Profits push the critical point to see how the electromechanical industry can reverse the difficulties
In the past “Eleventh Five-Year Plan†period, the state adopted a series of high-pressure policies such as elimination and transformation for high-energy-consuming enterprises in order to regulate the excessively rapid release of energy in the high-energy-consuming industries and the pressure of energy-saving and emission reduction. This will allow China's manufacturing industry to address internal anti-dumping boycotts, but will also address the internal living environment.
At this stage, the situation of the Chinese electromechanical industry is indeed worrying. Not only is exports shrinking, domestic sales are also under greater pressure. With the changes in raw materials, labor prices, and exchange rates, the profitability of electromechanical manufacturing companies has become narrower.
The profit has forced a critical point to see how the electromechanical industry can reverse its difficulties. First, raw material prices have risen. It is understood that the prices of copper and aluminum, the main raw materials for home appliances, have been on an upward trend since 2009. Copper prices have risen 2.6 times in early 2011. Prices for plastics and rubber also soared, rising by more than 50% each year in the past three years. Steel and other raw materials also rose sharply, and the heavy raw material cost pressure once made electrical and electronic enterprises breathless.
Second, labor prices have risen. At the beginning of 2011, China's manufacturing industry fell into an embarrassing situation of labor shortage. Recruitment has become a nightmare for many electromechanical companies. In fact, with the aging of the old generation of migrant workers in China, the value concept of the new generation of migrant workers has undergone an inverting change. Since 2008, all types of manufacturing industries, especially coastal export-oriented enterprises, have been embarrassed as a result of lack of people. The shortage of labor will inevitably bring about an increase in the wages of labor companies. In order to ensure the normal operation of the industry chain, companies have to increase the wages and benefits of workers.
Finally, *** appreciation. In recent years, the international status of *** has been increasing day by day. In March 2011, the *** exchange rate against the US dollar was reported at 6.5695, a record high. *** Continuous appreciation means that the products exported by enterprises must keep the foreign currency prices unchanged, the prices of *** are relatively reduced, the export-oriented electromechanical enterprises lose their price advantage, and the profit space is disguised.
Sufficient profits are the material basis for the survival, development, and growth of companies, and they are important events for companies to live and die. The reality is that the market economy is prosperous, the buyer’s market is mature, and the product homogeneity is getting more and more serious. In the fierce competition, companies can’t help but attract prices to consumers. So that people in the industry complained: Five years ago, selling an induction cooker earned more money than selling five induction cookers.
Sitting still can't solve the problem. Under many pressures, hardware companies have to find ways to change their strategies and adapt to the market situation for their own survival and development, and the hardware industry has therefore been given an opportunity to improve.
Innovation. After a substantial increase in product costs, Chinese electromechanical companies are paying more and more attention to innovation. By improving management, developing new products, and other means, they can increase the added value and profits of their products and open up domestic and foreign markets to create a good situation in which quality, price, and survival are best. After increasing the scientific and technological content of products, electromechanical enterprises have increased sales prices accordingly according to the principles of higher prices and higher prices. The quality and grade of products have rapidly increased, and the competitiveness of the industry has greatly exceeded that of the past.
service. The market environment has gradually transitioned from the seller's market to the buyer's market. Consumers want to enjoy the products and enjoy respect from their purchases. They particularly value the quality of their services. Therefore, companies began to realize the importance of services, gradually pay attention to the needs of consumers, and provide consumers with the products and services they need. And get profit from the corresponding after-sales service, such as accessories, maintenance and maintenance. It is reported that these direct and indirect profits may be more than the profits from direct sales of products.
Development is the hard truth. Which obstacles impeding the development of the electromechanical industry will be a stepping stone in the way of the enterprise. As long as the electromechanical enterprise carefully analyzes the market situation and combines its own characteristics, the periodical issues are the turning point for the development of the industry, once it seeks new profit growth. It is not difficult to point in an invincible position in the market.
At this stage, the situation of the Chinese electromechanical industry is indeed worrying. Not only is exports shrinking, domestic sales are also under greater pressure. With the changes in raw materials, labor prices, and exchange rates, the profitability of electromechanical manufacturing companies has become narrower.
The profit has forced a critical point to see how the electromechanical industry can reverse its difficulties. First, raw material prices have risen. It is understood that the prices of copper and aluminum, the main raw materials for home appliances, have been on an upward trend since 2009. Copper prices have risen 2.6 times in early 2011. Prices for plastics and rubber also soared, rising by more than 50% each year in the past three years. Steel and other raw materials also rose sharply, and the heavy raw material cost pressure once made electrical and electronic enterprises breathless.
Second, labor prices have risen. At the beginning of 2011, China's manufacturing industry fell into an embarrassing situation of labor shortage. Recruitment has become a nightmare for many electromechanical companies. In fact, with the aging of the old generation of migrant workers in China, the value concept of the new generation of migrant workers has undergone an inverting change. Since 2008, all types of manufacturing industries, especially coastal export-oriented enterprises, have been embarrassed as a result of lack of people. The shortage of labor will inevitably bring about an increase in the wages of labor companies. In order to ensure the normal operation of the industry chain, companies have to increase the wages and benefits of workers.
Finally, *** appreciation. In recent years, the international status of *** has been increasing day by day. In March 2011, the *** exchange rate against the US dollar was reported at 6.5695, a record high. *** Continuous appreciation means that the products exported by enterprises must keep the foreign currency prices unchanged, the prices of *** are relatively reduced, the export-oriented electromechanical enterprises lose their price advantage, and the profit space is disguised.
Sufficient profits are the material basis for the survival, development, and growth of companies, and they are important events for companies to live and die. The reality is that the market economy is prosperous, the buyer’s market is mature, and the product homogeneity is getting more and more serious. In the fierce competition, companies can’t help but attract prices to consumers. So that people in the industry complained: Five years ago, selling an induction cooker earned more money than selling five induction cookers.
Sitting still can't solve the problem. Under many pressures, hardware companies have to find ways to change their strategies and adapt to the market situation for their own survival and development, and the hardware industry has therefore been given an opportunity to improve.
Innovation. After a substantial increase in product costs, Chinese electromechanical companies are paying more and more attention to innovation. By improving management, developing new products, and other means, they can increase the added value and profits of their products and open up domestic and foreign markets to create a good situation in which quality, price, and survival are best. After increasing the scientific and technological content of products, electromechanical enterprises have increased sales prices accordingly according to the principles of higher prices and higher prices. The quality and grade of products have rapidly increased, and the competitiveness of the industry has greatly exceeded that of the past.
service. The market environment has gradually transitioned from the seller's market to the buyer's market. Consumers want to enjoy the products and enjoy respect from their purchases. They particularly value the quality of their services. Therefore, companies began to realize the importance of services, gradually pay attention to the needs of consumers, and provide consumers with the products and services they need. And get profit from the corresponding after-sales service, such as accessories, maintenance and maintenance. It is reported that these direct and indirect profits may be more than the profits from direct sales of products.
Development is the hard truth. Which obstacles impeding the development of the electromechanical industry will be a stepping stone in the way of the enterprise. As long as the electromechanical enterprise carefully analyzes the market situation and combines its own characteristics, the periodical issues are the turning point for the development of the industry, once it seeks new profit growth. It is not difficult to point in an invincible position in the market.
Film Faced Plywood,Commercial Plywood Co., Ltd. , http://www.qdplywood.com