Monday 19 September 2011

A good example


If we looked at the Portuguese shoe industry 15 years ago we would step into a problematic sector. Though usually considered as a stronghold of good quality products, the absence of a marketing strategy impelled the manufacturers to only sell shoes to some international brands, that would rebrand them as their own and sell them at a premium - capturing most of the margin. It was a huge problem, as the Portuguese manufacturers margins were thus being mercilessly squeezed...

When, I look at what some Portuguese companies have done, I feel proud. And I feel even more hopeful than I usually am. They listened and learned. They've built brands, anchored in the good quality products they were manufacturing. They introduced design. They were innovative. They relied in an extremely experienced and cheap labor force. And they started building operations that would allow them to go directly to their markets and sell the products directly to retailers. They won clients by meeting their demands, by adapting to their requests. They directed their efforts not to less demanding and easier markets (like Spain), but to the really difficult and demanding ones, like Germany and Holland - knowing if they could make it there, that would be a good business card everywhere in the world. They are winning! And I feel proud of them!

No comments: