SMM, 2 Sep: at the "2019 China Wire and Cable Industry Conference" held by the Wire and Cable Branch of the China Electrical Industry Association and Shanghai Cable Research Institute Co., Ltd., Wu Shimin, the wire and cable branch of the China Electrical Industry Association, said that the wire and cable industry has a history of industrial application for more than 300 years and is an important guarantee for maintaining the normal operation of the modern economy and society. The industry has more than 2000 varieties and specifications involving more than 100000. It is one of the largest basic supporting industries. Therefore, a wide range of product uses determine that it has a long industrial life cycle.
The cable industry has now gradually entered a "mature period", and the growth of industrial scale tends to be flat. The average annual growth rate of cable copper conductor output has increased from 12.7% during the 10th five-year Plan period (2000-2005) to 4.7% during the 13th five-year Plan period. And from the overall point of view, the average gross profit of the industry is declining year by year. At present, in the conventional scale product market, more and more shows the specialized scale effect and the efficiency advantage, "small but complete", "medium and complete" I have become more and more difficult to compete with the professional scale of high efficiency and low cost competition. The future manufacturing pattern reflects the trend of specialization based on efficiency.
Therefore, in order to better deal with more changes during the mature period, enterprises have also introduced a lot of countermeasures, including the industrial chain layout based on the industrial chain, in order to obtain the overall competitive advantage. And also focus on tapping the potential market, through investment in new construction, merger and integration and foreign investment, expand the scope of domestic business coverage, give full play to the advantages of domestic and foreign market resources to promote the development of enterprises. At the same time, technology export is regarded as an important way to effectively promote technological innovation and improve the efficiency and output of technological innovation.
At the same time, enterprises should seize the opportunity to carry out low-cost expansion, in order to diversify the way of expansion, no longer limited to new projects or expansion of production, making use of the current industry situation, through acquisitions, mergers or equity participation, the integration of low-cost expansion also tends to be active.
Enterprises should also pay attention to high-quality development, the current high-quality development is not only the general trend of China's economic and social development, but also the current development trend of the cable industry.
Enterprises should also continue to improve efficiency, the most competitive enterprises in the future need to be among the most efficient enterprises in the industry.
Technological innovation and process innovation also play an important role, relying on continuous technological innovation can bring new growth points for enterprises, and in recent years, when the performance competition of new products has turned to price, the importance of process innovation is reflected again. At present, in the market environment of slowing growth, enterprises that can survive beyond the average growth of the industry mainly rely on internal cost capacity.
At the same time, we should pursue the maximization of marginal benefits, because the resources of enterprises are limited, we need to constantly overcome bottlenecks and dynamically adjust and optimize.
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