KORRUN(SZ:300577)2022-12-04 10:48Group 1: Company Overview - Anhui Kairun Co., Ltd. is engaged in the fashion handbag sector, which aligns closely with its existing business operations. The global handbag market was approximately $66.112 billion in 2019, while the Chinese handbag market was around 78.724 billion RMB [2][3]. - The company has established a comprehensive team for the research, production, and sales of fashion handbags, with the head of the fashion handbag division having nearly 20 years of experience in the industry [3]. Group 2: Business Model and Partnerships - The partnership with Xiaomi operates on a cost price procurement and gross profit sharing model. The company sells products to Xiaomi at cost, and the gross profit is shared based on an agreed ratio [3]. - Kairun aims to become a respected global travel consumer goods company, focusing on providing complete product solutions centered around quality travel scenarios [3]. Group 3: Market Impact and Response to COVID-19 - The pandemic has impacted the industry but has also accelerated the elimination of outdated production capacity and increased industry concentration. The company has implemented various strategies to mitigate the effects of the pandemic, including launching protective equipment business and enhancing brand marketing efficiency [3][4]. - The company maintains a strong morale and is committed to executing its strategies effectively, with confidence in sustaining stable performance [4].