NEWS

With the continuous improvement of China's status in the world, more and more countries around the world began to use Chinese hardware products, to a certain extent, to stimulate the development of China's hardware products. In recent years, with the acceleration of the process of global economic integration, China's processing industry has gradually become the main force of the world's hardware tools industry. In some developed countries, especially in Africa, the Middle East and other developing countries, the demand for hardware tools is increasing at a rate of more than ten percent every year. Hardware tools are labor-intensive industries. Yongkang, as the hometown of hardware, once became the gathering place of hardware tools by virtue of its low-cost traditional competitive advantage. The export of hardware products has increased sharply, and the comparative advantage is obvious; the operation of capital is active, which promotes the sharing of resources among enterprises; the polarization of enterprises brings market rationality; the increase of high-tech content enhances the market competitiveness of products --- "domestic competition Internationalization, domestication of international competition" will be the characteristics of the development of my country's hardware industry in the next few years, and will be specifically manifested in the following six aspects.

1. China's position as a global hardware manufacturing center will be further consolidated

China's economic facilities are relatively perfect, the industrial development is relatively mature and the labor cost is low. It has the comparative advantage of becoming a global hardware manufacturing center, and the export-oriented development characteristics of the hardware manufacturing industry are obvious. The strengthening of the central position is first manifested in the overall growth of the export of hardware products in recent years: the export growth rate of the main hardware products is higher than the growth rate of production, and even higher than the growth rate of sales in the domestic market; the main hardware and electrical products are in full bloom. Tools, hand tools, construction hardware products, these traditional export products have a high growth rate. Huge market and center of gravity will further attract hardware multinational manufacturing center to China's transfer.

Capital operations in the 2. industry will become more active and cooperation between enterprises will be significantly strengthened.

In the environment of global competition, in order to obtain a favorable competitive position and improve competitiveness, industrial capital is another theme of industry operation. From the perspective of capital, the main feature of the current is the expansion of capital. From the perspective of competitive behavior, the cooperation of resource sharing among enterprises is increasing.

The polarization of 3. enterprises will further intensify.

The next few years will be a period of high-speed shock in the hardware industry. The direct consequence of this high-speed shock is the expansion of the current trend of polarization in the hardware brand camp. It is expected that in the next few years, there are absolutely not so many hardware companies that can really survive in the market. However, this high-speed shock in the hardware industry will bring great opportunities, and the result of the shock will make the market operation more rational.

4. sales channels will undergo profound changes, and competition between channels will become increasingly fierce.

On the one hand, manufacturers have strengthened their control over retail terminals, striving to reduce sales links and save sales costs, so that sales channels can develop in the direction of specialization, and the enterprise sales model can adapt to diverse markets at the same time. On the other hand, the trend of the development of the sales industry has led to the rising status of large chain stores, increased control over the industry, and participation in and triggered price competition that was previously dominated by manufacturers. With its broad market coverage, procurement scale and cost advantages, large retailers will have increasing control over production enterprises in terms of product pricing and payment delivery. At the same time, the requirements of the international market for China's hardware products will gradually develop and change, and there will be higher requirements for the quality, packaging and delivery period of Chinese products, and even gradually extend to the production process and product research and development, combining products with environmental protection, energy resources and human environment.

5. market competition will shift from price-oriented to high-quality, high-tech products.

With the deepening of competition, the profit margins of all stages of the hardware industry chain are being compressed, and the space for price reduction is decreasing. More and more enterprises realize that price competition alone cannot establish core competitiveness and is not the direction of long-term development, so they strive to explore new development paths. Many hardware companies have increased investment in technology, developed new products with high-tech content, and used product differentiation as a long-term solution for enterprise development, seeking new market demand and establishing new economic growth points to realize the sustainable development of enterprises.

6. the integration of domestic and foreign enterprises will be further accelerated

In order to improve their own strength and expand the international market faster, domestic hardware enterprises will speed up the integration with foreign enterprises through various means to improve product quality and competitiveness. While continuing to expand the markets of traditional countries such as the United States and Japan, it will also blossom in Southeast Asia, the Middle East, Russia, Europe and Africa. Overall, China's hardware industry will continue the momentum of structural adjustment, but at the same time will continue to appear some bright spots. The polarization of hardware companies will intensify, and some companies that do not adapt to market competition will withdraw from market competition through different channels, and hardware giants will gradually surface.