Yongnian fasteners under the most vicious competit

2022-07-27
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Perhaps half of Yongnian fasteners under vicious competition will die in the future

a practitioner who has worked in the fastener industry for many years said: as early as ten years ago, I went to Ningbo and chatted with Zhejiang businessmen. I already concluded that Yongnian people will sooner or later lead the screw industry to a dead end

Zhejiang people are good at doing business. There are also many Zhejiang people doing screw business in China. Many Zhejiang businessmen are much bigger than Yongnian people

but now, fewer and fewer Zhejiang businessmen are making screws, and they are slowly withdrawing from the industry. The reason is that there is no profit in the screw industry. The industry is not on the basis of benign development, but only vicious competition

smart Zhejiang people will not do businesses without profits and prospects! Opposite my shop is an old screw store that has been operating for 20 years. The owner is from Zhejiang. He knows more about the screw industry than I do

He moved away last month. It is not how good Yongnian people are at doing business that an old store of 20 years can be moved. On the contrary, it just reflects that Yongnian people can't do business at all. The reason why the 20-year-old store has to move away is that even if it has a sales volume of onemillion yuan, it only has a profit of tens of thousands of yuan, even the rent is not enough

now, under the background of China's sluggish economy, it is difficult for ordinary shops to sell onemillion a year. Chatting with businessmen all over the country, they all said in the same tone: Hebei people and Henan people do not do business, they only blindly compete for price, not product quality. This is the so-called vicious competition

Yongnian people always do business like this when they come out. You sell cheaply, but I am cheaper than you. In the end, there is no profit at all at the lower price. What should we do? So I began to look for the ones with poor quality, the ones with slightly smaller threads and slightly larger holes, which could not be seen without careful attention. However, this is not a long-term solution. After a long time, when everyone makes such products, the price will continue to decline, and then begin to cut corners... A vicious cycle of repetition. Others quote directly at the cost price, or even at the cost. When ordering, they will cut corners to ensure that their own interests will not be damaged. They also need to give some rebates to the acceptance personnel to ensure that they will not be returned. Everyone said that if they did not do so, they would not be able to do any of them

when looking at the business of southerners, they compare the quality of products, the service to customers, and the research and development of new products. But it is not cheaper than the price. The price must be high if the quality is good, but the customer also accepted it. In this way, the benign development of the industry will be formed, and the profit space will not be damaged. It will become bigger and bigger

southerners should guarantee a minimum profit of 15 points in wholesale and 30 points in retail when doing business, which are under the unified management of the chamber of Commerce. But there is no bottom line for Yongnian people. Yongnian people are awesome. I don't care what chamber of Commerce you have. I just do it. Who can do to me? As long as I don't lose money, I'll do it if I earn a little. Even if you lose money, you will have to close down your competitors. In the end, this mentality can only harm others and your peers

it is easy to lower the price, but difficult to raise it. Even now, the vicious competition continues under the background of all galvanizing work stoppages. When Yongnian people come out to do business and meet new customers, they always say: we are the cheapest, cheaper than so and so, and we can be as cheap as we can be. No one says: my quality is good, much better than so and so, and the quality will be better in the future

it may seem silly to say so! Not cheaper than others. Why should people want your goods? Small profits and quick turnover have always been the consistent style of Yongnian people, but now, small profits have been brought into full play, and quick turnover may not be realized! The most important thing is that there is no business ethics, which is a common problem of northerners. However, Hebei people in the screw industry are the most unethical. The so-called business ethics is to ensure the confidentiality of business and the interests of dealers in order to ensure the interests of their own manufacturers

in the south, if the dealer takes the customer directly to the factory, the factory will be very welcome and warm reception, introduce the product specifications in detail, but do not talk about the price. The price needs the customer to talk with the dealer. If the customer wants to go beyond the dealer and deal directly with the factory, it is impossible

looking at Yongnian, who dares to take customers to Yongnian if there is no factory in their own home where they do business

Yongnian's factory is eager to contact the customer directly. In order to make business, it sets the lowest price, which is the same as or even lower than the price given to the dealer. I don't care what the interests of the dealer are. Who makes money is who. I have no you, you have no me

current situation of screws: 4 yuan/kg for general iron materials on the market, 2.5 yuan for Yongnian is enough, 3 yuan for Wenzhou, and 5 yuan for Dongguan. Dongguan can't compete with Dongguan. Dongguan's advantages are precision screws, non-standard screws and product quality. For 100 tons of goods, Yongnian only earns 100 yuan per ton, 300 yuan in Wenzhou and 500 yuan in Dongguan

in the future, half of Yongnian standard parts enterprises will die

Yongnian standard parts account for more than 45% of the national market share. It is one of the largest standard parts production and marketing bases in China and is known as the "fastener capital of China"

according to the statistics of relevant departments of Yongnian County, at present, there are more than 4000 fastener production and processing enterprises in the county, with more than 100 categories of products, more than 10000 specifications and models, and more than 300000 employees. On September 4, 2014, the standard sales network of fasteners spread all over the cities and towns above the county level, with more than 18000 sales points. At the same time, Tongda, Ligong, HENGFA and other 31 self-supporting import and export enterprises export their products to the United States, Europe, South Korea, Japan, Arabia, Southeast Asia, Egypt, Dubai and other countries and regions. As one of the largest standard parts industry clusters in China, the production and sales of fasteners in the county account for more than 45% of the country

the standard parts industry has reached a critical period of transformation and upgrading

"however, although the total amount of Yongnian standard parts is huge, medium and low-grade products account for more than 80%. Many production enterprises still operate in family workshops, such as nut making, wire rolling, wire drawing and so on. The industrial chain is short, and the processing depth is low, the scale is small, and the technical content is low. Needless to say, compared with foreign countries, the production technology is significantly worse than that of Ningbo, Wenzhou and other places in the south." Lihongguang, the head of Yongnian County, once said in an interview with the media, "although the output value is high, the profit is very low. Now the standard parts industry in Yongnian County has reached a critical period of transformation and upgrading. If we cross this barrier, the whole will step up to a big level; if we fail, many small enterprises may face a survival crisis at any time."

quite a number of standard parts enterprises are in danger of being eliminated

the apparent prosperity can not hide the embarrassment in the industry

wangchangming, executive vice president of China General Machinery Parts Industry Association, said that the competition in domestic and foreign markets is becoming increasingly fierce as the waves wash away sand and sail against the current. In the current standard parts market, the trend of excess at the low end and insufficient at the high end is very obvious. In China, Yongnian's standard parts are by no means "alone" or "at the top", but "surrounded by heroes" and "surrounded by wolves". Ningbo, Wenzhou, Haiyan and other coastal areas in Zhejiang enjoy favorable conditions, and are ahead of Yongnian in terms of production technology, product grade and industrial scale

dongmaotong, zhaodehong, environmental friendly plastic bags dissolved in water, flame retardant plastic boxes, liquid metal, graphene, etc. in recent years, a batch of leading enterprises in the industry, such as new materials, have emerged in Dongguan. Yangjianlong and many other enterprise bosses and experts mentioned the "hard injury" in the development of Yongnian standard parts industry

first of all, it is restricted by the traditional thought of "contentment with small gains". Influenced by traditional ideas and family workshops, standard parts have low grade, poor quality, unreasonable product structure and weak brand awareness. Yongnian's standard parts products are mostly medium and low-grade, and high-grade products account for only 15%. This unreasonable product structure not only limits the profit space of enterprises, but also makes it difficult to keep up with the pace of national industrial structure upgrading, which is not conducive to the overall upgrading and sustainable development of Yongnian standard parts industry. As a result, a large industrial group and leader have not been formed, and there is a lack of well-known brands and medium and high-end products. "Yongnianzao" also gives people the stereotype of "high-quality goods" because it has been "sold at a low price" in the low-end market for a long time

secondly, the equipment level of the enterprise is poor. In recent years, a large number of good equipment have been added to the standard parts industry in Yongnian County, but the current situation of equipment with good and bad quality has not changed. Some enterprises even use the production equipment left over from the withdrawal of state-owned enterprises in the s. The relatively backward production equipment not only affects the product quality, but also greatly reduces the production efficiency of enterprises, resulting in the phenomenon of "work without work and poor quality"

what's more, there is the problem of family management. Children inherit more from their fathers. Dongmaotong, the Secretary General of Yongnian Standard Parts Association, told the media about a nearby example. A small standard parts enterprise, Ms. Wufen, the chairman of Julong technology, was divided into three independent units by the people in charge. The reason is that the family has three sons, who are afraid of making trouble together. Some research data show that the life span of a family business is generally about 23 years; Only 39% of the family businesses can continue to the second generation; Only 15% can continue to the third generation. Yongnian's family business is now facing such a dilemma of life and death

in addition, the vicious competition derived from the backward production process and the environmental pollution problems of the national production experimental machine enterprises of Jinan new era Testing Instrument Co., Ltd. have also seriously affected the further development of Yongnian standard parts industry

many problems restrict the sustainable development of Yongnian standard parts industry. If the current problems cannot be solved as soon as possible, from low-grade products to medium and high-grade products, from price advantage to brand advantage, and take the road of intensive development, a considerable number of standard parts enterprises are in danger of being eliminated

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