Core Insights - The article emphasizes that 80% of Chinese brands fail in overseas markets not due to poor products but because of logistics issues, highlighting logistics as a critical factor for success in international business [1][3][17] Group 1: Challenges in Overseas Expansion - Many Chinese brands adopt a "spend money to win" mentality when entering foreign markets, failing to understand the complexities of logistics [3][4] - A case study of a consumer electronics brand illustrates how delays in customs clearance can lead to missed promotional opportunities and financial losses [3][4] - Another example shows a beauty brand's failure due to inadequate logistics services, resulting in negative customer feedback and product delisting [3][4] Group 2: Importance of Contract Logistics - Contract logistics is defined as a comprehensive service that manages the entire supply chain from factory to consumer, rather than just transportation [3][4] - Successful companies like Midea and TCL have effectively calculated logistics costs and timelines before relocating factories, demonstrating the importance of logistics planning [4][10] - The article stresses that customs clearance is not merely about submitting documents but requires building relationships with customs officials for smoother operations [4][6] Group 3: Logistics as a Strategic Asset - The article argues that logistics should be viewed as a strategic department rather than a cost center, with recommendations for businesses to calculate logistics costs before making decisions [16][17] - Companies are encouraged to seek strategic partnerships with logistics providers rather than opting for the cheapest options, as quality service is crucial for long-term success [16][17] - The logistics landscape is evolving, with a focus on data-driven decision-making and localized logistics solutions to enhance efficiency and responsiveness [12][14][15] Group 4: Future of Logistics Providers - The article predicts a significant reshaping of the logistics industry, where providers that can build networks, leverage data, and specialize in specific industries will thrive [14][15][16] - Companies that rely solely on low-cost strategies without understanding the complexities of logistics are likely to be eliminated from the market [16][17] Group 5: Conclusion - The article concludes that the future of competition for Chinese brands in global markets will hinge on logistics capabilities, making it essential for companies to adapt their logistics strategies to succeed [17]

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