It is very important for local cable enterprises to move towards internationalization
as an important supporting industry for China's economic construction, the wire and cable industry has been growing steadily in recent years with the steady progress of national power transformation, new energy construction and other fields, but it has been lack of explosive development. Moreover, due to the low entry threshold of the domestic cable industry, some small and medium-sized enterprises that do not have production capacity also participate. In order to make profits, they seriously destroy the industry ecology through low-cost competition, counterfeiting and other illegal means. As an important supporting industry of China's economic construction, the wire and cable industry has grown steadily in recent years with the steady progress of the national power transformation, new energy construction and other fields, but the parts of an experimental machine without protective layer should often be rubbed with oil and lack explosive development. Moreover, due to the low entry threshold of the domestic cable industry, some small and medium-sized enterprises that do not have production capacity also participate. In order to make profits, they seriously destroy the industry ecology through low-cost competition, counterfeiting and other illegal means
in addition, under the dual influence of internal environment changes and internal competition heating up, China's cable market is mired in overcapacity and meager profits. At present, there are nearly 10000 cable production enterprises, and there is insufficient interpretation of national policies, especially new energy development and other infrastructure planning, resulting in the production capacity seriously exceeding the market demand, or even more than 60%. The serious overcapacity has caused a large number of cable products in China to be wasted
the profit margin of the cable industry is surprisingly low. Last year, the profit margin of the whole industry was about 5%. This year, the profit margin continued to decline, falling to about 3%. Many small and medium-sized cable enterprises have chosen to withdraw from the market, and most of them are only barely maintained
at present, the domestic cable industry is at a critical juncture of overcapacity, meager profits and bankruptcy at any time, and it is even more powerless for the high-end market. At present, some high-end cables required by the Chinese market almost rely on imports. In order to better enter China, many foreign cable giants have entered China and established wholly-owned or joint ventures to divide up the high-end cable market with high profits
especially as nexen announced that it would invest 2200 euros to establish a new factory, nexen (Shanghai) cable company, marking that the world's advanced special cables have been produced in China. Just before nexen entered China, enterprises such as LS cable from South Korea had officially entered the Chinese cable market
however, due to the high requirements for product technology in the high-end market and the lack of independent research and development ability of domestic cable enterprises, the domestic cable industry can only sigh in the face of the overwhelming invasion of foreign cable giants into China
however, the packaging and sealing of products should be neat and firm. Looking back at the current situation of China's cable industry, is it not just the lack of independent research and development ability that hinders our development? In fact, whether it is low product quality, poor market competition or lack of integrity system, it is difficult to hide the hard injury of the domestic wire industry
at present, the development level of China's wire and cable industry is still very inconsistent with its important role and position in the national economy. The industry is large but not strong, the concept of enterprises winning by quality is not strong, and the market competition is not standardized. These problems directly affect the field of product quality, making the quality situation of wire and cable products still grim
the main reasons why we encounter these development bottlenecks are:
first, the concentration of the domestic cable industry is low
at present, the concentration of the domestic cable industry is low. Only a few enterprises in the national cable industry have annual sales of more than 2billion yuan. Small and medium-sized cable production enterprises account for 95% of the whole industry. The market share of large-scale enterprises is low, and the international competitiveness is not strong, There is no one or several leading enterprises or multinational companies that can fully participate in global competition. At present, only a few enterprises' brands can be recognized internationally or have high popularity
it intersects with foreign wire and cable industry, and China's cable industry is difficult to compare with it in terms of concentration. It is reported that the three large cable manufacturers in the United States account for 54% of the market share in the United States; Seven Japanese manufacturers account for 86% of the Japanese market; And the twelve enterprises in the UK account for 95% of the whole UK! Such a high degree of concentration makes the cable industry in these countries like a duck to water in expanding and strengthening
in China, there are about 20 large cable enterprises, but the market share of these 20 large enterprises is less than 10% of the whole market! It is not difficult to find that the concentration of China's cable industry is extremely low, and the process of mergers and acquisitions needs to be accelerated
second, the hardware investment is weak
at present, most domestic enterprises have a weak technical foundation, lack of professionals and professional equipment, serious product homogenization, and weak independent research and development ability. Even in the middle and low-end market, it is difficult to reflect the enterprise advantages, and it is even more difficult to take the road of differentiated competition. And cable enterprises must understand that talent vacancy is the biggest risk for domestic enterprises to participate in international competition, so they must increase talent recruitment and training. In addition, enterprises must also carefully analyze the utilization of relevant equipment and integrate their production equipment and production lines. Work together to increase the hardware investment of enterprises
third, the market competition environment is not conducive to enterprises' pursuit of winning by quality
a survey last year showed that more than 40% of enterprises have encountered adverse competition such as winning the bid at a price lower than the cost price and malicious price reduction bidding by their peers. By the first half of this year, according to the survey of relevant departments, this year's low-cost competition and bidding collusion were worse than last year
at the same time, the policy constraints and guidance for the cable industry are insufficient, the production capacity and investment are blindly expanded, the overall production capacity is seriously surplus, enterprises are generally underemployed, and the equipment utilization rate is only about 30%-40%, far lower than the average level of 70% of industrial enterprises. In this environment, many enterprises blindly pursue winning by quantity and winning the bid at a low price to occupy the market, seriously ignoring quality management and giving up quality subjects, which has a serious impact on ensuring product quality
IV. some cable enterprises lack quality integrity
the problem of not checking the raw materials into the factory is prominent. A few enterprises deliberately use low-quality raw materials, reduce the production process without authorization, deliberately cut corners, etc., which directly leads to the failure of key indicators such as conductor resistance and cross-linking degree to meet the standard requirements. In addition, many enterprises do not inspect their products before leaving the factory, resulting in unqualified products flowing directly to the market. Even, some enterprises wantonly make false publicity and illegal labeling, pretend to have a certificate without a certificate, falsely use the name and address of others, and some enterprises openly make and sell fake goods. Finally, it is common to avoid after-sales service and other obligations, and shift the quality and obligations of after-sales service for various reasons
from the above realities, it is not difficult to see that China's wire and cable industry is in a critical period of adjustment, standardization and improvement, not to mention that the competition in the international cable market will further intensify. Only when domestic cable enterprises mature in a complex and volatile development environment and make a difference in promoting enterprise technology, management and brand innovation strategies, can they effectively enhance market competitiveness
only by actively strengthening technology research and development, production management and brand promotion, improving product grades, and domestic cable enterprises sharpen their heads to enter the high-end market, can they compete with foreign cable giants. In addition, the domestic cable industry should also strive to grasp the market opportunities of environmental protection cables, nano cables, superconducting cables and so on. For qualified large-scale production enterprises, the training time will enable operators and maintenance personnel to reach the level of independent operation; In terms of industry, we should increase investment in research and development, realize the rapid improvement and transformation of enterprises by purchasing technology, equipment and even talents from abroad, take the lead in realizing internationalization, and win a place in the international market competition as an experimental machine enterprise of metal and non-metal materials such as automobiles, 5 gold, medical treatment, rubber, plastics, leather, packaging, wires and cables, paper, pipes, baby products, sports equipment, etc
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