Small Profits Is The Way To Keep Right Aluminum Door And Window Enterprises Need Practical Development

- Mar 07, 2019-

Electricity shortage, land shortage, shortage of migrant workers and the increase in the cost of environmental protection, raw materials and government services all show that China's economy is in a stage where the cost of essential factors is rising sharply. In addition, the increasing competition of enterprise globalization has led to the end of the profiteering era in many industries and the advent of the era of low profits.

"Low Profit Times" Urge the Cultivation of Core Competitiveness

In the current aluminum door and window market, "the era of huge profits has gone away and the era of small profits has come" has become a recognized fact for every aluminum door and window person.  The development of aluminum door and window enterprises has also been affected to a certain extent in the market where the economic environment is sluggish and the market turmoil is increasing.  At present, more and more aluminum door and window enterprises begin to seek the direction to break out of the current situation. For aluminum door and window enterprises, breaking out of the current situation is not easy. The key still needs to return to the essential work.

Some people in the industry pointed out that small profits are the norm in a gradually mature industry. Profits of an enterprise are not earned by huge profits, but are accumulated through numerous small profits, which is the so-called economies of scale.  Judging from the current signs, the aluminum door and window industry is stepping forward step by step to the era of low profits.  And this is also in line with the current embarrassing development situation of aluminum door and window enterprises.

At present, more and more aluminum door and window enterprises are starting to wage a "price war", but in fact the strategy of "price war" is no longer sustainable, and aluminum door and window enterprises urgently need to cultivate their core competitiveness.  Specifically, the "quality" improvement of products and services of aluminum door and window enterprises is even more important, and only relying on brand improvement is competitive improvement.  Consumers' pursuit of products focuses on the practicality and cost performance of products in addition to fashion personality. When consumers' eyes are on this piece, aluminum door and window enterprises should target this market. In addition to designing the style of products into the style that consumers like, they also need to maximize the practicability of products.

Aluminum doors and windows enterprises should pay attention to the cost performance of their products.

From the perspective of consumers of aluminum doors and windows, products with high cost performance will always be the choice of consumers.  In the face of the rampant price war in the aluminum door and window market, aluminum door and window enterprises must adhere to themselves and always produce high-quality and high-quality products.  Because when consumers choose to buy aluminum doors and windows products, they are more inclined to choose products with high quality and high cost performance in addition to preferential prices.  With the increasing awareness of green environmental protection, many consumers also said that price advantage is no longer the only purchase standard, and green and personalized products are the first choice.

However, the cost-performance ratio is not fixed; it can be changed by changing the performance or price.  For example, today's electronic goods and information products, with the progress of science and technology, the performance of electronic goods is rising rapidly. However, due to the improvement of manufacturing level and the decrease of cost, the prices of the same type of products are continuously falling, resulting in the improvement of cost performance.

Therefore, aluminum door and window enterprises should strive to produce high-priced products so as to obtain real benefits for consumers before they can win the market and realize development.  On the other hand, the current competition of aluminum door and window enterprises is no longer simply the competition of aluminum door and window products. In the environment of multi-level competition such as marketing mode and brand image, the test of aluminum door and window enterprises is no longer a one-sided strength, but a comprehensive strength contest. Therefore, building high cost-effective products that rely on the essence of products will surely become the key point for enterprises to form core competitiveness. The premise for enterprises to form differentiated advantages is also the key point for them to open up the market.  The "profit era" is not a special time. On the contrary, the "low profit" is exactly the true face of economic life and the performance of industry maturity.  It is one of the basic laws of development for an enterprise or industry to enter the average profit stage from the high profit stage and then enter the low profit stage.  In this environment, it is the dream of every entrepreneur to excavate the blue sea for aluminum door and window enterprises.  However, facts have proved that any piece of blue sea will be quickly reddened after it appears. The blue sea has always been a temporary "surprising" phenomenon, and small profits are the real "right way" for aluminum door and window enterprises.