On June 16, 2007, Shanghai Garment Machinery Zone (SGMZ), China National Garment Association (CNGA), China Fashion Weekly (CFW) and China Apparel Forum held a seminar together called “SGMZ Development Strategy Seminar” in the distinguished-guest building of the South Lake Park in Jiaxing City, Zhejiang Province. Wang Zhuo, the vice general secretary of CNGA, chaired the seminar. At the seminar, the participants summarized SGMZ’s development situations in these years, discussed the feasibility of trade area for commodity exchange and its effect on SGMZ’s further development and then discussed 17 sub-projects in a deep-going way.

The general manager Wang Weijian and the vice general manager Shen Jia of SGMZ introduced the situations of SGMZ to the participants. Located in Fengjing town, Jinshan district, Shanghai, SGMZ whose area of construction is 640,000 square meters occupies 710 acres. Now, the establishment of 1372 shops has been completed in the first phase market. 486 shops of them have been purchased by 138 industry clients and over 500 ones are held by investment clients. An opening ceremony of SGMZ will be held in October of the year. In order to change some clients’ views and eliminate investors’ worriment about SGMZ’s prospect, Shen Jia set forth that SGMZ should change the traditional operation mode of trading first and market building and management later to the mode of market building and management first and trading later. Through this mode, SGMZ can adopt a series of operation methods to flourish its market in 2-3 or 3-5 years.

Shen Jia introduced the details of trade area for commodity exchange: SGMZ purchases the left over products from garment manufacturers of Shanghai, Zhejiang and Jiangsu to make the wholesales to around 500 garment purchasing agents. Then through exchanging the garment machines, fabrics and accessories of SGMZ enterprises residing in the commodity trade area, the spent on the left over garments from garment manufacturers will be paid. SGMZ will reduce the risk of stock in this way. Shen Jia emphasized that the operation of the commodity trade area could overcome the disadvantage of slow-flourishing pattern of the traditional mode and make SGMZ be a powerful domestic purchasing basement.

Chen Guoqiang, served for the office of Ningbo Municipal People’s Government and vice director of industry economy institution of CNGA, acclaimed that the operation mode of commodity trade area could be considered as the magnified edition of Hangzhou Si Ji Qing Garment Wholesale Market, which adopts the pattern of B to B. It is really necessary to construct an excellent operation mode for SGMZ .

Chen Dapeng, the vice president and general secretary of CNGA, set forth that SGMZ could set up a mode of whole year exhibition in terms of technology and modern apparel with the aim of providing a public service platform for garment machinery industry and improving SGMZ’s powerful image in the relative industry through attaching importance to propaganda.

Chen Guoqiang pointed that the essence of SGMZ is garment machinery. As a modern market, SGMZ should have a good understanding of two aspects: how to deal with the relationships well between the terminal clients and industry chain, between whole machine and the spare parts and between the products and value, that is, what kind of product should be sold; how to change traditional service to modern service and take use of intelligence and resources to increase service value, that means, how to sell the products. The function of SGMZ is to construct platform for overseas manufacturers and clients and strive for import rights for domestic trading enterprises.

Dr. Weilin, the director of the media center of China Textile Industry Association and vice president of CNGA, said that SGMZ should stick out its uniqueness and learn more about industry background and the demand on the base of the cooperation with industry associations. Meanwhile, SGMZ could hold exhibitions one or two times every year to display the tendency of the whole industry intelligence.

The general editor of China Fashion Weekly, Sunyi , made some suggestions in terms of media. Firstly, SGMZ should start from the key point and push the famous-brand enterprises which are still stationary without any activities ahead, for the clients group of middle/small-scale enterprises is too weak to hold the whole market; Secondly, SGMZ should combine the market together with exhibition to show the professional features of SGMZ and the globalization of international consulate area. And it should focus on the cooperation with public service organizations.

Wangjun, the general executive director of China Apparel Forum of CNGA, said that SGMZ should take its advantage of its huge scale to meet the demand of the industry service and establish the hardware and software facilities hand by hand.

The vice general secretary of CNGA ,Wangzhuo ,put forth that SGMZ should start with garment machinery and stretch out in the industry with the aim of having what others do not have; completing what others only have; perfecting what others’ are complete; having the clients when others perfect the products.

The manager Bi Haiqing and Yan Tingting of marketing department of SGMZ also attended the meeting and got lots of valuable information which was constructive to formulate guiding policies which were fit for both seller and purchasers. After drawing upon all useful opinions and pooling the wisdom of the collective for the whole day, the participants reached a common recognition that SGMZ was a modern service market of globalized, multi-functioned and specialized. The seminar was completed successfully.