In early May, Shanghai was buzzing with energy. The flagship ME&CITY store on Huaihai Road, which had undergone a months-long renovation, finally reopened with a fresh look and a new vision for the Huaihai shopping district. This transformation marked a significant step in the brand’s evolution.
“Planning and processes are the foundation of success, while execution and flexibility are the keys,†said Zhou Chengjian, Chairman of Meibang Apparel. “We need to balance short-term performance with long-term goals.â€
ME&CITY, a key brand under Meibang Apparel, faced challenges in 2009 and the first half of this year due to high costs and strategic shifts. In response, the company revised its development strategy, prioritizing sustainable growth over rapid expansion. “We can’t ignore today just to chase tomorrow,†Zhou emphasized.
Over the past three years, Meibang Apparel has taken a steady path. After successfully listing on the A-share market in 2008 during the global financial crisis, the company raised 1.4 billion yuan in capital. However, the launch of ME&CITY in 2009 led to higher expenses, resulting in lower-than-expected profits. In Q1 of this year, net profit dropped by 90% year-on-year.
Despite these challenges, the company is working to improve its performance. “We’re making adjustments to optimize operations and enhance efficiency,†Zhou said. He also highlighted that the brand is gradually finding its place in the market, with plans to expand product variety and boost sales.
The journey from one brand to two has not been easy. ME&CITY now offers four distinct product lines: urban fashion, casual wear, business attire, and children’s clothing. “It takes time for a new brand to mature,†Zhou noted. “We aim to achieve a quarter of a product lineup in the next few seasons.â€
With more than 150 franchisees for the children’s line and expectations of reaching 300 this year, ME&CITY is expanding its reach. “Franchisees are showing interest in our adult collections as well,†Zhou added.
Balancing short-term results with long-term growth remains a priority. While the company faced a sharp decline in profits in the first half of the year, it is focusing on improving management and operational efficiency. “We must ensure current performance while preparing for future success,†Zhou said.
To align with its strategic goals, Meibang Apparel recently launched an equity incentive plan, aiming for a compound net profit growth of at least 25% over four years. “If we fail to meet these targets, the incentives will not be granted,†Zhou explained.
Looking ahead, Zhou remains confident about the company’s future. “The past year’s efforts have expanded our platform, and we expect strong growth over the next 3 to 5 years.â€
Meibang Apparel has also focused on refining its branding strategy. By leveraging celebrity endorsements and targeting different consumer segments, the company aims to create a more personalized shopping experience. “Branding isn’t just about products—it’s about lifestyle and service value,†Zhou said.
With two separate business units operating under Meters/bonwe and ME&CITY, the company is optimizing its supply chain and internal systems. “Retail is becoming more refined, and we need to cater to diverse consumer needs,†he added.
As the company continues to evolve, it remains committed to balancing growth, innovation, and customer satisfaction. With a clear vision and a focus on sustainability, Meibang Apparel is positioning itself for long-term success.
Air Yarn,Recycle Polyester Yarn,Air Covered Yarn,Blended Air Yarn
ZHANGJIAGANG WELLHOW TRADING CO., LTD. , https://www.wellhowyarn.com