"Strong funds, low-cost cash out" Recently, driving or taking a car through Fuzhou-Xiamen Expressway, you will notice that on the billboards along the line, "Lian Tianhong" uses such words to stimulate the eye. Many people speculate that even Tianhong is going to completely clear the warehouse and declare bankruptcy. Even Tianhong’s respondent’s response is: This is just a self-rescue operation of the company, and nothing more. Whether it is "bankruptcy speculation" or "self-rescue declaration", but the "funded, low-cost cash" advertising, reveals the message: the classical furniture industry is still in a weak, stagnant development. How do companies accumulate energy in the predicament, weather the winter, wait for the arrival of spring? How can the government and relevant departments work together to help enterprises transform and upgrade? These have become the focus of industry and society. Low-cost cash, with a view to revitalizing the glory of the sky, is a large-scale classical furniture company. Before the industry suffered a cold spell, the company had more than 5,000 production workers and opened hundreds of exhibition halls or directly operated stores across the country. Large-scale production capacity, fast-expanding direct-sale stores, unconventional advertising words, and overwhelming advertising investment have greatly increased the popularity of Liantianhong, and it is very popular in the classical furniture industry. "Mahogany furniture production needs to hoard raw materials. When the market is good, raw materials are expensive. Nowadays, the market is not very good, the price of raw materials has decreased, and the purchasing power has decreased. Even if you want to throw at the cost, there is no one. Buy.†A person in charge of the Fujian Classical Furniture Association said that the risk of the mahogany furniture industry is here. If there is no certain economic strength, the capital turnover will not be able to sell at a low price. Since September last year, due to the global economic downturn and the European debt crisis, the mahogany furniture industry has entered a downturn. In the first two or three months, the price of mahogany raw materials and furniture was only 10% to 15%, which is still within the normal range. Subsequently, terminal sales experienced a significant decline, in stark contrast to the market in September 2011 before the market. At the beginning of this year, many small enterprises and small workshops stopped production or sold at a loss due to the backlog of stocks and the pressure of capital and cost. According to local industry estimates, more than 600 small-scale furniture companies in Xianyou County are facing a crisis of survival and are in a state of suspension. Even medium or large enterprises are also affected by this cold wave. Even Tianhong is an example. On June 20 this year, even Tianhong took the "self-rescue action": overnight, dozens of large-scale outdoor advertisements beside Fuzhou-Xiamen Expressway were changed to "unfair, low-cost" The price is cashed out." The company's top management announced that this is a new strategy launched by Tianhong after the production cuts and more than 30% of the direct stores are closed. “Chicken-wing wood furniture has dropped from more than 300 yuan to more than 150 yuan per kilogram!†When it was launched, the magnitude of the decline was surprising, and it was not a small controversy in the industry. What is the actual effect of the price reduction action? “The spot mahogany furniture and handicrafts in the Tianhonghong directly operated stores have almost been snapped up. The price reduction operation will be nearly 100 million yuan on the 10th day.†In the Tianhonghong Beijing West Fourth Ring Red Star store, customer Ms. Li When you come here, you can make a mark while flipping through the album. The furniture in the living room, study, dining room and bedroom are all purchased, worth millions of yuan. The person in charge of the company announced that the self-rescue operation successfully solved the capital turnover dilemma, and also laid a solid economic foundation for the next step of European furniture and the launch of a century-old environmental protection home improvement. Strong and strong, in order to become bigger and stronger "low-cost action can only be anxious, not the direction of industry development." Xianyou County Arts and Crafts Director, Fujian Province Classical Furniture Industry Association Secretary-General Lin Aixin said, "only through integration, do big Strong, in order to cope with market changes." In fact, local visionary entrepreneurs have already taken action. In May of this year, a joint-stock company with a registered capital of 100 million yuan was established in Xianyou. This “Qianxian Culture and Art Co., Ltd.†was jointly funded by five mahogany furniture enterprises and Golden Eagle Guarantee Company, including the glory of Tangtou Town, Tangjie, Tianwaitian, Chengzhongcheng and Zhumu Renjia. The company occupies an area of ​​40 mu and was transformed from the site of a large shoe factory. The exhibition hall, clubhouse and related supporting facilities are currently under construction. The era of “single fights and small fights†has passed. Only with teamwork and cooperation, can we have strong strength in technology research and development, response to the market and good after-sales service.†The company convener Chen Shaohui said that they will be in business mode. Innovate, organize production according to the modern enterprise system and standardization mode, build a brand, and open flagship stores in key cities across the country, engaged in design, decoration, sales, repurchase and other related businesses, with an annual production value of more than 500 million yuan, a tax benefit of 7500 More than 10,000 yuan. "Strong and strong, and the development of the group, aiming at strengthening the economic strength, engaging in research and development, branding and market expansion." Lin Aixin said that this is only a form of effective integration. In fact, the Xianyou classical furniture industry has also appeared. The form of integration is “strong, weak, big and smallâ€. The “Name Yimingju†company, led by Luyi Company, is such an integrated enterprise. It acquires itself through small mergers and acquisitions, small businesses, and cooperates with some powerful affiliated factories to place orders and package sales. “Refining products and dividing labor and cooperation is not only conducive to ensuring product quality, but also avoiding competitive price and vicious competition. This should be the right direction for the development of the industry.†Lin Aixin said that government departments and industry associations are taking measures to encourage enterprises to jointly The development of the group. Regulatory norms, promote transformation and upgrading As the “City of Classical Furniture in Chinaâ€, the classical craft furniture industry in Xianyou County has developed rapidly. From 2006 to 2011, the output value has increased from 500 million yuan to 16 billion yuan, and the manufacturers have more than 1,000 manufacturers. It has grown to more than 2,600, and the number of employees has grown from more than 20,000 to 120,000. Xianyou has become China's largest woodcarving production base and the main producer of precious mahogany furniture. In the face of market weakness, how will the government and industry associations act? “The county government attaches great importance to the issues of corporate civilized management, talent cultivation, tax administration, brand recommendation, trademark declaration, quality supervision, and industry self-discipline since the beginning of this year. Conducting research and forming various "implementation opinions", "implementation measures", and "implementation plans" will be implemented soon after soliciting opinions from the society and enterprises." Lin Aixin said. At the same time, the relevant departments focused on building a production trading platform. The China Classical Furniture Expo Hall in the Xianyou Craft Park has been completed and put into use. At present, it is preparing for the national mahogany furniture dealer conference, classical furniture forum and exposition. In the further expansion of the "Xian Zuo" brand influence, expand sales channels. “The current market weakness has a greater impact on small businesses, but it has little impact on enterprises above designated size.†Statistics from the Xianyou County Economic and Trade Bureau show that the output value of 84 enterprises above designated size in the county reached 0.69 billion in January-July. Yuan, a year-on-year increase of 55.1%. According to this analysis, Lin Aixin said that the transformation and upgrading of SMEs is imperative. To this end, the quality supervision department of Putian City took multiple measures to promote the 19 classical furniture enterprises to declare the 2012 Fujian famous brand products, and guide 13 enterprises to pass the ISO9001 quality management system, environmental management system, occupational health system certification, etc., and accelerate the wood carving of Fujian Province. Classical Furniture Product Quality Inspection Center (Xianyou) Baoquan Industrial Park 2,100 square meters of experimental room decoration and laboratory inspection and testing equipment procurement, installation, and further enhance the quality and technical support of classical furniture products. It is understood that the "General Technical Conditions for National Redwood Furniture" (ie, the "New National Standard" of Hongmu), which was formulated by the Fujian Classical Furniture Association, has been approved by the AQSIQ and the National Standardization Administration Committee and will be formally implemented. The relevant experts said: "This is the first Chinese traditional hardwood furniture standard. As a mandatory standard, its implementation will increase the regulation of industrial enterprises, and will also protect corporate interests and protect consumer rights and promote mahogany furniture. In the benign development of the industry, it plays an active role.†“New National Standard†requires all mahogany products to have product identity information, such as product specifications. In this regard, Huang Fuhua, president of the Fujian Classical Furniture Association, said that the association is taking the lead in drafting a number of initiatives to guide enterprises to regulate operations and self-discipline innovation. According to reports, the association will take the lead in setting up industry R&D institutions, organizing elite forces, tackling commonalities and key technologies involved in industrial development, and “selling†the developed special products to different enterprises as sales of patented products. Practice the internal strength, ready to go. "I believe that in the near future, mahogany furniture will usher in a new spring." The industry is full of confidence.
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