand-name products; developing sales consultation industry, so that enterprises can strengthen their own market competitiveness by the aid of "external force".

We believe that so long as Shanghai's enterprises and people in various social circles make persistent efforts, they can definitely restore the "Shanghai Brand" prestige.

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