Lack of market demand in 2014 expected the restructuring of the coatings industry

         Moment,China's macroeconomic adjustment and transformation gradually,which led to a weak domestic market demand,lack of effective demand coatings market;addition,the economic environment has undergone a qualitative change,resulting in a series of problems,such as rising raw material prices,labor costs continue to rise,which are constantly severe compression coating corporate profits;coupled with the paint industry to concentrate,low excess capacity,high value-added advantage of being difficult to form,the price war has intensified,paint for small and medium enterprises,is in an extremely tough environment.
         In this economic environment,the traditional model of development is lagging far behind the requirements of the current development of the new economy,the paint industry,the emergence of many problems and contradictions in the development process,is a better description.Therefore,many unfavorable factors and adverse economic circumstances,to paint the survival and development of enterprises posed a severe challenge to how to seek further breakthroughs and development,has become an urgent need to think and solve problems.But in my opinion,why not seek to paint companies like these three industry furniture industry development model it?
         According to Yi Hua Liu Weihong Vice President and Secretary of the Board,said that this cooperation is mainly "to entrust the other two OEM products,and put our own sales channels," to take advantage of the advantages of the three brands of furniture products complementary cooperation,mainly in terms of Yihua filled home improvement and software aspects of children's furniture short board.
         In fact,make a short board,the state legislature walking in the forefront of the industry.Recently,the state legislature acquisition Supe,Auron paint is designed to compensate for the imperfections of the industrial chain or product lines,thereby expanding its market share.But in my opinion,the domestic enterprises are still not suitable for coating the state legislature this model,because the state legislature's acquisition strategy is built on a solid financial strength,strong R&D,brand influence and rich management experience basis,and more importantly,the state legislature has a relatively complete network channels.But for domestic paint companies,we can choose another mode of development,and that is to abandon the original unilateral war thinking,positive change for the consolidation and restructuring of enterprises,and perhaps this is the best strategic choice to break the current impasse.

By Betty