Wrench Tuner
Hardware market in the future competition pattern will be expanded
A financial crisis in 2008 brought sort of a small storm, with the crisis step by step from the spread of the virtual economy to the real economy, China’s exports have taken a tremendous impact, many hardware business shrink sharply in the order, production operators face serious difficulties, began implementation of the return policy.
The domestic market prospects
“We have been in preparation for return to the domestic market, opening up the domestic market although there are many problems, such as product variety, quality, sales channels and consumers such as the use of different habits, but once the development together, the potential of the domestic market is quite broad. “Zhejiang Yiwu head of a tool manufacturing company, told reporters.
And for overseas orders, compared to open up the domestic market, perhaps early will be very difficult, Tianjin, northern China Hardware Electrical Company Limited, Chairman Chen Ying said that the greatest use of hardware is the plant, which is currently about 80% of the world’s production plants are located in China . This means that the future for a long time domestic demand will only increase hardware will not be reduced.
According to statistics, in recent years, China’s hardware industry to 20% annual growth rate of the development, the annual output value of 4,000 billion yuan, has become the superpower of world production. However, where the highest profit margins in the high-end market has long been dominated by foreign manufacturers, which the price of brand name products at home and abroad on the huge gap can be seen by. It is understood that an ordinary 10-inch Adjustable Wrench, our products price in eight yuan; while the quality of the same, by the Swiss production of the same type of wrench in Shanghai market price up to more than 100 yuan. Another example is 8-inch Pliers, currently on the market generally Quotes six yuan, while a German production of the same quality and type of Pliers, can be sold for 390 yuan in Shanghai’s sky-high price.
“In the future our goal is deeply involved in the domestic high-end market, we have been doing research.” In the above-mentioned the tool manufacturer seems, due to be exported to foreign countries or foreign OEM (OEM), many domestic enterprises in the product the quality is very excellent. “The key is to change the past emphasis on production, light the practice of the brand, and strengthen brand management capabilities and corporate image strategy of awareness, so that we will be able to achieve its rightful position in the market and successfully through the winter in this industry.”
4 trillion investment to bring the industry the opportunity
In the case of cold, while the external environment, the state plans to introduce a four trillion bailout of investment and expansion of domestic demand and stimulate the economy as good as the 10 measures into the hardware industry, a cardiac stimulant. “10 measures and infrastructure to become one of the key to further expand domestic demand. In particular, such as to accelerate the construction of homes works to protect and increase its efforts to support low-cost housing construction, speed up shantytowns renovation project to increase rural road construction intensity are all related to hardware has a direct relationship between the winter and recovery of the industry played a role in timely assistance. “learn the Chinese market, chairman of High Speed Rail-sang, said.
Although it was noted that the infrastructure associated with the hardware industry, the highest railway, roads, airports, etc., due to the construction standards are too high, at present most of the domestic hardware companies virtually impossible to meet their requirements. “However, our eyes should be further ahead as far as possible, many enterprises in the thinking about how to take the cake at the same time points, it should take the opportunity to ground inner strength. In this way, once the domestic demand and the economy has been driven, we have the ability to immediately follow.” In the 100 Tower Industrial Trading (Shanghai) Co., Ltd. Xu Kai, general manager of view, although China’s hardware industry is facing many problems, but also facing a rare opportunity for development, China’s hardware industry is in a period of major strategic development , urbanization, industrialization and modernization to speed up the process of post-WTO era of people’s living standards from subsistence to moderate prosperity is a shift for the hardware industry, provides an unprecedented opportunity for development.
National Hardware Electrical Purchasing Alliance Secretary General Wang Ming also believe that in this global financial turmoil, although many export-oriented enterprise development was affected, but as long as not all export business, as long as the time change the mode of growth to achieve industrial upgrading, is absolutely possible to survive. “State the one hand, ways to stimulate domestic demand, on the other hand efforts to relax credit policies for SMEs. In this case, the domestic hardware enterprises must consider how local conditions, for the domestic consumer market to adjust their marketing direction to the smooth to achieve the transition from foreign to domestic. ”
The pattern of future competition will be expanded
With China’s integration into the global economic environment to speed up the process as well as the rapid rise of economic power, China has become the world’s most dynamic economic regions, an increasing number of foreign hardware mechanical and electrical industry giants also have vied for the Chinese market, from Danaher to the GRAINGER; from Festo Metabo to China, as a hardware power to attract global attention is an indisputable fact.
“Who lost China, and whoever lost the world!” Xu Kai smiled and told reporters that Italy’s famous technology brands, 100 tower began to research the Chinese market have been carried out for many years, now has established its Shanghai branch is expected next year opening.
It is said that factors at home and abroad under joint efforts, the next few years will be the domestic hardware industry, high-speed shock period in which opportunities and challenges, polarization trend of the expansion. “Natural selection, survival of the fittest. Is expected to survive the next few years the number of enterprises on the market will be greatly reduced, but the market through the re-integration, it will enhance the overall competitiveness of the operation will become more rational.” Guangzhou Eagle Printing Tools Lin Chung-wei, chairman of manufacturing company, said. It is understood that, at present, the domestic hardware manufacturing enterprises more than a total of 50000, more than 20 million traders.
Fortunately, there are already some companies from the financial crisis in a timely manner to adjust the direction of end markets, in the grasp product quality at the same time, pay close attention to service. “Although we have also been the impact of the financial tsunami, but the upstream and downstream companies have a stable raw material suppliers, production schedule and sales of no affect. This year’s sales were also up last year by 30%.” Top-solid metal products Lin, President of Uptown, said the impact in this and related companies should join hands to fight in the market, information, products, communication, etc. Bao Tuan joint operations. “Survive the harsh winter, the front is a bright sunny spring!”
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DIY GUITAR – Part 13: The Tremolo
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