The store hardware industry, which started with the recovery of used copper materials, has experienced a diversified development flag after experiencing the era of auto parts hardware. The resource bottleneck is a problem that must be faced by shop outlets.
"We will go from here to south." In the office of the Diankou Town Government Building, Yao Yaozhong pointed his fingers to a mountain on the south side of the glass window and looked forward to with an eye full of hope. As a deputy secretary in charge of industry, Yao Yaozhong knows the importance of this project to the development of Diankou Town.
After more than 30 years of development, Diankou Hardware, which has been developed since the 1970s, has become one of the largest hardware industry belts in China. In 2004, the town realized an industrial output value of 28 billion yuan, and the town’s GDP was 5.076 billion yuan. There are 1580 hardware and machinery enterprises and 1,102 aluminum-plastics enterprises, of which over 9 billion have already been established.
Five no problem
The town of Diankou is located in the north of Zhuji City and passes through Puyang’s Jiangchuan Town with a total area of ​​105.7 square kilometers and a permanent population of 61,000. It administers 69 administrative villages and 2 neighborhood committees. Into the store, no matter the village, the sound of the lathe can be heard in the street. The whole town is like a huge workshop.
"Diankou town's hardware industry is developed on the basis of a poor and white." Yao Yaozhong said that Diankou town's hardware industry started in the early 70s. A shopkeeper who was working in Yuyao at that time passed the information that the hardware can make money back to Diankou Town. In those years, when it was not enough to wear, the party secretary of Xinyi Village, Diankou Town, immediately came to visit Yuyao after learning of the news. Immediately after his return, he set up a village hardware factory.
I did not expect to take a bad job. After the establishment of the hardware factory, not only had to withstand a huge political pressure, but soon met with no funds, no equipment, no technology, no sales, no raw materials, "five no" dilemma.
Faced with many difficulties, the cadres of Diankou Town did not withdraw, but led the masses into the mountains to cut firewood and made a few thousand dollars from buying firewood. This made the village's first liquidity fund. After the funds have been made, raw materials also face difficulties. In the era when the Cultural Revolution was not over, it was always a matter of money to buy things.
"At that time, the shopkeepers only had copper in their eyes," said Jiang Canyuan of the Diankou town government. Many shopkeepers who have never walked out of the mountains have begun to make four purchases at the risk of “take the capitalist roadâ€. Even traders who are doing business with households trade in copper for copper. Some of the workers working in factories in Shanghai and Hangzhou quietly brought the scrap left from the factory back to the dormitories. When the accumulation reached a certain level, the copper pieces were transported back to the stores.
Hailiang Group Chairman Feng Hailiang still vividly remembers the scene of the year. “At that time, many people were doing the sale of scrap iron.†When the hardware store industry in Diankou just emerged, he contracted a sugar and tobacco canteen, and also ran the business of buying and selling scrap copper. Just in the sale of waste iron, Feng Hailiang had his own pot of gold. Since its development, Hailiang Group has become China's largest copper processing company.
The successful commissioning of the “carburetor repair kit†marked a breakthrough in the technical aspects of the hardware industry in Diankou Town. In the face of the technical difficulties in the early stages of development, the Diankou Town Agricultural Machinery Factory sent technical backbones to go out to discuss the economy. After returning, it fought for more than three months and finally made the equipment. Since then, each village-run enterprise staff has been rotated to the agricultural machinery factory for training, and after the completion of the industry, he began with relatively simple copper screws and copper tubes, gradually nurturing a group of technical backbones, and driving the development of the hardware store industry in Diankou.
“The change of policy made the hardware industry of Diankou Town take off.†Yao Yaozhong said that after the Third Plenary Session of the Eleventh Central Committee, the country’s individual economy started to sprout. In just two or three months, the company's hardware business has grown from more than 40 to more than 1,000. Some of the people who had learned a skill in the collective enterprises had taken the lead in setting up stores in front of the town to carry out front-to-back factory production.
Following this path of development, the shop hardware industry has now changed its face. It has developed into a diversified industrial structure dominated by copper processing, refrigeration accessories, home central air conditioning, auto parts and new pipe fittings. The store has also become “the top 100 towns in the country†and “the top ten towns in Zhejiang Province with comprehensive economic strengthâ€.
The channel is king
“Each prefecture-level city in the country has a storefront.†When Yao Yaozhong said the sentence, he was full of confidence. And such a situation is that shopkeepers ran out of their feet step by step.
Store outlets call out to run for supply and marketing called "outside." At the beginning of the development of the hardware industry in the store, in order to open up the bottleneck of hardware sales channels, a group of shopkeepers from the town who have never been out of town have gone to the outside world and started the difficult and tortuous course of salesmen. No one has counted how many shopkeepers went out “out of office†during that period. But behind the prosperity of the shop store today, these people have contributed.
"There is no worry that the goods will not be sold." Chen Tiexiang, chairman of the Zhejiang Baishide Plastics Co., Ltd., said that there were only two people in the village of Diankou, one was to open hardware companies, and the other was to do hardware sales. Everyone is a relative or friend and they are quite familiar with each other.
The store's hardware industry has made intangible channels flat. Companies do not need to invest their own penny to build channels, and they don't need to develop national total generation, regional agency, etc. Only one phone call is required to spread the goods to any city in the country. As a result, companies can focus more on production. In addition, due to the elimination of intermediate agency links, significant costs are saved, and the competitiveness of enterprises is also increased invisibly.
In addition, the southern China Hardware City built in 1994 was more like a business card at the store. Proponents from all over the country often come here. Hardware City covers an area of ​​1.5 square kilometers. With more than ten years of development, it has formed nearly 3,000 varieties of eight categories including plumbing, fittings, auto parts, refrigeration fittings, and copper processing, and has more than 3,000 outlets in various salesrooms. The market was sold in 2004. The amount of more than 50 billion yuan.
“We can find customers here.†Mr. Fan from Wenzhou stated that Diankou Hardware City has a large reputation in the industry and there are many opportunities to choose to come here for development. The reporter saw in the market that there were not a few merchants from the outside of the hardware city, besides Wenzhou merchants, as well as merchants in Shanghai and Hangzhou. According to Jiang Canyuan, there are many businessmen from Wenzhou in the market. They have invested in building factories or renting façade to start a hardware business. Sources of goods are also imported directly from local companies. Many businessmen who come from outside China will directly go to the market. Find the goods, so that they can make money."
After occupying domestic channels, the store's companies have also begun to vigorously develop foreign trade channels. “This year our foreign trade is going to be a hundred million U.S. dollars.†Yao Hui, deputy director of Hailiang Group’s president’s office, told reporters: “We started doing foreign trade since 2001, when foreign trade totaled 1.7 million U.S. dollars, and then in 2002 it was 4.5 million U.S. dollars. It grew to 18.8 million U.S. dollars in 2003 and 63 million U.S. dollars in 2004. From this series of figures, it is not difficult to see that Hailiang’s foreign trade growth has accelerated since 2003, and Yao Hui believes that foreign trade growth Mainly because of the improvement of product quality. In addition, the gradual familiarity with the import and export business, the improvement of the internal management of the company and the increase in international popularity have all contributed to the growth of foreign trade year by year.
Zhejiang Baishide Plastics Co., Ltd. mainly produces plumbing pipes and metal radiators. It exported 3 million to 5 million US dollars last year and its products are sold to countries such as Russia, South Korea, and UAE. “Last month we had our own foreign trade rights.†Chen Tiexiang, chairman of PepsiCo, was very happy. “Now our energy will be mainly focused on foreign trade, because the domestic market is beginning to become saturated, and foreign trade profits are relatively domestic It must be higher."
In order to develop foreign trade, some companies located in the store have set up windows in big cities. China Wanan Group has set up a company that specializes in international trade in Pudong, Shanghai. It is mainly responsible for the business of importing and exporting Wanan auto parts, Sino-foreign joint ventures, and cooperative production. Hailiang purchased the entire Zhongrong Building in Shanghai and established Hailiang Group Shanghai Co., Ltd.
However, Zhejiang Mingshi Pipe Co., Ltd. has chosen to return to the outside world. According to Mr. Tang Daxing, director of the Mingshi management office, former Mingshi opened the marketing center in Hangzhou in order to develop foreign trade. However, because customers in Hangzhou could not see their factory buildings, they were suspicious of their production capacity. In desperation, the marketing center of Mingshi had no choice but to return.
Diversified development
“Diankou is a diversified industrial structure.†Yao Yaozhong introduced that from the initial development of hardware machinery, shop outlets now form a diversified structure composed of copper processing, refrigeration accessories, plumbing fittings and other related industries. These industries are related to copper, aluminum and other raw materials, relying on the well-established hardware industry base.
Large enterprises have formed interactive productions that cooperate with each other to support production. The family workshop workshop has become the processing point for each leading company and is responsible for one or more processes.
Feng Hailiang was once "scratched" in a friend's office. The copper pipes produced by his company are matched with the air-conditioner parts factory of friends, and the quality of the two copper pipes just happened to be off, causing air-conditioning leaks. Although the copper pipes only cost a few dollars, according to the rules, Feng Hailiang was still fined 4,000 yuan. “Many of our products can be sold locally.†Yao Hui said that Hailiang Group can provide copper pipes, copper bars and other products for many local companies.
Some family-run companies also undertake low-value added links in the industrial chain. When orders are booming, many large companies devolve production to a small company.
"When an order is too late to be made, it will choose to outsource." Tang Ming, director of Mingshi Pipeline Co., Ltd., said that although these small-scale factories generally do not have very good quality control, we will not allow them to produce important orders. In addition, we will also select our processing sites, depending on its technology, quality and reputation. Over time, we will form our own fixed laboratories.
For Wanan Group, their management of suppliers is more stringent. China Wanan Group is a well-known auto parts manufacturer in China. It has now supplied spare parts for China FAW, Dongfeng, Shenyang Jinke, Jianghuai Automobile, Jinlong Bus, Shanghai Shenwo and more than a dozen automobile factories in China. Gu Yifan, assistant to the president of Wan'an Group, stated that “Wanan Group purchases a large number of accessories and raw materials at the storefront. Because the auto industry's supporting standards are relatively strict, we will focus on selecting some companies as our upstream suppliers.†In addition, geographically Advantages are also very convenient for Wanan to manage its own suppliers. "Almost any time you can find the boss of the supplier chat." GU Yifan said with a smile, we are all acquaintances, communication will be easier.
“Industry has formed a scale, with a reputation, customers will come to their own. This is the advantages of industrial clusters, but on the other hand, companies gathered in a large number of places, also caused the increasingly fierce competition, product profits are often suppressed to a minimum "Tian Tie-hsiang felt that in an area where industries were concentrated, pressure and power existed, and no development would die out. In addition, if there are too many companies, it will inevitably lead to non-compliance with market rules. Tang Daxing said, "In the past few years, Ming Shi has discovered that small factories have used their brands for production, and they are still in court with them."
It is the competitive pressure brought about by the cluster that all companies are accelerating their own development. Technological transformation has become a required course for every company. According to Yao Yaozhong, last year the shop introduced more than 10 million US dollars of foreign advanced equipment. The town of 155 technical transformation projects, a total investment of 1.58 billion yuan, an increase of 135% over previous years.
In addition to strengthening the strength of enterprises through technological transformation, there are also some companies have begun the transformation of the road. “I am very happy to change to plumbing equipment.†Chen Tiexiang said with a smile, before doing auto parts, screws, screws, nozzles, etc., the volume is always up, and the demand for plumbing equipment is very strong, and the profit rate is also maintained at 5 - About 10% is more comfortable to do.
"Encourage diversified development of storefront companies." Yao Yaozhong said that store users should accelerate the change of economic growth mode, vigorously develop high-tech and high-value-added products, and increase the core competitiveness of enterprises and regions.
Resource bottlenecks
In the rapid development of storefront companies, they also face many difficulties. Such as power shortages, rising raw materials, lack of talent and insufficient land supply. The intensification of macro-control and the restriction of factors has made deep-seated contradictions in the industrial structure increasingly apparent, the cost of enterprise development has been continuously rising, the profit space is shrinking, and the pressure on resources and environment has further increased.
“Now the price of copper is fickle.†Yao Hui of Hailiang Group stated that at the end of 2003, in order to resist the risk of too rapid changes in the price of copper, Hailiang Group began to use futures, using hedging tools to prevent possible risks. In the past, domestic copper prices did not differ much from those of foreign countries, but now they have become confusing. Such as Zhejiang Shangyu Xinpeng Copper Co., Ltd. is thus closed down.
"We can only digest ourselves." Chen Tiexiang said that raw material prices are now very unstable, and the selling price of products has remained basically unchanged, and the risk of enterprises has become relatively large. Yao Yaozhong believes that “the rise of raw materials has a great impact on store-front companies. For companies, they should increase exports and further adjust the industrial structure.â€
"I have no shortage of products here and I lack management talent." Feng Hailiang's thirst for talent is actually the voice of shopkeepers. Very early on, Feng Hailiang once used a woven bag and installed 600,000 yuan in cash to make a special trip to find experts in other places. Up to now, the group has introduced more than 350 middle and senior professional and technical personnel.
More than Feng Hailiang, Chairman of the Wan An Group, Chen Lixiang, has also performed a modern version of San Francisco's Mao Min for talents. In the summer of 2003, Gu Yifan was enjoying his leisure time after retirement, but he received a call from Chen Lixiang, president of Wanan Group. He invited him to serve in the Wan An Group. "The family didn't agree at all and I didn't want to run so far to work." Gu Yifan recalled the scene at that time. When Chen Quan wanted to persuade my family, he was finally touched by his sincerity and came to Wan An.
“Now there are sometimes some contradictions between employers and employees.†Tang Shixing of Mingshi Management stated that the production of pipe fittings is a labor-intensive product and requires a large number of workers. If the customer's orders are much more and there is time, it will be inevitable to catch up. When it comes to a hot day, the factory temperature is very high and many workers will have opinions. What we are doing now is to give employees appropriate subsidies, and give them an electric fan on hot days. However, the current level of profit makes us have limited room for workers to rise in wages, and it is impossible to adopt unlimited wage increases.
However, due to factors such as rising raw materials and talent shortages, the most worried shopkeepers in the near future are still in short supply of land resources.
In the factory area of ​​Mingshi Pipe Co., Ltd., the reporter saw that the land use rate of Mingshi has reached saturation. The original shed for bicycles has now piled up various goods like hills, and the warehouse has also been transformed into a workshop. In addition, even a green area at the entrance of the factory site has also been used as a place for stacking coal piles.
“The name of the flower is the master.†Tang Daxing looked at a vacant lot outside the wall and reluctantly stated that last year the company needed to expand and applied for 120 acres of land to the township government. The result was reportedly not granted in the province. “If the land cannot be approved, companies will only be able to stand still.†Chen Tie-hsiang also had the same distress. Looking at the crowded factory buildings, he could only show a slight smile.
Since the macro control in 2004, the central government has strictly controlled the land. Among them, the continuous erode of industrial land for agricultural land is the reason for controlling land resources. However, according to Jiang Canyuan, the farmers of the Jiangsu and Zhejiang generations have no idea of ​​farming. Wherever they work, they earn much more than if they farm. Even if the government subsidizes the farming farmers, they cannot afford the enthusiasm for farming.
Yao Yaozhong said that the Diankou Town Government is currently reviewing and approving the “Diankou Town’s Overall Space Development Planâ€. Do everything possible to overcome the current difficulties of land shortage. The construction of the Yueshan Nantuo project will greatly ease the difficulties faced by the company's development in the store.
"We will go from here to south." In the office of the Diankou Town Government Building, Yao Yaozhong pointed his fingers to a mountain on the south side of the glass window and looked forward to with an eye full of hope. As a deputy secretary in charge of industry, Yao Yaozhong knows the importance of this project to the development of Diankou Town.
After more than 30 years of development, Diankou Hardware, which has been developed since the 1970s, has become one of the largest hardware industry belts in China. In 2004, the town realized an industrial output value of 28 billion yuan, and the town’s GDP was 5.076 billion yuan. There are 1580 hardware and machinery enterprises and 1,102 aluminum-plastics enterprises, of which over 9 billion have already been established.
Five no problem
The town of Diankou is located in the north of Zhuji City and passes through Puyang’s Jiangchuan Town with a total area of ​​105.7 square kilometers and a permanent population of 61,000. It administers 69 administrative villages and 2 neighborhood committees. Into the store, no matter the village, the sound of the lathe can be heard in the street. The whole town is like a huge workshop.
"Diankou town's hardware industry is developed on the basis of a poor and white." Yao Yaozhong said that Diankou town's hardware industry started in the early 70s. A shopkeeper who was working in Yuyao at that time passed the information that the hardware can make money back to Diankou Town. In those years, when it was not enough to wear, the party secretary of Xinyi Village, Diankou Town, immediately came to visit Yuyao after learning of the news. Immediately after his return, he set up a village hardware factory.
I did not expect to take a bad job. After the establishment of the hardware factory, not only had to withstand a huge political pressure, but soon met with no funds, no equipment, no technology, no sales, no raw materials, "five no" dilemma.
Faced with many difficulties, the cadres of Diankou Town did not withdraw, but led the masses into the mountains to cut firewood and made a few thousand dollars from buying firewood. This made the village's first liquidity fund. After the funds have been made, raw materials also face difficulties. In the era when the Cultural Revolution was not over, it was always a matter of money to buy things.
"At that time, the shopkeepers only had copper in their eyes," said Jiang Canyuan of the Diankou town government. Many shopkeepers who have never walked out of the mountains have begun to make four purchases at the risk of “take the capitalist roadâ€. Even traders who are doing business with households trade in copper for copper. Some of the workers working in factories in Shanghai and Hangzhou quietly brought the scrap left from the factory back to the dormitories. When the accumulation reached a certain level, the copper pieces were transported back to the stores.
Hailiang Group Chairman Feng Hailiang still vividly remembers the scene of the year. “At that time, many people were doing the sale of scrap iron.†When the hardware store industry in Diankou just emerged, he contracted a sugar and tobacco canteen, and also ran the business of buying and selling scrap copper. Just in the sale of waste iron, Feng Hailiang had his own pot of gold. Since its development, Hailiang Group has become China's largest copper processing company.
The successful commissioning of the “carburetor repair kit†marked a breakthrough in the technical aspects of the hardware industry in Diankou Town. In the face of the technical difficulties in the early stages of development, the Diankou Town Agricultural Machinery Factory sent technical backbones to go out to discuss the economy. After returning, it fought for more than three months and finally made the equipment. Since then, each village-run enterprise staff has been rotated to the agricultural machinery factory for training, and after the completion of the industry, he began with relatively simple copper screws and copper tubes, gradually nurturing a group of technical backbones, and driving the development of the hardware store industry in Diankou.
“The change of policy made the hardware industry of Diankou Town take off.†Yao Yaozhong said that after the Third Plenary Session of the Eleventh Central Committee, the country’s individual economy started to sprout. In just two or three months, the company's hardware business has grown from more than 40 to more than 1,000. Some of the people who had learned a skill in the collective enterprises had taken the lead in setting up stores in front of the town to carry out front-to-back factory production.
Following this path of development, the shop hardware industry has now changed its face. It has developed into a diversified industrial structure dominated by copper processing, refrigeration accessories, home central air conditioning, auto parts and new pipe fittings. The store has also become “the top 100 towns in the country†and “the top ten towns in Zhejiang Province with comprehensive economic strengthâ€.
The channel is king
“Each prefecture-level city in the country has a storefront.†When Yao Yaozhong said the sentence, he was full of confidence. And such a situation is that shopkeepers ran out of their feet step by step.
Store outlets call out to run for supply and marketing called "outside." At the beginning of the development of the hardware industry in the store, in order to open up the bottleneck of hardware sales channels, a group of shopkeepers from the town who have never been out of town have gone to the outside world and started the difficult and tortuous course of salesmen. No one has counted how many shopkeepers went out “out of office†during that period. But behind the prosperity of the shop store today, these people have contributed.
"There is no worry that the goods will not be sold." Chen Tiexiang, chairman of the Zhejiang Baishide Plastics Co., Ltd., said that there were only two people in the village of Diankou, one was to open hardware companies, and the other was to do hardware sales. Everyone is a relative or friend and they are quite familiar with each other.
The store's hardware industry has made intangible channels flat. Companies do not need to invest their own penny to build channels, and they don't need to develop national total generation, regional agency, etc. Only one phone call is required to spread the goods to any city in the country. As a result, companies can focus more on production. In addition, due to the elimination of intermediate agency links, significant costs are saved, and the competitiveness of enterprises is also increased invisibly.
In addition, the southern China Hardware City built in 1994 was more like a business card at the store. Proponents from all over the country often come here. Hardware City covers an area of ​​1.5 square kilometers. With more than ten years of development, it has formed nearly 3,000 varieties of eight categories including plumbing, fittings, auto parts, refrigeration fittings, and copper processing, and has more than 3,000 outlets in various salesrooms. The market was sold in 2004. The amount of more than 50 billion yuan.
“We can find customers here.†Mr. Fan from Wenzhou stated that Diankou Hardware City has a large reputation in the industry and there are many opportunities to choose to come here for development. The reporter saw in the market that there were not a few merchants from the outside of the hardware city, besides Wenzhou merchants, as well as merchants in Shanghai and Hangzhou. According to Jiang Canyuan, there are many businessmen from Wenzhou in the market. They have invested in building factories or renting façade to start a hardware business. Sources of goods are also imported directly from local companies. Many businessmen who come from outside China will directly go to the market. Find the goods, so that they can make money."
After occupying domestic channels, the store's companies have also begun to vigorously develop foreign trade channels. “This year our foreign trade is going to be a hundred million U.S. dollars.†Yao Hui, deputy director of Hailiang Group’s president’s office, told reporters: “We started doing foreign trade since 2001, when foreign trade totaled 1.7 million U.S. dollars, and then in 2002 it was 4.5 million U.S. dollars. It grew to 18.8 million U.S. dollars in 2003 and 63 million U.S. dollars in 2004. From this series of figures, it is not difficult to see that Hailiang’s foreign trade growth has accelerated since 2003, and Yao Hui believes that foreign trade growth Mainly because of the improvement of product quality. In addition, the gradual familiarity with the import and export business, the improvement of the internal management of the company and the increase in international popularity have all contributed to the growth of foreign trade year by year.
Zhejiang Baishide Plastics Co., Ltd. mainly produces plumbing pipes and metal radiators. It exported 3 million to 5 million US dollars last year and its products are sold to countries such as Russia, South Korea, and UAE. “Last month we had our own foreign trade rights.†Chen Tiexiang, chairman of PepsiCo, was very happy. “Now our energy will be mainly focused on foreign trade, because the domestic market is beginning to become saturated, and foreign trade profits are relatively domestic It must be higher."
In order to develop foreign trade, some companies located in the store have set up windows in big cities. China Wanan Group has set up a company that specializes in international trade in Pudong, Shanghai. It is mainly responsible for the business of importing and exporting Wanan auto parts, Sino-foreign joint ventures, and cooperative production. Hailiang purchased the entire Zhongrong Building in Shanghai and established Hailiang Group Shanghai Co., Ltd.
However, Zhejiang Mingshi Pipe Co., Ltd. has chosen to return to the outside world. According to Mr. Tang Daxing, director of the Mingshi management office, former Mingshi opened the marketing center in Hangzhou in order to develop foreign trade. However, because customers in Hangzhou could not see their factory buildings, they were suspicious of their production capacity. In desperation, the marketing center of Mingshi had no choice but to return.
Diversified development
“Diankou is a diversified industrial structure.†Yao Yaozhong introduced that from the initial development of hardware machinery, shop outlets now form a diversified structure composed of copper processing, refrigeration accessories, plumbing fittings and other related industries. These industries are related to copper, aluminum and other raw materials, relying on the well-established hardware industry base.
Large enterprises have formed interactive productions that cooperate with each other to support production. The family workshop workshop has become the processing point for each leading company and is responsible for one or more processes.
Feng Hailiang was once "scratched" in a friend's office. The copper pipes produced by his company are matched with the air-conditioner parts factory of friends, and the quality of the two copper pipes just happened to be off, causing air-conditioning leaks. Although the copper pipes only cost a few dollars, according to the rules, Feng Hailiang was still fined 4,000 yuan. “Many of our products can be sold locally.†Yao Hui said that Hailiang Group can provide copper pipes, copper bars and other products for many local companies.
Some family-run companies also undertake low-value added links in the industrial chain. When orders are booming, many large companies devolve production to a small company.
"When an order is too late to be made, it will choose to outsource." Tang Ming, director of Mingshi Pipeline Co., Ltd., said that although these small-scale factories generally do not have very good quality control, we will not allow them to produce important orders. In addition, we will also select our processing sites, depending on its technology, quality and reputation. Over time, we will form our own fixed laboratories.
For Wanan Group, their management of suppliers is more stringent. China Wanan Group is a well-known auto parts manufacturer in China. It has now supplied spare parts for China FAW, Dongfeng, Shenyang Jinke, Jianghuai Automobile, Jinlong Bus, Shanghai Shenwo and more than a dozen automobile factories in China. Gu Yifan, assistant to the president of Wan'an Group, stated that “Wanan Group purchases a large number of accessories and raw materials at the storefront. Because the auto industry's supporting standards are relatively strict, we will focus on selecting some companies as our upstream suppliers.†In addition, geographically Advantages are also very convenient for Wanan to manage its own suppliers. "Almost any time you can find the boss of the supplier chat." GU Yifan said with a smile, we are all acquaintances, communication will be easier.
“Industry has formed a scale, with a reputation, customers will come to their own. This is the advantages of industrial clusters, but on the other hand, companies gathered in a large number of places, also caused the increasingly fierce competition, product profits are often suppressed to a minimum "Tian Tie-hsiang felt that in an area where industries were concentrated, pressure and power existed, and no development would die out. In addition, if there are too many companies, it will inevitably lead to non-compliance with market rules. Tang Daxing said, "In the past few years, Ming Shi has discovered that small factories have used their brands for production, and they are still in court with them."
It is the competitive pressure brought about by the cluster that all companies are accelerating their own development. Technological transformation has become a required course for every company. According to Yao Yaozhong, last year the shop introduced more than 10 million US dollars of foreign advanced equipment. The town of 155 technical transformation projects, a total investment of 1.58 billion yuan, an increase of 135% over previous years.
In addition to strengthening the strength of enterprises through technological transformation, there are also some companies have begun the transformation of the road. “I am very happy to change to plumbing equipment.†Chen Tiexiang said with a smile, before doing auto parts, screws, screws, nozzles, etc., the volume is always up, and the demand for plumbing equipment is very strong, and the profit rate is also maintained at 5 - About 10% is more comfortable to do.
"Encourage diversified development of storefront companies." Yao Yaozhong said that store users should accelerate the change of economic growth mode, vigorously develop high-tech and high-value-added products, and increase the core competitiveness of enterprises and regions.
Resource bottlenecks
In the rapid development of storefront companies, they also face many difficulties. Such as power shortages, rising raw materials, lack of talent and insufficient land supply. The intensification of macro-control and the restriction of factors has made deep-seated contradictions in the industrial structure increasingly apparent, the cost of enterprise development has been continuously rising, the profit space is shrinking, and the pressure on resources and environment has further increased.
“Now the price of copper is fickle.†Yao Hui of Hailiang Group stated that at the end of 2003, in order to resist the risk of too rapid changes in the price of copper, Hailiang Group began to use futures, using hedging tools to prevent possible risks. In the past, domestic copper prices did not differ much from those of foreign countries, but now they have become confusing. Such as Zhejiang Shangyu Xinpeng Copper Co., Ltd. is thus closed down.
"We can only digest ourselves." Chen Tiexiang said that raw material prices are now very unstable, and the selling price of products has remained basically unchanged, and the risk of enterprises has become relatively large. Yao Yaozhong believes that “the rise of raw materials has a great impact on store-front companies. For companies, they should increase exports and further adjust the industrial structure.â€
"I have no shortage of products here and I lack management talent." Feng Hailiang's thirst for talent is actually the voice of shopkeepers. Very early on, Feng Hailiang once used a woven bag and installed 600,000 yuan in cash to make a special trip to find experts in other places. Up to now, the group has introduced more than 350 middle and senior professional and technical personnel.
More than Feng Hailiang, Chairman of the Wan An Group, Chen Lixiang, has also performed a modern version of San Francisco's Mao Min for talents. In the summer of 2003, Gu Yifan was enjoying his leisure time after retirement, but he received a call from Chen Lixiang, president of Wanan Group. He invited him to serve in the Wan An Group. "The family didn't agree at all and I didn't want to run so far to work." Gu Yifan recalled the scene at that time. When Chen Quan wanted to persuade my family, he was finally touched by his sincerity and came to Wan An.
“Now there are sometimes some contradictions between employers and employees.†Tang Shixing of Mingshi Management stated that the production of pipe fittings is a labor-intensive product and requires a large number of workers. If the customer's orders are much more and there is time, it will be inevitable to catch up. When it comes to a hot day, the factory temperature is very high and many workers will have opinions. What we are doing now is to give employees appropriate subsidies, and give them an electric fan on hot days. However, the current level of profit makes us have limited room for workers to rise in wages, and it is impossible to adopt unlimited wage increases.
However, due to factors such as rising raw materials and talent shortages, the most worried shopkeepers in the near future are still in short supply of land resources.
In the factory area of ​​Mingshi Pipe Co., Ltd., the reporter saw that the land use rate of Mingshi has reached saturation. The original shed for bicycles has now piled up various goods like hills, and the warehouse has also been transformed into a workshop. In addition, even a green area at the entrance of the factory site has also been used as a place for stacking coal piles.
“The name of the flower is the master.†Tang Daxing looked at a vacant lot outside the wall and reluctantly stated that last year the company needed to expand and applied for 120 acres of land to the township government. The result was reportedly not granted in the province. “If the land cannot be approved, companies will only be able to stand still.†Chen Tie-hsiang also had the same distress. Looking at the crowded factory buildings, he could only show a slight smile.
Since the macro control in 2004, the central government has strictly controlled the land. Among them, the continuous erode of industrial land for agricultural land is the reason for controlling land resources. However, according to Jiang Canyuan, the farmers of the Jiangsu and Zhejiang generations have no idea of ​​farming. Wherever they work, they earn much more than if they farm. Even if the government subsidizes the farming farmers, they cannot afford the enthusiasm for farming.
Yao Yaozhong said that the Diankou Town Government is currently reviewing and approving the “Diankou Town’s Overall Space Development Planâ€. Do everything possible to overcome the current difficulties of land shortage. The construction of the Yueshan Nantuo project will greatly ease the difficulties faced by the company's development in the store.
DC Motor
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