National Tide 1980.
Chapter 1723 New Questions
In 1991, Huacheng TV had only been broadcasting for three years and did not have its own transmission tower, resulting in poor program reception.
In addition, every household in Huacheng had a fishbone antenna on its roof that stretched towards Gangcheng, so Huacheng TV station did not have much influence at that time.
Before the Spring Festival that year, when Huacheng TV broadcast the TV series "The Outsider Girl", it still used a paging station's transmission tower, and the effect was predictable.
After it aired, it seemed to go unnoticed and didn't generate much of a response.
However, the show was more popular abroad than at home, and soon after, "The Outsider Girl" was broadcast on national television.
The theme song of "Migrant Girl" quickly became a hit across the country, and "Migrant Girl" became a term closely associated with Guangdong's reform and opening up, gaining widespread recognition throughout the country.
Of course, while "The Outsider Girl" was a success, from the perspective of the subject matter of the TV series, it was just one entry point for reflecting the reforms in the Pearl River Delta at that time.
If we're talking about a comprehensive portrayal of Guangdong during the reform and opening up period, we can't forget the other two TV dramas previously produced by Huacheng TV: "Business World" and "Public Relations Lady".
These realistic TV dramas were collectively known as "Lingnan style" dramas at the time. Only when they are grouped together can they truly reflect the social landscape of Guangdong during that era.
Even when viewed from a national perspective, these TV dramas have certain practical significance, because their emergence not only represents the resurgence of "human liberation" in the Republic, triggering an opportunity for a great development of productivity, but also signifies the emergence of two entirely new classes throughout China.
One is the "migrant worker," representing the grassroots labor force, and the other is the "white-collar worker," known as the "petty bourgeoisie," representing the emerging middle class.
Their division of labor and social status are also completely opposite.
Migrant workers are mainly distributed in factories and construction sites, places that require physical labor and are responsible for producing actual goods.
Meanwhile, white-collar workers are distributed in industries that are not directly producing, such as culture and media, trade and finance, and transportation and information, where they are engaged in management and service work.
Although white-collar workers do not possess prominent power and status, they have relatively high incomes compared to ordinary manual laborers.
This provides white-collar workers with the necessary conditions to enjoy a better life.
The disparity in income levels also makes them appear more like successful people.
Those trendy fashions and high-end goods seem to be prepared for these white-collar workers, and they only appeared in the domestic market as my country's white-collar class grew and expanded in the 21st century.
The situation is relatively tragic for migrant workers, most of whom participate in this era of change as producers rather than beneficiaries.
This is what is known as the demographic dividend.
If we take the garment industry as a starting point, we can see that the entire 1990s can be described as the golden decade with the fastest development of my country's garment industry.
From suits to sportswear, from high heels to sneakers, the rapid pace of fashion changes caught people of this era off guard.
Over the past decade, keeping up with fashion has become a core value for white-collar workers, and brand awareness has gradually permeated their daily lives.
Undoubtedly, under these circumstances, Pierre Cardin, which has long been well-established in the domestic market and has consistently maintained its leading position in the industry, will benefit the most.
In recent years, Pierre Cardin's net profit from its core apparel business has been steadily and rapidly increasing at an average annual rate of 20%.
In the first two years of the 1990s, although clothing prices did not increase significantly, production and sales grew by leaps and bounds.
Even the beauty and hairdressing business and the catering industry are thriving. The beauticians and hairdressers trained there have long become the main force in the industry in China, and Maxim's restaurant has firmly occupied the throne of the number one French restaurant in China.
However, in this new phase, new problems are bound to arise.
For Pierre Cardin, the biggest challenge at present is the proliferation of counterfeit products.
These items originate from Zhejiang and Anhui provinces. The manufacturers operate small workshops that produce similar styles of clothing based on catalogs from reputable clothing brands, using inexpensive materials.
Although their production level was quite low at this time, they couldn't even imitate the trademark exactly, far from being able to "make something look like anything".
However, their advantage lies in the wide variety of products they produce. They can make down jackets, jeans, suits, and leather shoes, and they can imitate and supply almost all famous brand trademarks.
Individual clothing vendors in Zhejiang and Anhui can restock almost all their stock by sourcing from these small workshops in just one trip.
The convenience and low price of counterfeit brand-name goods have led to their widespread popularity, resulting in the rapid development of clothing workshops in Zhejiang and Anhui provinces, and an ever-increasing number of counterfeit products.
Moreover, these counterfeit "brand names" made with inferior methods were quickly and widely spread throughout the country by individual business owners from Zhejiang and Anhui who went to other provinces.
In major first-tier cities like Beijing, Shanghai, Guangzhou, and Shenzhen, you can find this kind of merchandise in any well-known clothing wholesale market.
Some merchants from Zhejiang and Anhui even operate as front shops and back factories, bringing their clothing workshops from their hometowns with them. They make and sell simultaneously, engaging in both wholesale and retail, and can also produce and ship according to customer orders, making them quite flexible.
As a result, counterfeit and shoddy products became widespread, and clothing merchants in Zhejiang and Anhui became synonymous with shoddy workmanship.
For a while, Zou Guodong somewhat rashly went to Yao Peifang's office at Dachuan Entertainment to find Ning Weimin, specifically to discuss how to deal with the rampant counterfeit goods.
Yes, Ning Weimin is very busy; the Beijing amusement park and aquarium projects are what he values most right now.
But who told him to predict this situation would eventually occur in China several years in advance?
Moreover, he not only receives a salary from Pierre Cardin China, but is also the chairman of Pierre Cardin Japan, and has a full responsibility to safeguard the interests and brand image of Pierre Cardin.
Therefore, Zou Guodong naturally had every reason to conscript his men.
Ning Weimin had no way to refuse, so for the second half of March he spent investigating the rampant counterfeit goods in the market and discussing countermeasures with Zou Guodong.
On Monday, April 1, 1991, this issue was specifically brought up for discussion at a company-wide executive meeting.
At 9:00 a.m. that day, the atmosphere in the conference room at Pierre Cardin China headquarters was somber.
The company's senior management was all present at the long conference table, with several documents in front of each of them.
Zou Guodong sat next to the main seat, his face so gloomy it looked like it was about to drip water.
He broke the silence first, his gaze sweeping over everyone present, his tone revealing an barely suppressed resentment. "Everyone, you all know what day it is today, right?"
Seeing that everyone remained silent, he sneered and slammed his hand heavily on the table.
"Today is April 1st, April Fool's Day! But our Pierre Carton company has been thoroughly fooled, and the joke is not funny at all!"
He pulled out a bulging, red and blue striped snakeskin bag from under the table.
He casually tossed them onto the table, and with a clatter, several obviously crudely made suits, jackets, belts, and wallets bearing the Pierre Cardin logo scattered out.
"Look, this is what's being sold in all the major clothing markets in Beijing right now. The Zoo, Drum Tower, Xiushui Street, Xidan Baihua Market, Ethnic World, and those newly emerging wholesale markets, it's all full of this stuff."
Pointing at the clothes, Zou Guodong said with great distress, "These so-called 'Pierre Cardin' clothes are made of the cheapest synthetic fibers. The zippers get stuck as soon as you pull them. They embroidered our company logo like it was done by a dog! Yet these pieces of garbage are hanging in the most conspicuous places, using our brand to ruin our reputation and infringe on our interests!"
He paused, then raised his voice an octave.
"This isn't just about money. The most terrifying thing is the devastating blow to our brand image! The 'high-end,' 'fashionable,' and 'quality' image that we've painstakingly built up in China is being eroded bit by bit by these cheap, low-quality goods sold at street stalls. Consumers can't tell the difference between real and fake products, end up wearing uncomfortable counterfeit clothes, and in the end, they blame us, Pierre Cardin! Although our sales at our physical stores are still rising, our brand's moat is being hollowed out by these rats!"
The meeting room was silent, except for Zou Guodong's slightly heavy breathing.
After a long pause, the manager in charge of legal affairs finally spoke first, his face contorted with distress and his tone full of helplessness.
"Mr. Zou, please calm down. We're anxious about this too, but in the current climate, protecting our rights is incredibly difficult. First, the law is inadequate. Although there is a Trademark Law, the compensation standards are extremely vague. If we want to sue them, we'll have to gather evidence, go to court, and run around like crazy. We don't know how much money, time, and manpower it will cost, but in the end, the compensation might not even cover our travel and litigation costs. That's what you call 'winning the case but losing money.'"
Immediately afterwards, the department manager in charge of product quality also sighed and took over the conversation.
"Yes, the legal department is right. And the cost of counterfeiting is too low. Those small workshops from Zhejiang and Anhui can operate in one alley today and move to another courtyard tomorrow. The equipment is just a few sewing machines, and the people are all from the same hometown. They operate by shooting and then moving on. Usually, the industrial and commercial inspection department has just shut down one den, and the next day they've opened up again with a different sign. It's impossible to eradicate them; they just keep coming back. How can we fight this battle?"
Gan Lu, Ning Weimin's former subordinate and now the marketing director in charge of sales, added with a frown, "There's also the issue of consumers. Nowadays, people have a weak awareness of intellectual property rights; they only recognize the label, not the quality. We sell a genuine jacket for 1,800 yuan, while they only sell it for 80 yuan. Many people buy it even though they know it's fake, just for the sake of cheapness and face. If we don't lower our prices, we simply can't compete with those counterfeit goods in the market."
"Not to mention the level of supervision."
Another old acquaintance of Ning Weimin, Xiong Jianmin, the head of the finance department, also chimed in indignantly, "Some wholesale market managers are in cahoots with those individual vendors selling counterfeit goods. They take bribes and tip them off. Before our people even enter, they've already hidden the goods in secret compartments. Go and raid them? They can't even find a clue!"
Listening to everyone's comments, all about difficulties and obstacles, and none of them being helpful, Zou Guodong's brows furrowed even more.
He turned to look at Ning Weimin, who had been sitting silently to the side, fiddling with a fountain pen in his hand.
The other person nodded at him, showing little surprise, as if it were all within his expectations.
Zou Guodong couldn't help but sigh inwardly, thinking to himself, "How can people be so different?"
Ning Weimin is smarter than all the company's senior executives.
Looking back now, Ning Weimin's words have all come true. He could have foreseen this situation several years in advance, and I can't help but admire him.
He then tapped the table to signal everyone to be quiet, and then looked around at everyone, trying to inspire them to think.
"What everyone is saying is very realistic; this is the real dilemma we are currently facing. Combating counterfeits, in the current domestic environment, is indeed a protracted war, and it can even be said to be an asymmetric war."
At this point, he changed the subject, his gaze falling on the scattered counterfeit goods.
"However, we shouldn't underestimate ourselves. At least in one respect, we at Pierre Cardin have done better than other brands. Do you remember the franchise store strategy that General Manager Ning insisted on a few years ago? We resolutely refused to engage in 'joint ventures' or 'affiliation,' and gradually reclaimed 'authorizations,' insisting on 'franchise stores' and 'dedicated counters.' At the time, this seemed to limit profits and the speed of expansion, but now it seems to be a lifeline."
Zou Guodong tapped the table, emphasizing this point.
"Because our distribution channels are singular and closed, there are no counterfeit goods within our system. As long as consumers recognize our exclusive stores, they are guaranteed to buy genuine products. This completely separates us from those mixed wholesale markets. We artificially reduce the difficulty of judging authenticity. This is our greatest confidence. Therefore, in terms of combating counterfeits, we have a greater advantage than brands like Montblanc, Lacoste, Old Man Head, and Zegna."
Upon hearing this, the executives present nodded in agreement, their faces showing a hint of satisfaction. They all felt that Ning Weimin had indeed been prescient.
"President Ning, what's the specific course of action next? We can't just stand by and watch them do this, can we?" someone asked anxiously.
"I'll share my opinion later; I'd like to hear everyone's thoughts first." Ning Weimin didn't want to ruin Zou Guodong's plans to cultivate his subordinates, so he smiled and said this.
His identity is very special; he is a transcendent being.
No one can now be considered an equal to Ning Weimin in terms of their official position.
Therefore, his words were equivalent to Zou Guodong's meaning, and the atmosphere in the meeting room changed.
Even though it was difficult, everyone began to offer suggestions.
As one of Ning Weimin's still loyal subordinates, Gan Lu was the first to respond and speak.
“I think we need to strengthen consumer education. Since the law can’t regulate it, we should educate consumers to recognize it themselves. We can make some beautiful brochures and posters and put them in all the counters and stores. They should specifically explain how to check the feel of the fabric, how to check the stitching, and how to check the details of the company logo. We should also post comparison pictures of real and fake products so that ordinary people can see the inferiority of those street vendor goods at a glance. Once consumers can recognize the quality, counterfeit goods will naturally have no market.”
Xiong Jianmin, however, offered a different perspective from an economic standpoint: "Relying solely on education is too slow. I think we could consider appropriately lowering prices or increasing advertising investment to boost our sales. After all, what consumers find hardest to refuse is a lower price. They might also buy things because of advertising. In other words, as long as we can increase sales and seize market share, it's equivalent to reducing the share of counterfeit goods. Although it might be a bit frustrating, it's still strengthening ourselves, which is better than doing nothing. Even if it doesn't have much effect, it can still hurt other brands, and ultimately, occupying a larger market share is always beneficial."
At this moment, the joint venture factory manager, who had been in charge of garment production management, blushed and made a bold suggestion. "Um... I have an idea, I don't know if it will work. Since the counterfeiters are mainly concentrated in Zhejiang and Anhui, and are mostly small workshops, could we... catch the ringleaders first? Send people directly to Zhejiang and Anhui to find the biggest dens and negotiate with them?"
"Negotiate terms?" Zou Guodong was taken aback. "How? Just go there and tell them to stop?"
"No," the factory manager scratched his head somewhat sheepishly, "What I mean is, some of the counterfeits are of decent quality, which means they have some skill. Could we recruit them? Or sign contracts with them to do OEM for us? Bring them out of the underground and into the mainstream. This would solve our production capacity problem and cut off the source of counterfeit goods. It's like 'fighting fire with fire,' or... turning waste into treasure? As for the poor-quality ones, we can have the industry and commerce inspection department handle them. Or, we could just give those counterfeiters some money to stop them from making our fakes. Anyway, with so many famous brands, they don't need to go after us..."
The suggestion immediately caused an uproar in the meeting room.
Some people think this is simply a fantasy. Collaborating with counterfeiters and even paying them to do it—where would Pierre Cardin's reputation be if word got out?
Some people think that although the idea sounds absurd, upon closer examination, it does seem to make some sense.
All eyes were once again on Zou Guodong and Ning Weimin, awaiting their final verdict. (End of Chapter)
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