Ceramics SMEs face difficulties and break into problems

The turmoil in the ceramic market and the role of various external forces have caused ceramic companies to face the vicissitudes of life and death in recent days. In the cruel operation of market rules, not only the result of the survival of the fittest, but also the difficult process of many companies struggling to support their operations. In this process, ceramic companies are looking for a breakthrough, trying to break the crisis and occupy the market.

At present, small and medium-sized ceramic enterprises face a more difficult situation than the financial crisis. Affected by macro-controls such as real estate, new policies, and purchase restrictions, the end markets such as furniture and cabinets continue to shrink, and external parties encounter EU trade barriers. There are feedback from small and medium-sized ceramics business owners. The entire market order is reduced by at least 20%. At the same time, rising raw material prices, rising equipment and labor costs have also brought a lot of pressure on SMEs.

Affected by various factors, the profits of some small factories in the ceramic sanitary ware industry have been low to historical lows, and there have been cases where orders have not been met. According to informed sources, some factories plan to change hands or shut down some production lines. The bank deposit reserve ratio is not improved, the bank’s moneybags are shrinking, and it is difficult for SMEs to obtain funds from banks; private lending becomes extremely crazy under the premise of economic policy tightening, and interest rates are rising steadily, causing chaos in the private lending market. This undoubtedly tests the viability of small and medium-sized ceramic enterprises.

How SMEs Face Difficulty Breaking Down into Difficulties Recently, the rumors about the “closed tide” in Dongguan, Guangdong Province have spread all over the country. After a few days, there have been reports of SME closures. Everyone is at risk. To this end, the media investigated the crisis expectations caused by rumors of Dongguan's corporate closures.

The survey results showed that Dongguan did not experience a large area of ​​collapse. Although the large-scale collapse did not occur, the statement “more dangerous than the financial crisis” has become the consensus of the industry, and production cuts have become a trend. "The collapse of the closure" rumors of long-term existence, but also facing the danger of fermentation. China's SMEs are an important engine for economic development. Their contribution to domestic GDP is 65%, and the number of jobs created is 80%. As a result, SMEs have been “closed by the tide” and are receiving attention from all walks of life.

For the collective dilemma of small and medium-sized enterprises, the "Investigation Report on the Management of Small Enterprises and the Predicament of Small Businesses" recently published is described in detail. The ** plight of small businesses has not been greatly improved, the majority of small businesses are looking forward to financial support. An official conclusion of this Ministry of Industry before this can confirm each other. The results of the survey show that since 2010, with the changes in the macroeconomic environment, the background of monetary policies such as the continuous increase of interest rates and the increase in the reserve requirement ratio under such circumstances as the increase in costs, the appreciation of the currency, and the uncertain international environment Small and medium-sized enterprises are facing financial pressure and are still tenacious to survive and actively operate.

Jiuzheng Building Materials Co., Ltd. Xiaobian believes that: In this dilemma, if we want to overcome difficulties, it is imperative to carry out a series of reforms within the company to fundamentally gain consumer recognition of its own brand of ceramic products in order to occupy a favorable position in the market. status. Otherwise, it will inevitably suffer the ruthless elimination under the market law operation.