A promising environment is good for a company
Pujiang is gloried with the reputation of “global lock factory”. “After decades of development” said HuangShunHong, the director of secretary, Zhejiang lock association, “the lock industry has been expanding in a stable and fast way, thus making pujiang enjoys three “biggest” among domestic lock industry: the biggest base of padlocks in china, the biggest collection and distribution of lock in china, the biggest lock exporting origin in china. Shown in local statistic, more than 600 companies are specializing in padlock, amounting to 1,000,000,000 pcs annual output, 3,000,000,000 RMB value, thus taking up 60% marketing share in home and aboard . 23 padlock companies have rights of autonomous export. Now, Products are sold well in china, 50 countries or regions such as Southeast Asia, Europe, America and Middle East.
In 1973, the agricultural tool group of ZhengZhai country set up pujiang lock factory and started development of padlock, regardless of weak technical strength and poor equipments; it has opened the river of padlock industry in Pujiang from then on. At that time, the “Red Lamp” brand iron padlock was popular among local customers for its good quality and moderate price, being empowered by the second light industry office of Zhejiang province to produce iron padlock. However, since it is restricted by the traditional selling model, “Red Lamp” padlock were sold only to Pujiang and its neighbors.
Pujiang padlock had not been sold to far areas or known by more customers until 1987, under the background that “Red Lamp” was altered into “Tang Lamp” brand, and Pujiang lock factory developed to Pujiang General lock plant while the factory was moved from ZhengZhai country to PuYang country. “It is a historical landmark that ‘Red Lamp’ upgrades to ‘Tang lamp’”. Said WuJiangWei , chief of the propaganda department , Pujiang government, “ the general lock plant not only strongly pushes forward the local economic development but creating an environment for lock technicians. Actually, many owners of big lock companies come from the general plant this special school.”
At the end of 1980s, Pujiang people had a vision that lock industry would gain a very blossoming prosperity. Then, groups of technicians from general plant started their entrepreneurship with many family factories and accumulated capitals for bigger company’s operation and management.
Having stepped into 1990s, many local families joint to process padlock units. It sped up development of padlock and initiation of industrial cluster. Different families had different units---lock body, cylinder, shackle, hook and keys done and had them assembled in larger factories. All padlocks were sold to Chinese domestic market from YIWU. This social division helps local peasants get out of poverty to wealth ;It, furthermore, laid a good foundation of a complete industrial chain.
In 1995, Pujiang lock industry had another round of breakthrough, emerging some big lock enterprises, such as plum-blossom, gold wall, Baima ,Yahuan, zhongxing and Wushi. Lock plants mainly gather in zhengzhai, puyangm, zhongyu, baima and huangzhai.
After 3 decades of development, Pujiang lock companies not only spare no efforts on product quality and company brand, but also try to achieve: 1.large annual output 2. Complete specifications 3.varieties of types.
With the development of enterprises, labor resource is becoming more and more important. At the end of 2004, labor department and some companies visited AnHui and signed labor contract with regional governments, labor departments there. Pujiang government officials and some company managers also visit western provinces in purpose of searching labors. They cooperate with local governments and set up recruitment agencies to bridge local labors and Pujiang companies. Pujiang government and companies try to enrich migrant workers’ spiritual world. Pujiang plum-blossom locks industry group used to do things, along with Pujiang propaganda office, such as “Art shows for entertaining migrant workers”,“Policies on caring about their live and work in terms of on building harmony society”. Pujiang government and other companies do more than that, they work together to achieve their family interests. A typical issue concerns on guaranteeing their sons and daughters studying in school well. The propaganda office talks with the educational office about maintaining migrant workers’ children share same educational right with local youngest ,as well as bearing all educational expenses to reduce workers family pressure. Besides, government also asks the lock industry association to play an important role. There are 10 policies on stabling recruitment in lock enterprises, including wage increase, reimbursement of tolls that staffs festive home, richness of entertainment and leisure life, depoting awards and so on. Individually, lock companies also improve workers’ living benefits and accommodating conditions. It is reported that lock companies have increased 10% -20% wages. With efforts from government, industry association and enterprises, we firmly believe that migrant workers will soon get on the economic and social express train and share development gains with local people. To Pujiang, it will be a good solution of “ending shortage of workers” by construction of such a harmonious and friendly social environment.
In these years, the association also sets up exhibition participation grants fund to enthusiastically encourage enterprises opening overseas market by attending some influential exhibitions at home and commodity fairs at aboard. Besides, the association gives them financial help, stimulating them to strive for autonomous export privilege.