Shanghai LaoFengXiang co., LTD., established in 1848 by the LaoFengXiang jewelry shop development evolution, and its trademark "LaoFengXiang" ideas, and also caused by LaoFengXiang jewelry shop name. LaoFengXiang jewelry shop is the only one to generation more than a century and a half one hundred years old. The old shops, is under the unexpected storm.

"We are a baseline, and with a lawyer to discuss treatment scheme, will give consumers and investors a saying." LaoFengXiang dong secret ZhouFuLiang response "quality the door" the event.


Mid-march until now, LaoFengXiang has two appeared in shaanxi and shanxi pledges inspect bureau reported precious metal quality not compliance "blacklist" on, continuous exposure caused investors to this old goodwill concerns.

Gold in the process appeared accident loss affect purity is difficult to avoid, but strict management of brands have to plant a certain loss scale space, to the final quality control is very strict, not qualified product ratio is very low, and the qualitative inspect branch in the proportion of smoke detection more low.

China's opening up gold trade, many Hong Kong brand into the mainland, and Europe and the United States brand pipe portion food gold jewelry and high-end market, the LaoFengXiang old state-owned enterprises in the competition pressure passive adjustment mode of operation, nearly five years, gradually will business center by original gold trade diversion terminal sales.

Shenzhen lo wu LaoFengXiang a supplier has revealed that if high frequency occurrence quality problem, then explaining enterprise management link has a problem, especially LaoFengXiang terminal rely heavily on distributors and join in business enterprise, the quality monitoring difficult.

Problem adorn article

In shaanxi province quality supervision bureau official website display, March 16,, shaanxi province bureau of quality and technical supervision bulletin jewelry, jade and precious metals ornaments product quality supervision and spot check results, 24 batch sample is unqualified, including LaoFengXiang 2.14 g heavy "S925 silver earrings" purity is unqualified.

In addition, shaanxi province quality supervision bureau also public announcements, shaanxi baoji huatong malls, LaoFengXiang counter from commodity inspection. The public information display: rejects is serious illegal activities, and rejects enterprise jewelry jade and precious metals ornaments product quality can not be sure.

Then on March 25,, Shanxi Province quality supervision bureau announced last year in the fourth quarter, product quality supervision and spot check results, 64 batches of the precious metal jewelry a total of 15 batches rejected.

According to the shanxi pledges inspect bureau report, the jewelry inspection of quality unqualified phenomenon, mainly for precious metals ornaments gold content shortage, precious metals accessories gold content does not accord with a standard to ask. Among them, the LaoFengXiang its xinjiang country enjoys LaoFengXiang jewelry shop of distribute labeled as "Shanghai LaoFengXiang co., LTD., the production of 999 ‰. LaoFengXiang brand thousand pure gold pendant", after the examination is only pure gold pendant.

According to the above have the supply and LaoFengXiang jewelry factory personage introduction, pure gold and thousand pure gold referred to as pure gold, the difference is pure gold content of gold not less than 990 ‰, And thousand pure gold gold content not less than 999 ‰.

Gold content gap is very little, naked eye cannot distinguish between, on the market sales of gold jewelry, most equipped with quality inspection agency inspection identification, identification clear label jewelry of gold content, weight. But quality testing organization is also batch test, especially for LaoFengXiang such one big less detection note scale, so the merchants even shoddy, consumer also difficult to informed.

And LaoFengXiang company officials had said to the media, said the company has been sent shanxi investigating, preliminary results show that the selective examination unqualified because dealers in the individual product of labels on identification negligence, and declare as this is the negligence of individual products, so LaoFengXiang not including Beijing market, the product to the next frame processing.

Management problem

At present, LaoFengXiang in continental level tau city still few, this and swept the mainland in recent years the city chow taifook, ZhouShengSheng, gold sovereign and other brand jewelry store huge Numbers of situation is not the same.

LaoFengXiang currently has more than 60 chain jewelry shop, more than 300 monopoly stores and more than 1000 dealers. Orient securities and YangChunYan LaoFengXiang estimate at the end of 2011 has nearly 600 home stores, a total of more than 2300 home sales outlets, gold jewelry the national market share of 15%.

LaoFengXiang in the local market has a long history, so also form a complicated affair distribution to join channel, according to the above its foundry sources, and join LaoFengXiang margin for 50000 yuan, Mosaic kind of jewelry first purchase not less than 300000 yuan, other element gold products do not limit the first purchase amount. LaoFengXiang supply chain is Mosaic products must to brand designated by the factory production, and then to purchase product, in the factory price of goods directly adding 5 ℅ brand fee.

LaoFengXiang have LaoFengXiang jewelry shop co., LTD., LaoFengXiang jewelry research institute co., LTD., LaoFengXiang jewelry co., LTD., LaoFengXiang diamond processing center co., LTD. And more than 20 subsidiaries, is consisted of ShouShiChang, silver factory, gift factory, profile factory four professional factory, mainly responsible for the production of high-end jewelry, the common goods and other brands as through the OEM form production.

"LaoFengXiang in supply chain management and control is not like chow taifook so strong, its dealers and the joining trader in purchasing have a certain degree of autonomy, and LaoFengXiang late in the process of development with the dealer or the joining trader is given priority to, the good and bad are intermingled, this should be LaoFengXiang on product quality monitoring weaker reasons. The factory advocates say.

LaoFengXiang latest annual report shows, the company to join chain stores and total distribution agent sales income proportion in roughly 44% and 50%, while operating jewelry shop income than small accounts for only around 6%, and with an annual increase of 100 chain alliance business speed expansion and ascension LaoFengXiang brand well-knownness and the market share. The report also said that the two of the gross profit rate is far lower than operating jewelry shop's gross profit margin. Therefore, in Beijing, shenyang LaoFengXiang such key city to try, make LaoFengXiang high-quality goods flagship store, and gradually improve operating jewelry shop sales accounted for more than.

YangChunYan think, LaoFengXiang will be affected by quality event influence, but the present industry status will not change. LaoFengXiang expected 2011 annual revenue is 21.1 billion yuan.