How the hottest furniture enterprises solve the in

2022-08-08
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How can furniture enterprises solve the industry crisis of low profit and high cost

the development of China's furniture market has long gone its own way. In the past two years, the furniture market has changed faster and faster, consumer demand is changing with each passing day, and industry competition is rising. The resulting industry changes are also one after another

then, what are the main problems that perplex us in the current market? What is the future trend of the industry

the current market situation of low profit and high cost

the disappearance of demographic dividends, the increase of employment costs, and the increase of product design costs All the problems show that the furniture industry is moving towards an era of small profits. At present, there are probably the following aspects affecting the profits of the furniture industry

1. Labor cost

it is understood that in the past decade, China's labor cost has increased by as much as 2.7 times, the financing cost of private enterprises has exceeded the bank's benchmark interest rate by more than 2 times, and the logistics cost is twice that of developed countries. Both labor, raw materials and enterprise operating costs have increased significantly

with the intensification of industry competition in 2017, under the influence of the "price rise tide" and the industry reshuffle trend, corporate profits have been reduced again, even thinner than blades

2. Innovation cost

without technological innovation, there will be no rise of furniture enterprises. Chinese furniture enterprises have been immersed in the industry atmosphere of low-cost competition and small profits but quick turnover. Many enterprises do not want to spend huge amounts of money, human and material resources to innovate, nor dare to innovate. Even innovation is not as good as "copying new", resulting in serious product homogeneity in the industry, resulting in the lack of innovation in China's furniture industry, It has been stuck at the level of low-end manufacturing for a long time, and its international influence has stagnated

nowadays, the competition in the furniture industry is intensifying, and innovation is the inevitable way for enterprises to survive. In order to improve their competitiveness, furniture enterprises first need to face up to the importance of innovation; We should increase investment in product research and development, establish long-term development goals for enterprises, eliminate mutual plagiarism, and form a good innovative competition model in the industry

3. High financing cost

although the overall domestic financing environment has been very mature, a large number of them are concentrated in high-tech industries. As a traditional secondary industry, the furniture industry is difficult to attract investment

this makes many enterprises have no desire to develop, but they can't become bigger and stronger, and they don't have enough volume to support the future market. More importantly, there is no way to build a brand because there is not enough money, which can only make many furniture enterprises disappear from the public

4, "laymen" are eyeing

their own problems continue, and external enterprises increasingly regard the furniture industry as their growth point. Once the design companies in the upstream real estate industry and downstream industries began to launch their own household products, using their strong channel advantages to force the already difficult furniture enterprises

the furniture industry at the foot of the four mountains will move towards the four mountains of labor cost, innovation cost, financing cost and external pressure, which make the current furniture breathless. Low product quality, low technical standards, low brand recognition and low enterprise integrity have seriously restricted the promotion of industrial competitiveness of Fang xuanlai, a lifelong professor in the Department of mechanical engineering of Massachusetts Institute of technology in the United States. So, what aspects of the furniture industry need to be strengthened in the future

1. Brand is the life card of enterprises

brand construction is an important part of expanding effective supply and promoting supply side structural reform, which furniture enterprises must attach great importance to

it is a long and arduous process to achieve a brand. We need to carry forward the entrepreneurial spirit with innovation, persistence and as the main content, stand loneliness, withstand temptation, be down-to-earth and concentrate

therefore, furniture enterprises should do the following two points: first, vigorously strengthen the construction of national technical standards, improve product recognition, 4 We should wait patiently until the conditions of machines and molds stabilize, and continue to create high-quality products with differentiated competitive advantages; Second, we should strengthen the construction of integrity and lay a solid foundation for brand reputation

2. Join

the author has a hunch that within three years, the real estate industry will be fully involved in the furniture industry, and 70% of furniture sales will be completed by real estate developers and their partners

since the upstream and downstream industries are threatening, what advantages can we take advantage of? Of course, it is our professional advantage. In the future furniture industry, there will be large-scale and in-depth cooperation between furniture enterprises and real estate enterprises, which is inevitable

3. Experience has become an important card in offline exhibition halls

due to the characteristics of the furniture industry, experience is an indispensable link. Stores will certainly become the experience center of e-commerce and designers, serving 30% of personalized needs

in addition,

next, we can extend the service category and add modules of maintenance, renovation, consignment, second-hand, leasing and housekeeping. These are the service sectors that the furniture industry can continue to deepen in the future

when more and more people in the industry begin to see through the current situation of the furniture industry and find the essence of development, furniture enterprises that do not choose to change are doomed to have no future

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