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Some factories have a steady stream of orders, and the export volume has repeatedly reached new highs;
Some of them are too many, even if the price reduction promotion is useless.
What is the reason behind this phenomenon?
Today, we're going to delve into the real logic behind these appearances and reveal the secrets behind the rise and fall of businesses.
Let's start with the factories that are thriving.
These businesses tend to share several common characteristics. First of all, the ability to innovate is strong.
For example, a high-tech manufacturing enterprise in Guangdong Province has not only improved production efficiency, but also significantly reduced costs with self-developed intelligent equipment.
The second is excellent supply chain management.
An electronic component manufacturer located in Suzhou, Jiangsu Province, has established long-term relationships with world-renowned brands to ensure a stable supply of raw materials and high quality products.
This stable and reliable supply chain not only enables the company to navigate the market fluctuations, but also enables its export volume to maintain a growth rate of more than 10% for three consecutive years.
The stability and efficiency of the supply chain have become an important guarantee for the sustainable profitability of enterprises.
In addition, these companies also have precise market positioning.
For example, a small commodity manufacturer in Yiwu City, Zhejiang Province, uses big data analysis to accurately grasp market demand and produce products that consumers love.
In 2023, the company's exports increased by 20% year-on-year to $200 million.
The accuracy of market positioning makes its products highly competitive in the international market.
However, not all factories can enjoy such splendor.
Some companies have been losing ground in the fierce market competition and have even had to shut down. What's the problem?
The first is the lack of innovation.
A traditional textile enterprise in Shandong Province has been using old production technology for decades, and its products lack competitiveness.
In the face of powerful shocks from emerging markets, such companies are often unable to cope and are eventually forced to exit the market.
The data shows that in 2023, the company's exports fell by 50% and it was eventually shut down.
The second is supply chain disruption.
A chemical company in Hunan province has seen raw material prices soar and production costs soar due to supplier problems.
Although companies have tried to alleviate the pressure by selling at a reduced price, they have not been able to recover their losses. The disruption of the supply chain put it at a disadvantage in the market competition, and finally had no choice but to shut down.
There is also the case of mispositioning of the market.
For example, a home appliance manufacturing enterprise in Fujian Province has been focusing on the low-end market, with serious product homogeneity and meager profits.
Let's take a closer look at the situation in a few cities from a regional economic perspective.
Shenzhen, the city of innovation in southern China, is known for its strong technological innovation capabilities and well-established supply chain management system.
Data shows that in 2023, the export value of Shenzhen's high-tech products will reach 300 billion US dollars, a year-on-year increase of 10%.
These companies not only enhance their competitiveness through technological innovation, but also ensure the quality of their products and the stability of the market through deep integration with the global supply chain.
On the other hand, some traditional industrial cities, such as a city in Liaoning Province, have long relied on traditional manufacturing and lack of innovation power, resulting in enterprises gradually losing their advantages in market competition.
In 2023, the city's exports fell by 20% year-on-year, and several businesses were forced to shut down due to poor management.
The city's single industrial structure and lack of innovation are the main challenges facing its economic development.
So, for those who are interested in investing, how to identify those companies with potential?
First of all, it is necessary to look at the technological innovation ability of the enterprise.
Technological innovation is the driving force for the sustainable development of enterprises, and enterprises with independent research and development capabilities are often more competitive.
Secondly, it depends on the supply chain management of the enterprise.
A stable and efficient supply chain is the foundation for the steady growth of enterprises.
Finally, it is necessary to pay attention to the market positioning of the enterprise.
Accurate market positioning and flexible market strategy can help enterprises stand out in the fierce market competition.
In this uncertain market, the rise and fall of enterprises depends not only on the external environment, but also on their own innovation ability and management level.
Through technological innovation, supply chain management and precise market positioning, enterprises can maintain their advantages in the fierce market competition and achieve sustainable growth.
Companies that lack innovation, disrupt supply chains, and misposition in the market struggle to gain a foothold in the market.
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- Note: The original debut, plagiarism and transfer to any platform, must be investigated to the end!
-ENDS-
Text: Wind
Audit|Ancient Oasis