China board trading network news:
China is in the process of large-scale urbanization and the construction of a new socialist countryside. The market demand for building slabs is relatively large. However, due to the fact that the board industry has not yet established a mature technology innovation mechanism and marketing model, there is no standardized and complete competitive market dominated by several well-known brands in the consumer market at all levels, and it is impossible to realize the “good and cheap†construction plates. . This situation just gave a lot of small companies the space to survive, and occupy the majority of the low-end market share, because their products are "cheap."
The price and quality of commodities have a certain interdependence in the minds of consumers. If they can continue to innovate and advance through technology, or increase the efficiency of large-scale production with batch and standard quality control, or introduce advanced concepts and improve internal management of enterprises. In order to reduce production and operating costs, price reduction sales are undoubtedly one of the favorable advantages for companies to participate in market competition. On the contrary, it may have the opposite effect. The downturn of the real estate market coupled with the government's regulation has greatly limited the cash flow of developers. A developer has clearly proposed to reduce the procurement cost of building materials, and the supplier can reduce the price of a certain percentage on the basis of quality assurance. Sign the supply contract, otherwise talk about it. As an upstream plate company, how can it be done? Baoyuan plate said to ensure product quality but also to reduce prices, is nothing more than to reduce production costs, or reduce profits or even a loss, or like the above-mentioned enterprises for OEM production, and then Both are impractical.
“Wuxi†and “cheap†are themselves a pair of contradictions in the market economy. Philosophy tells us that the unity of opposites of contradictions is the driving force behind the development of things. As a result, price cuts are no longer the primary issue. In the face of a severe market situation, companies should not be allowed to think about them again and again and again. You don't cut prices. Others want to cut prices. Once the price cuts, there is no survival benefit. So the key is how to reduce the price and make the company profitable. A brand enterprise must either accept the long-term test of the market in order to ensure that Wumart keeps its prices from falling, or to ensure that Wumart will continue to occupy the market and tap the potential for price cuts in many ways. A sensible business always knows how to make trade-offs between "good things" and "cheap" and the relationship between them.
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