See how the private enterprises of hardware "rise"

On August 25th, the All-China Federation of Industry and Commerce announced the list of the top 500 Chinese private enterprises in 2010. The list shows that in 2010, the threshold for the top 500 Chinese private enterprises reached 5.06 billion yuan, an increase of 1.4 billion yuan over 2009; total operating income reached The total revenue of the company was RMB 69,849,320, with an average of 13,970 million yuan per household, an increase of 47.48% compared with 2009. The number of companies with operating income of more than RMB 10 billion increased from 126 in 2009 to 220.

For a time, the development of private enterprises has once again become the focus of attention of all parties, and disputes over the development of private enterprises are also increasing.

Challenging the monopoly of state-owned enterprises and the competitiveness of private enterprises Since the 2011 list of the top 500 Chinese private enterprises, the total revenue of China’s top 500 companies has reached 18.9 trillion yuan, which is 47% of the country’s GDP. However, the top 10 of China’s top 500 companies are all state-owned enterprises. While state-owned enterprises are quite strong, in recent years, the number of private enterprises in the top 500 Chinese enterprises has continued to decline. Internal and external factors such as rising raw material prices and shortage of talents are the major difficulties faced by the top 500 private enterprises in transforming their development methods.

Most of the central SOEs belong to monopolies, such as China Mobile, China Unicom, Sinopec, and China National Petroleum, all without exception being all monopolies. The stronger the monopolist, the more able it is to control the market. Private companies want to be bigger and stronger. It will get bigger and bigger. The current market is not yet a complete market economy, and a sufficient market competition environment has not yet formed. Of course, monopolistic companies have become stronger and stronger, and they are unfortunate for the private enterprises that are still weak in the market. On the side, they have formed a whiplash effect.

Professor Huang Taiyan, director of the China Private Economy Research Center of Renmin University of China, once pointed out that China’s private enterprises “do not do the top 500 and have to do 500 years”. Most privately-owned electromechanical companies are increasingly aware of the importance of technological innovation, structural adjustment, improved management, and shaping the brand's long-term and healthy development. It is clearer that the company's profit depends on its own competitiveness. Therefore, it focuses on the input-output ratio, and has made great improvements in corporate governance, technology research and development, quality management, and branding.

From the point of view of manufacturing defects and electromechanical participation in branding, China is embarking on the road to becoming a strong country. China's manufacturing industry is also the second largest in the world, but there is still a discouraging distance from manufacturing powerhouses. Strictly speaking, China's mechanical and electrical private enterprises stay more at the "processing plant" and "production workshop" stage and cannot be called a complete manufacturing industry. Because most enterprises are still at the bottom of low added value in the industry chain, they only know that OEM production does not form a complete industrial chain and they will inevitably fall into awkward situations.

Many of China's small and medium-sized electromechanical enterprises are labor-intensive enterprises mainly engaged in low-end manufacturing. They are mainly engaged in processing or custom-made materials. The profit rate of the enterprises themselves is not high. They have no technological advantages, only labor advantages, and labor prices in recent years. The rise made the company overwhelmed. Some even went astray and moved to cheap labor areas. Although the privately-owned electromechanical companies did not perform sufficiently in production “Made in China”, they were not strong enough. Therefore, in order to achieve a breakthrough, whether it was relying on foreign aid, or internal force, manufacturing turned to create, from OEM, OEM The effort to create a "Chinese brand" is based on the glory of manufacturing-oriented private enterprises. With the acceleration of the global economic integration process, China's hardware companies have more realized the strategy of going abroad, participating in the market competition, and more understanding of the importance of the brand to the development of the company.

Change the past "branded" business, win the autonomy, enlarge and strengthen its own brand, and take the road of making refined products to increase the added value of the brand. As long as you play your own brand and have a hard-won independent product in the market, you are not afraid to lose money. At the same time, the development of the brand in the electromechanical industry, in addition to the company's own efforts, but also rely on the coordination of the industry, peers should be the same idea, help each other.