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To analyze the challenges facing the development of quilting embroidery machine enterprises in the future, the following are some relevant materials compiled for everyone~
1. Fund safety
The capital chain is an important lifeline for maintaining the development of enterprises. The lack of capital is often regarded as a "blood cancer" by enterprises. In the financial crisis that broke out in 2008, many formerly powerful enterprises closed down one after another, and the culprit that caused the former giants to crash down. Its weak capital chain.
NowQuilting embroidery machineManufacturers are still struggling to maintain their own capital chain. In a period when the economic situation is promising and the demand for quilting embroidery machines is strong, in order to expand market share, companies are competing to grab customers through price cuts and installment payments. On the surface, sales seem to be hot, but the actual situation is However, most of the company's profits are long-term in the form of arrears; at the same time, the company maintains the normal operation of funds by borrowing from the bank and buying parts on credit first. Generally speaking, the development of the industry is disorderly and blind. After the weak capital chain of the company encountered the global economic crisis, due to the tightening of money supply by banks, and the component suppliers no longer allowing manufacturers to owe funds, a small and medium quilting embroidery machine manufacturer closed down. The tide inevitably happened.
Facts teach us that simply occupying the market through price competition is tantamount to drinking poison to quench thirst. If quilting machine manufacturers want to continue to develop, they must maximize the return rate and keep the company’s funds required for normal operation; on the other hand, enterprises must actively develop new products. Products, continuously increase the added value of products, and gradually get rid of the vicious price competition in the low-end market.
2. Development of overseas markets and after-sales service
In 18 years, the sales of quilting embroidery machines in China have risen against the market, which has given many companies valuable rest time. However, the main reason for the improvement of the market is the hotness of the Indian market. The current Indian market is similar to Keqiao in the past few years. It is mainly used for fabric processing, does not require high embroidery quality, but is more sensitive to price factors. Because of this, the products of most domestic quilting embroidery machine factories can fully meet the needs of Indian customers, and a large number of domestic quilting embroidery machines have crazily poured into this emerging market. However, the Indian market is different from the Keqiao market. The market demand of the former is greatly affected by the local political situation and economic policies. It is unknown how long the current sales momentum can last.
In addition, the high cost of after-sales service for overseas products is also an unfavorable factor for the export of Chinese quilting embroidery machines to India. Although the export of Chinese quilting embroidery machines to the Indian market has various disadvantages, it is undeniable that the overall performance of domestic quilting embroidery machines cannot meet the needs of the high-end market, and it is a good choice to actively explore the emerging middle and low-end markets like India. .
3. Market positioning of products in the post-Indian era
Market demand determines product quality and grade. In the grey fabric embroidery market like Keqiao and India, the products produced by users are not of high grade, and the quality of quilting embroidery machines does not need to be too good. As the existing market becomes saturated, it will become more difficult to find new mid- and low-end markets. In the future, the development of China's quilting embroidery machine industry must reposition its product market. The backbone enterprises should prepare for entering the high-end apparel market in advance, instead of waiting for the market to be fully saturated before paying attention to product quality issues. The improvement of product quality does not happen overnight. It requires long-term persistence and accumulation. Enterprises that do not pay attention to product quality will eventually be eliminated by the market. (Case: China TV industry, content omitted)
4. Malicious competition of counterfeit products
Most of the domestic large and medium-sized computerized quilting embroidery machine enterprises hate the counterfeit and inferior products on the market. These fake and inferior product manufacturers are crazy about the cheap quilting embroidery machines manufactured by refurbishing machines, using low-cost inferior parts, and installing counterfeit electronic control systems. Embezzling the market share of regular quilting machine manufacturers has put tremendous pressure on their operations. This pressure is particularly prominent when the market is not good. The backbone enterprises are generally under greater pressure to survive due to higher operating costs, while those who do not follow the rules have a better life. In addition, the service life and reliability of fake and inferior quilting embroidery machines cannot be guaranteed. If the machine fails, the interests of customers cannot be guaranteed. In emerging markets such as India, these fake and inferior products are mixed with regular products, which will inevitably damage China's quilting in the long run. The overall image of embroidery machines overseas has weakened the overall competitiveness of Chinese enterprises.
(1) Brand strategy
First-rate companies sell standards, second-rate companies sell brands, and third-rate companies sell products. Due to the lack of independent technological innovation, the trend of homogenization of domestic quilting embroidery machines is serious, and the backbone enterprises purchase relatively cheap parts and components due to price pressure, so that the quality of their own products cannot be improved, and the products can only be sold through OEM agents. In the low-end market, most Chinese companies can only rely on domestic labor cost advantages to obtain meager profits at the end of the industry. Their products do not have sufficient competitiveness and awareness in overseas markets, and naturally they cannot escape the malicious competition of counterfeit products.
The key to a company’s brand creation is excellent product quality. I remember Mr. Chen from the prestigious factory at the Zhuji meeting at the beginning of the year said: "In recent years, our backbone companies have done enough homework in the expansion of varieties, but the precision of parts processing, assembly technology, production There hasn’t been much improvement in management.” If the domestic quilting embroidery machine succeeded in occupying the low-end market with its low cost and strong market follow-up ability in the early stage of development, now I want to get rid of the trouble of price competition and have some advantages in the high-end market. To achieve success, we must start with key technologies such as parts processing accuracy and complete machine assembly technology, and work hard to practice the internal strength of the enterprise to truly produce world-class high-end products.
(2) Industry alliance
At present, most quilting embroidery machine backbone enterprises generally believe that the government and industry associations can play a greater role in preventing vicious competition within the industry, and various manufacturers should also actively respond. If an alliance between enterprises can be formed in the industry, through the formulation of industry standards, law enforcement agencies to intensify the crackdown on counterfeit products, and local governments to provide financial support to key enterprises to create a good living environment for formal enterprises, then China's quilting embroidery Only the machine industry will develop more healthily, and it will be possible for internationally renowned brands like Tajima and Behringer to emerge in the future.
(3) Continuous technological innovation
Continuous technological innovation is also one of the main means to get rid of malicious competition with fake and inferior products. As long as any new technology or product is profitable, it is difficult to avoid plagiarism. Legal means can partially curb the occurrence of this situation, but it cannot be completely avoided. However, the plagiarism of new technologies also takes time. If the backbone enterprises can pay more attention to the development of new technologies and new products come out, I believe that the living space left for counterfeiters will gradually shrink.
The above four points are the challenges that quilting embroidery machine companies may face in the future development. Any one of them is not just a problem for one or two companies. All key companies need to unite and jointly deal with the challenges in industrial upgrading to quilt China. The embroidery machine industry has grown stronger and finally achieved a win-win situation in the industry.
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