Wednesday, March 9, 2011

Cabinet industry "price war" vicious competition intensified in reshuffle

1980s Yin begins, our kitchen energy utilization has undergone from coal to gas, electricity, kitchen of the evolution of innovation as the core of home catering environment structure has undergone revolutionary change, kitchen construction by functional, supporting type entered the living comfort of the art development stage, kitchen equipment from simple structures into the cupboard unit specialization production phase.

The current urban households overall kitchen has a rate of only 2%, in Eastern and southern coastal areas, family kitchen with rate reached 3%, while in the West only 0.5%, according to authoritative research company statistics, integrated kitchen full-year sales in 2003, 46 million sets, and in 2004, rising to 76 million units, is expected over the next three years as a whole Cabinet product potential market will reach 310 million sets, 120.7%, according to each average $ account, there are 620 billion market space.

At present, industry competition, mainly in the design, service, innovation, quality, logistics, brand, etc, orderly competition makes industry to scale healthy growth and development. As competition intensifies, small manufacturers due to lack of experience in quality management, marketing and technology lag, system cost management, and other reasons are likely to be eliminated or large mergers, and strength, big brand manufacturers of scale is gradually expanding, the growing influence of the brand, the brand has become increasingly obvious. At the same time the associated industry major manufacturers are also optimistic about the fat cattle, nor in "the Waterside," but is "net" back, having a lot of big-time household electrical appliance enterprises have invested into the Cabinet industry.

In addition, the low threshold of Cabinet industry is a labour-intensive, some do not have the expertise, the lack of production equipment, under-funded enterprises or individuals have joined in this industry, numerous "before the shop after the factory" and "miscellaneous troops" beach landing, advance divided up, "Rob single" and "malicious" and "bad beat" and other mutual competition among each other, on the whole industry of business quality, customer credit tremendous negative impact.

Because there is no closet industry what the entry threshold, process sales flexibility, creativity and personality based on purchase objects require larger, so this industry with a complete industry standards, quality standards, and dimension series, style, etc., the Eight Immortals, engage in their own skill, and some even have no standards that customers want what what, while the production of cheap low quality materials and a large number of non-environmentally friendly materials with triggered a "price war", the requirements process is not standard service and extremely poor product delivery.

Leading the industry's "price war" competition has become worse. These typical Chinese competition, resulting from the appearance of a product on the market to function the same, the concentration of industry in General is very low, seriously hindered industry technology upgrades and excellent enterprise development. Between developed countries kitchens has formed a high level of standardization, serialization, has the completeness, the versatility and interchangeability.

In China, kitchen furniture, kitchen appliances and construction areas still lack the complete specification, especially in some details, such as the kitchen of clearance dimensions, pipeline layout and interface, and so on, manufacturers of industrial products in installation often cannot adapt to the circumstances of the scene, you need to make temporary changes this situation objectively restricted the manufacturers of large-scale production and quick development, cabinets of personalized and scale, standardization of contradiction will be a short time and all the manufacturers of bottlenecks. Optimistic that all pros and cons of this peer! has been the birth of Chinese cabinet industry growth and healthy development of change. With the formal Enterprise comprehensive strength of continuously increasing, the industry will face a new round of "Shuffle", the small, weak cabinet reshuffle in the "enterprise" to exit the market.

No comments:

Post a Comment