| The existing enterprises, competition within the industry
In recent years China's carpet industry develops fast, benefit from the carpet industry production technology and continuous improvement in the downstream demand market is constantly expanding, the carpet industry in the domestic and international market development situation is very good. Although the financial crisis makes the carpet industry in recent years development speed slowed down slightly, but with the gradually dissipated the rapid development of our national economy and the international financial crisis, China's carpet industry to usher in a good development opportunities. In 2010 China's carpet industry faces new development situation, because of new entrants has increased, the upstream raw material prices continue to rise, leading to lower profits, therefore also the increasingly fierce market competition in China's carpet industry.
Two, the threat of new entrants
The threat of potential entrants may be a new enterprise, may also be a diversification strategy of the original engaged in other industry enterprises, potential entrants will bring new production capacity, and achieved a certain degree of market share.
In a new industry will bring new production capacity, and to obtain a certain market share, which gives the price, cost, and investment ratio of these essential elements of competition pressure. Especially when the new entrants from other markets through diversification strategy to enter the market, they are likely to use the existing capacity and cash flow to reshape the competitive pattern.
In recent years, the demand for the rapid growth of China's carpet, domestic enterprises have to invest in new projects. The carpet industry, threat of new entrants include product innovation, because of its quality advantage, function advantage new carpet products, compared with the traditional products, the competitiveness of small carpet carpet, so new entrants to the industry or more, the threat is relatively large.
Three, the threat of substitutes
Substitute in different ways to play with a product identical or similar effect. Substitute everywhere, but they are often neglected, because they seem to be totally different products and industries. If the threat of substitutes, the profitability of the industry will be affected. Alternative products or services has brought the price cap, which limits the industry profit potential. If an industry is not through the marketing performance, and substitute products by means of distance, its profitability will be affected, the growth potential is often restricted by the.
Substitute not only undermines the industry profits in the stable period, will also reduce the industry can gain profits in boom. In recent years, researchers have emphasized the strategic alternative role, especially in the most significant complementary effect of high-tech industry. When the alternatives to the overall demand for products of an industry, their importance will increase. The most common reason often substitute threat to increase or decrease the technological progress is to create new alternatives, or change in industry product and substitute price.
The traditional multi fingered hand woven carpet for production of carpet wool, silk. Chemical fiber carpet is a new type of flooring materials, it is regarded as the traditional wool carpet alternative development. The sources of raw materials chemical fiber carpet widely, can be mechanized mass production, product prices low, and resistance to insects, easy cleaning, welcomed by the people. A lot of the introduction and development of the chemical fiber carpet production technology in China in eighty, the product quality has reached the level of similar foreign products, for the traditional wool carpet has caused considerable threat.
Four, the ability of suppliers for a supply of sth.
Suppliers often by raising prices or reduce the quality and service means, to put pressure on the downstream industry chain enterprises, in order to extract as much as possible of the industry profits. Powerful suppliers may charge a higher price, define the standard quality or service, or transfer the cost to industry participants, in order to get more value for their. Strong supplier, including labor provider, can squeeze profits from some industries, and these industries can not be the increased cost is transferred to the pricing.
1, on the carpet production enterprises favorable factors:
(1) the carpet production enterprises, especially the leading industry, have a strong brand, brand reputation, corporate image and good reputation, therefore has the abundant intangible assets, these assets become an important bargaining chip carpet production and supplier negotiations.
(2) carpet production enterprises and large market demand, production is large, production with obvious scale effect, is often the main customers of suppliers.
2, on the carpet production enterprises adverse factors:
Estate raw materials several and rising price and promotional competition results, on one hand the ability of carpet production enterprises and consumers for a supply of sth. decreases, decreases on the other hand is the dealer for a supply of sth. ability, the results will inevitably lead to damage to the interests of the carpet industry,
Five, the ability of buyers for a supply of sth.
1, product differentiation, brand switching barriers are low
The carpet industry production enterprises is the standardization of production scale, product differentiation is small, so the consumer brand switching cost is low.
2, the buyer's market, industry product to pile up in excess of requirement
Because the market technical barriers and financial barriers are relatively low, which makes the market into a large number of competitors, the market competition is very fierce.
Based on the above analysis, we can see the product differentiation, brand switching barriers are low, the buyer market brand consumption era coming, this |
