Doors and windows are a new type of chemical building materials. The more prominent features of the doors and windows are their energy-saving seals, their ability to replace metals and wood, their adaptability to environmental protection requirements, and their ability to carry out large-scale industrial production, and are therefore widely used throughout the world. The main material for the production of plastic doors and windows is compounded polyvinyl chloride (PVC) extruded profiles. With the country's vigorous promotion of plastic doors and windows, the profile companies have gradually entered a mature stage after experiencing rapid growth in China.
According to statistics, in 1986, there were fewer than 20 plastic window profile manufacturers in China and the annual production capacity was less than 100,000 tons. However, the actual sales volume was only 10,000 tons, and almost all of the production equipment and technology were imported from Europe, and the entire industry was at an early stage. Phase; In 1995, the State promoted plastic doors and windows as a new type of chemical building materials, supplemented by policy support, and the industry entered a rapid growth period. By 2002, there were more than 396 manufacturers of plastic window profiles, and its annual production capacity had soared to more than 2.8 million tons. Its sales volume has also increased to 1.2 million tons. The import production line has grown slightly to 26%, and some enterprises have further scaled up. The number of companies with an annual production capacity of more than 10,000 tons has reached 55, accounting for 14% of the total, of which only the top two leading companies accounted for 26.5% of the industry's total capacity. After 2020, the profile industry entered a period of rapid growth. At the same time, production capacity began to concentrate on large-scale enterprises. The company’s investment in production equipment increased and the number of imported equipment increased. Manufacturers paid more attention to product quality, and the level of technology improved steadily. The industry basically entered a mature period.
According to the law of market economy, the life cycle of an industry can be roughly divided into the starting stage, growth stage, maturity stage, and recession stage. The future market condition of China's plastic window profile industry will remain in the mature stage for a long time or will enter the recession stage. issue concerned. Judging from the development experience of foreign plastic window industry, such as Germany's plastic window profile industry has a history of more than 40 years, and China has less than 20 years, so it is still very possible to remain in the mature stage. Another factor that determines whether the industry will decline rapidly is the demand for the industry's products.
In China, plastic doors and windows are among the key chemical building materials promoted by the country. In the Outline of the Tenth Five-Year Plan for the Promotion and Application of National Chemical Building Materials, it is stated that: “By the year 2005, the market share of plastic doors and windows in the construction market for doors and windows nationwide will reach 20%, 2015. Achieve 40%."
As China's overall economy is in a period of rapid development, the demand for plastic windows has continued to grow. Therefore, people inside and outside the industry generally believe that the demand for plastic window and its profile industry will maintain a high growth rate in the long term. In other words, the view that China's plastic window and profile industry will remain in the mature period has been widely recognized.
From the industry data in 2002, it can be seen that, after the profile industry entered a mature stage, although the market demand maintained a high growth rate, the production capacity of production enterprises grew faster, and under the influence of the leverage of market supply and demand, China The growth rate of the plastic window profile industry has fallen, and it has entered the buyer's market. The internal competition in the industry has increased, which has led to a decline in the profitability of the industry and the adjustment of the company's market strategy.
The adjustment strategy is first to maintain the cost leadership of the company. In the plastic window profile industry in the mature stage, due to the stable technology and the homogeneity of the products, the domestic buyer's market is very sensitive to the price. Whether or not the cost can be effectively controlled is the key to whether the company can win the fierce competition. Large-scale enterprises with a certain scale can realize cost leadership earlier, gain greater market share, and then be able to upgrade their equipment, maintain their leading position in cost advantage, and achieve a virtuous circle. This is the effect of economies of scale.
For some small and medium-sized enterprises, it is not as large as a large-scale enterprise in terms of scale, so developing distinctive management is an important approach for the survival and development of enterprises. One is to achieve product differentiation, that is, companies can provide unique products or services in the industry. Such as through the unique product design, technical characteristics, service methods, sales methods, promotional methods to achieve the difference with other products, so that the user's attention to product prices decreased, and pay attention to its characteristic services, in order to gain market share . Doing so can enable companies to avoid positive competition and create advantages in other industries that other companies cannot easily catch up with, thus forming a brand effect and achieving higher profitability. The second is to adopt centralized measures to meet the requirements of specific customer groups, such as focusing on serving one or more larger customers or a certain regional market, and doing intensive operations in this area. Using this means of management can enable enterprises to focus on the use of limited capital, manpower, equipment and other resources in the local market to form a cost advantage and professional excellence in the characteristics of services to win in the competition.
Another business strategy is to open up a bigger market. Such as participating in international competition, so that the company's operational risk is dispersed, so that "the east side of the sunrise sunrise west rain", so that companies suffer from regional competition can be avoided when the heavy hit.
In short, after the full-scale industry has entered a mature stage, companies must not only face product competition, but also more competition in the way of thinking and business strategy. Enterprises should clearly define their position in the industry and establish appropriate operations based on different levels. Strategy, only to cultivate a brand with corporate characteristics, can be invincible in the increasingly fierce market competition.
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