In 2014, the overcapacity of the corrugated pipe industry is the biggest experience of the production enterprises. If the enterprise wants to develop, it must use the products as funds to maintain the operation of the enterprise, but the saturated market is difficult to digest so many products, and the contradiction directly leads to the terminal. The competition for sales is fierce.
No one can be more aware of the drawbacks caused by overcapacity in the industry. In recent years, the domestic market has continued to slump, and many foreign trade companies have to turn to domestic sales due to foreign trade barriers, resulting in a serious surplus of domestic products, and many floor enterprises' warehouses are “stacked”.
For SMEs, the first step in change is to start with the brand. In the true sense of brand building, it is not simply to promote and promote, but to work hard from the service, from the product, from the culture, from the design, etc., to let consumers truly understand the advantages of this brand, And on this basis, establish consumer recognition of the added value of the brand's products.
After the two sessions, the national government has determined policies to curb overcapacity industries including steel, cement, coal and chemical industries. Although the problem of overcapacity in the corrugated pipe industry is not enough compared with the six major industries listed in the national plan, the "Twelfth Five-Year Plan" pointed out the problem of overcapacity and has to be thought and valued. When the corrugated pipe enterprise successfully established the brand added value, it also represents the initial transformation of the enterprise from "quantitative sales" to "quality sales". At the same time, the added value of different brands often has a world of difference. For enterprises, brand building and enterprise transformation cannot be accomplished overnight, but it is a relatively long process that requires a lot of effort. For most companies, if they do not seek change in this nausea cycle, they will only stick to it in the mud of overcapacity and die silently in the industry. Equivalent sales can no longer be the future of the enterprise, so the only choice for the enterprise to choose, only change, breakthrough, to pursue different development paths.
How to change? It is a problem that many small and medium-sized HDPE double-wall corrugated pipe enterprises that have fallen into overcapacity but lack market competitiveness have been exploring. In fact, the change is not so complicated, and it is often only between "one word" - from sales to quality.
The concept of "quality" mentioned here is not simply the quality of the product. It has a wide range of coverage, including the services of the company, the culture of the product, and the value of the sales. To truly achieve quality, flooring companies must abandon the original old thinking, make changes from the business philosophy, and make innovations.