International metal giants keep a close eye Chinese market is a challenge or opportunity

Recently, the China International Hardware Fair in Shanghai New International Expo Center closing. It is reported that this exhibition, a large-scale overseas exhibition hardware brand products, Investment castings many hardware manufacturers turned to the international market, China, to come to China looking for business cooperation and development of producers, agents increasing.
International metal giants keep a close eye Chinese market

Professional manufacturer with the U.S. Fire Escape is one of steady resistance to the U.S. Fire Escape professional manufacturer with stable resistance (Werner) President and CEO WilliamT.Allen William Allen to accept the author interview on the show, said the next three 5 years the company will vigorously develop the Chinese market and to tap the pan-Asian market as a starting point. China and the Pan Asian market will become stable resistance to future new profit growth point. Stable resistance to the United States (Werner) is a company with 80 years of history of the American brand, the world's annual output of about 650 million units ladders, annual sales of over $ 500 million, is the world's number one manufacturer and supplier of Fire Escape. In times of financial crisis, annual revenue growth rate remained at 10%, at the level of the industry better.

The concept of strategy with ladder safety

WilliamT.Allen William Allen expressed the steady resistance in the author's localization strategy in China may be able to have some reference to the role of Chinese companies. "Before entering the Chinese market, stable resistance to do a full investigation, but also the failure of a large number of case studies to understand the new market in the end what kind of products, so acclimatized to as little as possible to commit some mistakes while to the right place expectations put on the Chinese market, China is a special market, at the beginning of the incoming one to two years, stable resistance in no hurry to expand rapidly in China's market share, we do not want to eat a fat one, we wish to use the ladder to the Chinese concept of the safe use of ladders, and then select the part of the market segments such as power, Investment casting petrochemical, telecommunications, and the subway the future, China will also consider steady-resistant plant or buy, "William Allen further said electric power, transportation, telecommunications and other institutions will become the major products to customers, while the company's products to quickly enter the market to be driven by government policy.

I understand that the Chinese market, the main staircase with about 80 to 90% of bamboo and wood, in terms of security at a low level, and steady resistance to the research team found that the Chinese ladder with a potential capacity of no less than the market billions of dollars . Stable resistance to Yan Cheng, director of the Asia-Pacific region, said to the author, 'short-term stability of resistance to most of the products will continue to enter the Chinese market through imports. This is bound to increase in logistics costs. With the increased performance, the company will consider future production and R & D department will transfer to China. '

Both challenges and opportunities

For a long time, China's hardware industry are based on the export trade of small and medium enterprises. The economic strength and firm size is very limited; In addition, industry product homogeneity, low-level duplication status has not improved. Most enterprise funds have been used in production, for the enterprise, product and brand promotion can be said to be 'powerless'. With international brands enter the Chinese market, the competition will undoubtedly intensify. Although the Chinese hardware enterprises are facing severe challenges, but there are also opportunities. The challenge is increased competition will result in some business failures, and soon to be eliminated, but the opportunity lies in international hardware companies can learn advanced management methods, to the local hardware business to a certain extent, be enhanced.