Machinery manufacturing industry, more terrible than the "collapse tide", is the low price competition
Release time:
15-12-30
In recent years, in the machinery manufacturing industry, some small enterprises have "closed down", "shut down", "bankruptcy", "arrears of wages", "performance decline", "loss" and other news have shaken people's hearts. Due to the serious overcapacity in China, many enterprises either have no business or rely on low profits to survive.
In the long run, the "sub-health" operation mode has become a fatal injury to enterprises, and it is an inevitable result that some small and medium-sized enterprises are dragged out. However, in addition to the external environment, the inherent vicious competition is also swallowing the good times of the machinery manufacturing industry. In order to maintain customers and ensure that there is business to do, some enterprises do not hesitate to sell goods in a "capital preservation" attitude, which increases the risk of more small and medium-sized factories closing down. "People do businesses with low prices!" Now it seems that the "low price competition" is more terrible than the "collapse tide".
In the buying and selling market, when buying things, of course, you have to choose the cheap ones, but the key problem is that when customers cannot identify the quality of the products, the seller's bottomless operation eventually disrupts the market, resulting in the wrong phenomenon of starving to death peers, exhausting themselves and killing enterprises.
1 starving to death.
For example, in the same area, the manufacturing industry is easy to form a gathering area, the homogenization of the same type of products is serious, and the demand is limited. If an enterprise lowers the price to occupy the market, the remaining peers will inevitably have no orders, the products will be squeezed, and the wages of workers will not be paid. In the long run, the market is disrupted.
2 self-exhausted.
The gross profit margin of many machines is controlled at about 20%, which is within the normal range, but in fact, some manufacturers are taking over 5% of the gross profit margin in order to do business, and some are 2% or even lower. After receiving the order, of course, I am happy. The small workshop is in full swing day and night to catch up with the construction period. The marketing department is busy issuing orders and arranging delivery every day.
Behind this seemingly prosperity, is the life of the machinery factory really better? By the end of the year, excluding workers' wages, rent, utilities, marketing, logistics, health, network, telephone, all kinds of fines, alas, a year of hard work, in the end there are only three melons and two dates left, it is better to work for others to earn more, why bother?
There is a jargon called "what you buy is never what you sell". It is not that insiders never know how deep the water is in the products of their machinery industry. Recently, more and more people in charge of machinery manufacturing enterprises complain that low-price competition has disrupted the normal order of the industry. "No matter what kind of product, there will always be a lower price product. No matter how low the price given by the downstream user, there will always be someone who will take the order. From a production point of view, such a price does not guarantee profit margins at all, and if they can do it, it must be cutting corners on raw materials and processes." In the long run, the healthy development of the industry is bound to be threatened, and the influence of made in China will certainly decline.
3 pit dead downstream customers
Buyers think they have taken a big advantage, but they don't know that they should cry most. Often hear a variety of customers complain about the problem, but do not know the cost of raw materials rose seriously, the cost of all aspects of high, such a low price can buy what kind of high-quality machinery.
4 to our dear customers dear customers
The style of life lies in your taste,
The quality of the product lies in your choice!
Only choose the right one, and time will prove your rationality and foresight!
It's expensive, yes, because it's good, so expensive!
Products are expensive in quality, people are expensive in taste!
The premise of service is profit,
Profit margins can be squeezed,
But can not disappear,
Otherwise, services will disappear along with profits.
Please do not blindly excessive demands,
Every company has to survive,
You took away the living space of the factory,
How to guarantee service and quality?
To be a business is to be a conscience,
We 'd rather explain the price for a while,
Don't apologize to customers for life because of quality!
Editor's note: "Grab other people's orders and break your own way!" Companies that take orders at low prices only value immediate benefits, and seemingly compelled individual choices are endangering the overall healthy development of the industry. Such a business model will not last long, and in the process of industry transformation and upgrading, enterprises have also lost the ability to improve from product development, process innovation and other aspects, and their development path can only become narrower and narrower. in the end, it will be found that this is a dead end.
In fact, in the game of price war, enterprises can rely on their own advantages to obtain more benefits. -- Rely on the product to speak, win the price war!
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