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Lining Is Faced With "Internal And External Troubles" And A Long Road To Revival.

2012/7/9 14:53:00 31

LiningSports BrandShoe Industry Dynamics

although Lining After the company unveiled the latest blueprint plan, the market reaction was quite positive, and the stock market rose 7.25% to 5.03 yuan, but it shrunk to 84% and the market value reduced to 5 billion 311 million yuan compared with the highest level of 31.15 yuan in April 2010.


Expert analysis pointed out that Lining Sports brand This is a series of "deep-seated contradictions" that Lining is planning to enter into real estate and is accused of "not doing a good job". This shows that the road to revival of Li Ning Co will still be difficult.


Lining VS Zhang Zhiyong


Lining was attacked by ADI and Nike.


Lining has always been the most famous brand of sporting goods in the mainland, and has long been a "one brother" position. But in recent years, under the aggressive attack of competitors from Anta, PEAK, Adidas, Nike and other domestic and foreign competitors, the company has obviously faced some problems and exposed many problems. The reshaping of the brand launched in 2010 has involved many major reforms, including the upgrading of the brand LOGO that has been used for 20 years, the opening up of the post-90s consumer market, and the attempt to narrow the distance from the international sports brand by raising product prices.


Anta and PEAK take the lead


According to the reporter: in recent years, Lining has failed several times of reform, not only failed to win the favor of the post-90s, even the original consumption is the main force of the 70, 80 after the loss.


In addition, Lining raised the price increase measures taken by the industry as a "chronic suicide." Because most of its customer groups are concentrated in two or three tier cities with limited purchasing power, the continuous price increase has left the original cost performance advantage intact, leading to high-end consumers turning to international brands such as Adidas (Adidas) and Nike (Nike), while low-end consumers are turning to cheaper and cheaper Anta and PEAK. Lining finally ended up in an awkward situation.


Enter the real estate market and doubt the importance of doing business


In addition, Lining himself announced in September 2010 that he was "the replacement of standard" in the "special China" predecessor "pleasant energy saving". Although he claimed that the purpose was to promote the development of "big sports" and "sports ecological community", the intention of "curve March" in the real estate field was clear.


Lining's practice of deviating from the main business has aroused strong doubts outside. Many big companies have been singing the prospect of Lining since then, so that their share price has been severely washed up for three times in 8 months.


Executives leave the road of revival


Recently, the company broke out again.


According to a reporter survey: since 2011, Lining's chief brand official Shiwei, chief operating officer Guo Jianxin, Lotto (Lotto) general manager Wu Xianyong and other core executives have left. In November of the same year, Xu Maochun, the newly appointed chief product officer, also went to the post. This time, even Zhang Zhiyong, the elder statesman, suddenly retired. Lining will return again to replace Zhang Zhiyong's position.


In view of this, the company suffered a series of heavy losses, and it is believed that it will take a long time to recover.

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