The shuffling of the hardware industry will promote the advent of the era of meager profit, and the shuffling of the meager profit era will be more intense. After shuffling, due to more marketization and more intense competition, the shuffle will continue. After many rounds of shuffling, the hardware industry is bound to be like the home appliance industry, and the profits are even lower. In the era of meager profit, in the face of increasingly fierce competition in the hardware market, we must base ourselves on the brand and adopt a vertical and horizontal strategy to get out of the way. Based on the brand building, most SMEs are difficult to establish. Most of them rely on imitation and OEM production. Most of these enterprises will be eliminated, and the actual reshuffle will be the object of the game. Then, in the later stage, most of the remaining are powerful. In fact, the development of independent brands is a strategic direction for enterprises. In the long run, we must base ourselves on our own brands and realize OEM (original processing) to ODM (origin) Design and production) to the upgrade of brand marketing, and gradually enter the high-margin links of marketing channels and brand operations. Vertically build a solid industrial chain According to statistics, the most effective use of the cost reduction method in the first eleven, there are procurement negotiations, early suppliers, leveraged procurement, joint procurement, design for the convenience of procurement procurement (DFP), centralized procurement, etc. Related to the supply chain, Luo Baihui, head of the International Association of Mould & Hardware Plastics Industry Suppliers, believes that hardware companies need to work hard to cultivate the supply chain and work together with suppliers to create a solid industrial chain to reduce their respective capital reserves. Improve product qualification rate and accelerate capital turnover to ensure that each has appropriate profit margins. Diversify the market in a horizontal direction, increase the implementation of the “going out” strategy, guide and encourage powerful hardware companies, and establish “China Hardware Industrial Park” or “production and processing” in Central and South America, Middle East, Eastern Europe, Africa, South Asia and other regions. Base, to allocate resources across borders and open up diversified markets. Promote the construction of industrial cluster service platform industry innovation platform to serve industrial clusters with weak technology and product development capabilities and low management level, provide comprehensive innovative services for enterprises, enhance enterprise innovation capability and technology, management and management level, and accelerate industrial clusters Structural upgrade of export products. In the era of meager profit, enterprises must be in a different market environment, such as fish, water, based on the brand, take a vertical and horizontal strategy, out of a path.  

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