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Wire and cable enterprises need to withstand the temptation of diversified industrial development

Release time:

2012-08-03

According to the survey, it is not difficult to find that the interests of diversified industrial investment are driving some small and medium-sized entrepreneurs to find another way. The wire and cable industry must withstand the temptation of diversified industrial development and not blindly invest.

For the wire and cable industry, in recent years we have heard the most voice is how to carry out industry integration, but so far no experts or scholars and other relevant people can really put forward a set of practical integration plan.

In recent years, the financial crisis and natural and man-made disasters are impacting the domestic wire and cable companies, and the blow to some companies is quite large, which has shaken the foundation of the company. According to relevant sources, at present, most cable entrepreneurs have expressed their helplessness to the current market situation. They also said that the pay and benefit are not proportional, and they feel that the business of the cable industry is becoming more and more difficult.

There are two ways for the transformation of small and medium-sized enterprises: one is the transformation of independent R & D and independent brand innovation, and the other is to transfer to underdeveloped areas to reduce the burden of land and human resources. However, the two methods are not easy. The former needs to spend a lot of money to buy more advanced equipment, absorb more talents, and increase product and brand marketing funds. This is a problem that many small and medium-sized enterprises are difficult to solve. The latter is faced with a series of problems such as local infrastructure, service support, market, interpersonal relationship and industrial chain construction, which is difficult to adapt quickly. Moreover, there are many wire and cable enterprises in those areas competing.

In the current reality of this industry, the viability of small and medium-sized business owners is already very tenacious, but why have they made so much effort, but whether it is technology or scale, they are always standing still, and they are even carrying the manufacturing of counterfeit products. The crime, there is also an excessively heavy tax burden that binds the hands and feet of enterprises. Perhaps by jumping out of this circle and taking off colored glasses to observe this industry, we can see clearly the external environment and internal truth of this industry. Indeed, some small and medium-sized wire and cable business owners are ready to give up this business and look to different industries to find a new way out. Facts have proved that compared with the wire and cable industry, which operates at full capacity but does not benefit much, investing in real estate, stocks, mines, agriculture, catering and tourism industries is much easier, and the rate of return is considerable. As a result, some small and medium-sized enterprise owners think that some so-called diversified industries are easier to obtain considerable profits without any effort.

In short, any industry has the ability to self-generate, self-develop, self-diagnose and self-repair. Small and medium-sized enterprises that have the conditions to achieve transformation should strive to achieve independent technological innovation and brand innovation. This is of course the right way for industrial development, but it is also a wise choice to invest in companies in different industries in desperation. I hope that some so-called experts and scholars will no longer hype the vicious expansion of the wire and cable industry, so that wire and cable enterprises more healthy and harmonious development.

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