Rising sounds under the development of a bathroom hardware company

After working in the Spring Festival, the author of a friend who was engaged in plumbing and sanitary ware production made a short message: “The price of copper continues to rise, and companies have problems in their normal production and operation. This is a need for the wisdom of the SMEs like us. On February 21st, 2011, Wang Weian, a professor at the School of Economics of Zhejiang University and director of the Institute of Finance, emphasized that “the price of gold will continue to rise,” when giving the first session of the Zhejiang University, Fujian Provincial Enterprise Executive Excellence Management Seminar. In the recent period and the next longer period, the prices of nonferrous metals such as oil, steel and copper will also rise further. Even within 3 to 5 years, China’s housing prices will rise.” This is an order People are shocked.

In an "up and down" life, an "up" word can make people feel frightened and uneasy, and they need to be eager to understand what has been supporting this "up" word. After listening to Professor Wang Wei'an's analysis of the international and domestic macroeconomic and financial situations and policies, he may be able to solve doubts in happiness. As a company, we must always pay attention to the international and domestic economic and financial environment and find a suitable path for transformation and development.

Indeed, the world financial crisis has not fully receded. Now companies are in the post-financial crisis era. During the financial crisis, a series of policies for bailouts issued by various governments in the world have not caused the collapse of the world economic development, nor have there been long periods of depression and retrogression. Prof. Wang Weian analyzed that the active rescue policies of the governments of various countries and the large number of implemented monetary policies have preserved the temporary development of the actual economy, but it will bring about possible inflation and the emergence of asset bubbles. In particular, many countries will face serious financial problems. Deficit, the government debt crisis has become increasingly serious, and the national debt crisis that erupted in Europe since last year is a true reflection. At present, global inflation has not yet appeared clearly. This is because at the time of the severe financial crisis, although the governments of various countries issued a large number of additional currencies, the banking industry fully estimated the potential market crisis and did not allow large amounts of money to flow into circulation. In addition, the active regulation of governments in various countries has controlled the proliferation of money at the market terminals. But this is only temporary. With the recovery of the world economy, more and more serious inflation began to appear. Just as today, in the international market, including the Chinese market, the prices of petroleum, steel, and agricultural products have risen and are beginning to show up. At home, from the end of last year to the present, the national level began to regulate and control the financial industry. The monetary pressure was relatively tight, and the pressure on the real economy, especially the small and medium-sized enterprises, appeared. It made domestic companies face bottlenecks in development, but it was difficult to find external The support, especially the continuous increase in raw materials prices, but the product prices reflected in the market terminal is difficult to have a clear degree of flexibility and acceptance, resulting in slower development or even seriously hinder the development of enterprises.

The eruption of debt crisis in European countries is reflected in the fact that the capital market is the low price of the stock market. The serious lack of confidence in the market has cast a shadow over the development of the world economy. Especially from the capital point of view, the state can regulate and control at the level of **, but in terms of ** or entry of hot money, although there is strict supervision, it is still difficult to prevent, and it is difficult to control in a timely and effective manner. From the market point of view, the more consumer products are, the more financial investment products are showing a rising trend. At the same time, the continuing high level of CPI has caused people’s confidence to be impacted, which will further tighten the control of the country, especially the control of **, and a new round of corporate financing difficulties will emerge. This is another major difficulty facing Chinese companies, especially SMEs.

Let's look at the “troika” that drives GDP growth: investment, consumption, and import and export trade. From the perspective of major developed countries, consumption has been the main force. For example, the US residents' consumption is the engine of US economic growth. I believe that in the coming days, the growth or development of the global economy will also be driven mainly by consumption. Of course, in our country, investment has achieved a lot in economic development. For example, in the financial crisis period, the state's 4 trillion yuan of funds were introduced, mainly in the field of infrastructure investment, stabilizing the economic development during the extraordinary period. For another example, the import and export trade has developed rapidly under the encouragement and stimulation of the state for many years, and has also made tremendous contributions to China's economic development. However, with the development of the country and society, and with the improvement of people’s living needs, the “investment” of the carriage will continue to improve, but the proportion of contributions will decline; import and export trade, especially exports, are mainly light industrial products in China. , Low-tech products, and some high-tech products also require the continuous efforts of economic entities and upgrades. From the point of view of some policies concerning the export tax rebates that the country has successively introduced, especially in the face of possible continuous appreciation of the renminbi, the space for the foreign trade industry will also be further compressed. Import and export trade will no longer be a scent. The state has increasingly valued the "consumption" of this carriage. It can be expected that the state will introduce more and more policies that encourage consumption and promote consumption. We can also clearly feel this change from the information disclosed by the "**" that is being held. Then, for some industries and enterprises in China that emphasize international markets and international trade, how to transform and develop is particularly important, which will determine the future fate of these industries and enterprises. Fujian's ceramics industry, stone industry, plumbing and sanitary ware industry, shoes and clothing industry, light industry, etc. Under this severe reality, we must learn from our experience and calm down to seek the next step of development and even survival.

From these simple economic backgrounds at home and abroad, we can see that for a long time to come, the manufacturing industry that occupies 1/3 of China's economy will bear the brunt of the real problems. Then the country has been advocating the call for a change in the mode of economic growth. The restructuring and upgrading of industrial structure is really imminent. The traditional low-end industries have smaller and smaller living spaces, and it may be necessary to transform the industry into a high-end service industry through industrial upgrading and development. And effective and feasible.

I have long been concerned about the development of some traditional industries in Fujian Province, especially the ceramics, shoes, plumbing, sanitary ware, and stone industries in Fujian. Both saw the glory and boldness of the development and growth of these industries, and also saw their helplessness and pain in the face of difficulties. Even once glorious eyes turned into past tense. The author is deeply aware of the hardships and development efforts of entrepreneurial ventures in these industries, and happiness has not come easily. Especially in the recent period, the author constantly communicated and communicated with related companies and industry associations in the ceramic industry and plumbing industry, and understood the difficulties faced by these industries, but it also made me see that they overcome difficulties, surpass themselves, and continue to perform Efforts and persistence in industrial upgrading also mean that they are embarrassed and brave in their development of the future.

The author combined his own observations and thoughts, the Straits Building Materials Information Network made several comments and suggestions to the industry.

First of all, pay close attention to the relevant international and domestic economic and financial policy environment. We must understand and comprehend the economic development strategies and related financial policies that have been issued by various countries and make their own judgments in light of the actual conditions of the industry. Especially for some small and medium-sized enterprises in Fujian, we must come up with the idea of ​​“taking a look at the car” to quickly “grow up and look at the way” and come up with a corresponding response to the national financial policy. For example, in the plumbing industry, in the severe environment of the international economic development, is it based on the actual situation of the development of enterprises, to make appropriate reserves of its necessary raw materials - copper; for example, the ceramic industry, market competition and development level More and more discussions have been held. In the face of rising fuel prices, more products that are adapted to the market will be introduced, business management will be strengthened, and all unnecessary expenditures will be reduced. The "winter cotton coat" will be available.

Again, it is recommended that companies pay close attention to the ongoing "**", especially the government work report. The annual “**” and government work report will convey the guidelines and industry needs for China’s economic development in the coming period. This is no longer a slogan at the political level. It is an inseparable practical basis for the fate of each company. For example, the plumbing industry and the ceramics industry in Fujian must seriously comprehend this year’s government work report. The information on the construction of a large number of people’s livelihoods, the construction of affordable housing, and key market development are business opportunities. Entrepreneurs must fully understand the government's development ideas at this difficult time, and they can find ways and even markets for the company's own development.

Third, we will actively carry out transformation and upgrading. This is a very important job. In the face of severe international and domestic markets, even those businesses that are “worry-free food” must have the development ideas of transformation and upgrading. The market is changing rapidly and the development is not progressing. In particular, the transformation and upgrading of private enterprises in China are the two treasures of “for survival and development” in front of them. Only when enterprises actively carry out strategic transformation and effective upgrade can they rush out in the thorns and find their own space. .

Fourth, pay close attention to and attach importance to the cash flow of the company. In the economic prosperity, attention is paid to cash flow, and various strategic positionings are smoothly carried out. In particular, when enterprises are prepared for economic downturns, they have greater flexibility and a solid financial foundation so that they will not experience large fluctuations. The enterprise has always emphasized sustainable development, and the basis of sustainable development is the cash flow of the company's reserves, which ensures that the company's cash flow can make the company healthy. Entrepreneurs need a deeper understanding of cash flow.

Fifth, the development of the domestic market. Enterprises with the domestic market as the main body must perfect their product structure and find effective products suitable for the market to promote. Those enterprises that have focused on the international market or have just turned to the domestic market must focus on finding effective ways for companies to develop the domestic market. For example, in the plumbing and sanitary ware industry in Fujian, a considerable number of companies are more than capable in the international market. However, with stable development, the large market at the doorstep is particularly important. I have specialized in the practice of shifting this industry to the domestic market. Analysis of the article is not repeated here.

Sixth, strengthen service functions. Regardless of the industry, the ultimate result is reflected in its consumer groups. The reflection of the needs and values ​​of consumer groups is the ultimate goal of the mission of industry companies. Enterprises must establish a consumer orientation, improve the function of the enterprise from the perspective of the market and consumer groups, and win the market.

Seventh, strengthen management and quality. Quality is the root of the corporate service consumer groups. All companies must strengthen quality awareness, ensure product quality and service quality, and ensure product effectiveness and value. The improvement of enterprise management is also an effective way to cope with difficulties. The more difficult it is, the more it is necessary to strengthen enterprise management and ensure the effective operation of the enterprise.

Eighth, strengthen innovation. This is the driving force behind the development of enterprises. Without innovative companies, there is no vitality. This is a strategy that must be sustained for a long time. For example, companies in Fujian must introduce and strengthen the concept and operation of industrial design in 2011 because the local government is promoting this effective action. Fujian's plumbing industry has set a good example. The China Sanitary Ware Industry Design Center has settled in Xiamen Luda Group. He will lead the development and promotion of China Sanitary Ware Industry. Fujian's ceramics industry, footwear and light industry and other industries have a lot of space, we must strengthen the industrial design, as an effective means of transformation and upgrading to operate.

Ninth, establish a sound public relations marketing strategy and team. Public relations marketing strategy has played an increasingly important role in the development of modern economy. The effective operation of **** can enable companies to find their own weaknesses in the crisis, to improve, but also to reflect the maturity of a mature company must face the crisis to effectively resolve and improve the quality, and strengthen the brand image. PR marketing allows companies to accurately identify their own markets and customer base. , Effectively find out the propaganda strategy that suits the development of the company.

It is hoped that the above suggestions will enable companies in the face of a severe market to think calmly, self-examine, and constantly surpass themselves and truly achieve effective transformation and upgrading. It is also hoped that Chinese companies and Fujian enterprises will find their own corporate development roads during the post-financial crisis and make contributions to China’s economic development and development.