PEAK bounces back with basketball goods

Source:Global Times Published: 2013-4-27 19:28:01

A seventh-generation PEAK store Photo: Courtesy of PEAK
A seventh-generation PEAK store Photo: Courtesy of PEAK

 Sportswear company PEAK has won the favor of consumers by adjusting its operating mode and obtaining a replacement order for 400,000 pairs of basketball shoes, worth 100 million yuan ($16.2 million) - a significant return for PEAK.

This year has been a recovery year for the entire sporting goods industry. The slowdown of the market put the domestic sports brand into a tide of inventory liquidation at home and abroad. International and domestic brands in major cities are down 50 percent. Sales promotions can help, but it's more important to avoid the infinite, vicious cycle of inventory, said Xu Zhihua, CEO of PEAK, said that cleaning up inventory is critical, but it's more crucial to decrease inventory.

"We have adjusted operations to on-demand production orders," Xu said, pointing out that it's an effective way to stabilize supply and demand. "On-demand production creates inventory cost savings, and also reduces pressure on the dealers, allowing them to focus on improving the quality of operations, thus promoting the sales and order requirements."

"In this period for the industry, we will focus more on our own advantage category - the basketball market," Xu said. "Focusing on this sport, PEAK will make great product advancements. PEAK will commit to basketball as its core priority and pour effort into its two markets (China and overseas) to step up the product research and development, dynamic designs and innovative promotions. Fueled by this recovery momentum, PEAK stands in a confident position for facing the future."

Global Times



Posted in: Press Release

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