How to make hardware companies operating profit in the "winter" in the firm

Known as the vane of the hardware industry, it has made outstanding contributions to the brand building of Chinese hardware companies and foreign trade. The 2011 China International Hardware Fair is more colorful and highly targeted. CIHS is positioned to “build a market-oriented and technology-oriented service platform” to promote the healthy development of the industry, emphasizing the balanced development of the domestic and foreign trade markets and guiding companies to “walk on two legs”.

So far, China International Hardware Show will achieve the industry's expectations and our own high goals, and once again become the most important trading and networking platform for the hardware industry at home and abroad. There are already more than 1,000 overseas buyers booking on our website to participate in this year's CIHS. This figure makes us believe that more overseas guests will attend the 2011 China International Hardware Show.

Under the dual pressures of high operating costs and difficulty in increasing operating income, the operating profits of hardware companies can be described as “sunshine” and some are even in a state of loss. The pain of logistics, for most hardware industry participants, the complex domestic market pattern has brought a vast market space to the company, but also put forward a major problem for the company's warehousing and logistics and other aspects, high logistics costs and difficult Almost all hardware companies are facing problems.

The lack of a well-displayed product platform, and the lack of product R&D and innovation capabilities of most companies resulted in plagiarism and imitation in the industry being extremely serious and serious product homogeneity. There was no way to talk about the core competitiveness of various companies. Enterprises want to make breakthroughs in this area is also weak, try nothing. The pain of financing, for most hardware companies, the scale of small and medium-sized enterprises makes it extremely difficult for companies to raise funds. It is difficult for companies to achieve effective breakthroughs in product development, branding, and market development.

Although the officials of Zhejiang and Guangdong have refuted the “sluggishness of SMEs”, the issue of financing difficulties and brand building of SMEs has once again aroused people’s concern. This year marks the beginning of the Twelfth Five-Year Plan. The development of all aspects of the social economy in the next five years will receive much attention. The hardware industry is no exception. In view of the fact that most of the domestic hardware industries are small and medium-sized enterprises, most enterprises have encountered difficulties in financing, raw material costs, labor shortages, etc. while stepping up transformation and upgrading. For a time, there has been a wave of manufacturing closures in Jiangsu, Zhejiang, and the Pearl River Delta.

Most businesses are easily trapped in the business trivia, it is difficult to understand more industry information, market trends, it is difficult to open up new market space, resulting in its operating situation has not changed for many years, which is the development of many businesses are facing difficulties. The pain of the brand, most of the production companies and the hardware market are currently unable to provide businesses with adequate and effective business and resource support, and the scarcity of truly strong brands has made it difficult for most businesses to find the business pillar on which they are supporting. It is in the state of being alone, it is only possible to operate some low-end brands, and development is difficult.

Eight leading global retailers, including Wal-Mart, Carrefour, Home Depot, Kingfisher Group, LGSourcing, Leroy Merlin, Saint-Gobain, Metro, etc., will attend the China International Hardware Fair every year to carry out procurement activities. Among the 2,400 exhibitors at the China International Hardware Fair, hardware product makers will account for more than 90%. In addition to promoting the global influence of China International Hardware Show through the channels of Cologne International Exhibitions, CIHS has further strengthened cooperation with European, North American, Australian and Middle East hardware industry media. Through online promotion and invitations sent out, we believe that this year's China International Hardware Show will attract more overseas buyers than ever before.

However, the status quo of the hardware industry has also brought us ideas for innovation and breakthrough - who can solve the problems of enterprises, markets and businesses, then who can drive the industry out of the difficulties and breakthrough bottlenecks. In response to the above-mentioned problems, there have been some useful attempts in the industry and attempts have been made to solve the problems. The 11th China International Hardware Show (CIHS), which will open on September 21st, is ranked as the second largest hardware exhibition in the world. After 10 years of cultivation and growth, China International Hardware Show has become the largest in the entire hardware and DIY industry in Asia. Fair. CIHS is a unique trade fair that provides a comprehensive overview of the latest products and services for professional traders and buyers from the tools, DIY and construction hardware, security, locks and accessories industries.

Three Taiwan Associations: Taiwan Hand Tool Manufacturers Association (THMA), Taipei Import and Export Traders Association (IEAT), and TIECC will continue to bring CIHS 2011 over 100 square meters to more than 100 booths. Taiwan exhibitors. In addition to the pavilions of these countries and regions, we will also invite overseas individual brands including India, the United States, Canada, Italy, the United Kingdom, Japan, Korea, Singapore, Mexico, Hong Kong and other nearly 20 countries and regions. Having experienced the slow development of the global economic crisis that broke out two years ago, this year again saw overseas hardware manufacturers’ growing interest in the Chinese market. The German Pavilion supported by the German Tool Manufacturers Association (FWI) has confirmed the participation of the exhibition. There will be 10 exhibitors, covering a total area of ​​120 square meters. At the same time, the Italian pavilion will also return to the China International Hardware Show with an area of ​​90 square meters after a year of absence.

Since the financial crisis in 2008, hardware companies have faced a new competitive situation and a severe living environment after the financial crisis, and the domestic hardware industry has been stressing breakthroughs and innovations in the status quo of the industry. The third is technological innovation, focusing on the transformation and upgrading of traditional industries. However, in view of the current hardware industry, the status quo is still the same: the status quo of extensive operation is still in a small, many, weak, scattered state; the status quo of homogenization of products and low level of repeated work has not yet been improved; but the transformation and upgrading of enterprises The difficulty is indeed greater than before. Well-run SMEs pay more attention to innovation. The first is to focus on brand innovation; the second is to tap inwards and focus on management model innovation; low-price competition among peers is still the mainstream of industry competition; enterprises that truly transform from foreign trade production type to brand marketing type are minimal; industry concentration Very low, lacking real strong brands and so on. These problems can be said to be deeply painful to participants in the hardware industry.

In order to better implement the relevant resolutions of the 12th Five-Year Plan for brand building in the hardware industry, and also to showcase new highlights and new changes in the 2011 China International Hardware Fair, to further expand the China International Hardware Show in the industry and global influence, China The Hardware Products Association and Germany Cologne Exhibitions China Ltd. jointly sponsored the BestofChina (hereinafter referred to as BOC) China Hardware Boutique World project. This project is managed by the China International Hardware Fair e-commerce and buyer data management partners - Vivian.com Organize. This event is to help leading hardware companies and expand the international and domestic markets. Every year, some new live events become the highlight of the China International Hardware Show. The six major events in previous years include: "China's real estate and related industries development" summit forum, "China's annual hardware new product exhibition and conference", "China kitchen and kitchen product innovation and design contest", "annual lock network new product display and release", " "Cut Grinding and Application Technology Forum" and "Fastener Products Purchasing Association" attracted the attention of the industry.