"More difficult than during the financial crisis"
"Compared with the beginning of the financial crisis, the difficulties we encountered were greater." Huang Fennan, director of the Shunde Longjiang Economic Promotion Bureau, complained when he spoke with reporters.
When the international financial crisis broke out in 2008, the Longjiang furniture industry did have a crisis in the first half of the year, but in the second half of the year it achieved a strong rebound, which made Longjiang people very proud. But since October 2010, Longjiang furniture companies vaguely found something wrong. "Many high-end and high-end products are difficult to sell," Huang Fennan said. At present, various factors at home and abroad are not conducive to the development of Longjiang furniture industry.
Zhang Zhidong, chairman of Longtou Furniture Material City, also revealed to reporters that some bosses around him did not even earn 30,000 yuan a month. It can be seen that the difficulties faced by Longjiang furniture enterprises today.
According to reports, since the sales of furniture companies have a great relationship with real estate, with the introduction of relevant national measures to regulate and control real estate, Longjiang furniture companies have also been greatly affected. In addition, affected by the global situation, Longjiang furniture exports are also restricted. What makes the furniture industry in Longjiang even more difficult is that a group of new furniture companies in China have begun to show their heads. Nowadays, Chengdu, Jiangxi Nankang, Shantou and other new furniture industry gathering places are beginning to exert their strength, and the furniture manufacturing industry is showing a flowering situation all over the country.
"Fortunately, the furniture industry has a clear understanding of this." Huang Fennan told reporters that in the survey conducted by the Longjiang Economic Promotion Bureau, entrepreneurs generally said that now product sales have declined, and more should be done from improving product quality and promotion. Brand influence starts instead of fighting cheap and price wars as before.
Nearly a thousand companies need to undergo technological transformation
Through research, Huang Fennan has confidence in the future development of the Longjiang furniture industry. He said that it is not possible for Longjiang Furniture to develop as before, and doing a good job will be an important part of whether Longjiang Furniture can continue to maintain its dominant position.
It is understood that Longjiang has more than 2,700 furniture manufacturing enterprises. This number looks terrifying, but in fact, it is filled with many small businesses like small family workshops, which not only have high energy consumption but also very poor product quality. "Improving the entry threshold and eliminating a batch is an inevitable choice." Huang Fennan said.
To this end, Longjiang decided to launch a furniture enterprise access system, hoping to improve the quality of the furniture industry from the source. After the implementation of the system, enterprises with a small scale, large energy consumption and low product quality in Longjiang Town will be eliminated if they cannot improve their strength through technological transformation. "One-third of the existing furniture manufacturing enterprises in Longjiang, that is, close to 1,000 companies, need to make changes, otherwise they will be eliminated." Huang Fennan said, of course, this improvement is not a one-off, companies that do not meet the standards need to come up Three-year technical upgrading plan, to do a good job of upgrading the company according to the plan.
The launch of the Longjiang furniture enterprise access system has also received the support of most people in the industry. "Longjiang furniture now needs quality rather than quantity," said Chen Xing, chairman of Shunde Zhengqin Furniture Manufacturing Co., Ltd., and brand development is the next step for Longjiang furniture industry.
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