Core Insights - The article highlights the success of the "Sanmen" brand of jackets from a small county in Zhejiang, which has over 300 manufacturers and 200 e-commerce companies, producing more than 80 million jackets annually with sales around 12 billion yuan [1][4][7] - It discusses the challenges faced by small and medium-sized enterprises (SMEs) in Zhejiang, emphasizing the need for brand building and industry upgrades to remain competitive in a market increasingly focused on quality and branding [4][6][12] Industry Overview - Zhejiang's economy is primarily driven by SMEs that have historically relied on low-cost advantages, but are now facing growth bottlenecks due to rising competition and consumer demands for quality [4][6] - The article notes that many local industries, despite having strong product quality, often serve as OEMs for international brands, leading to a lack of brand recognition and value [6][12] Brand Development Strategies - The "Sanmen" jacket industry has successfully established a public brand that sets quality standards and avoids price wars, providing a pathway for companies to transition from OEM to brand ownership [7][9] - Companies like Zhejiang Dixiang Garment Co., Ltd. have focused on quality control and building a factory brand before expanding into international markets, reflecting a shift in strategy towards brand recognition and quality assurance [9][10] Regional Brand Initiatives - The establishment of regional public brands is seen as a crucial measure for addressing challenges such as rising labor costs and supply chain shifts, helping SMEs gain credibility and market presence [4][12][14] - The article describes how local governments are implementing standards and management systems to support the development of regional brands, enhancing the overall competitiveness of the industry [12][14] Market Positioning and Future Outlook - Companies are encouraged to identify their unique market positions and avoid direct competition with high-end brands, focusing instead on niche markets where they can leverage their strengths [11][12] - The article emphasizes the importance of collective branding efforts among SMEs to enhance their market presence and combat issues like price competition and imitation [13][14]