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    Home > Coatings News > Paints and Coatings Market > The diversified development of wallpaper industry must be the medicine for the disease

    The diversified development of wallpaper industry must be the medicine for the disease

    • Last Update: 2021-01-27
    • Source: Internet
    • Author: User
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    China Paint Network
    News: Home industry insiders said that the diversification strategy for enterprises with a deep foundation has a greater advantage, and will present positive feedback on the scale of performance growth, but the need for enterprises in addition to the foundation, but also have a good talent, technology and channels and other aspects of strong support. On the wallpaper enterprise diversification and specialization of the debate, in recent years in a number of home industry forum exchanges are very warm. Most business leaders believe that diversification strategies are not suitable for all wallpaper companies. In order to occupy a place in the wallpaper industry, not only to choose the platform development model, but also to meet the needs of the market, the drug, dare to innovate, promote market diversification, only in this way to win the market, access to consumer recognition and favor.
    that diversify must have sufficient resources and strength, and already have an absolute dominant position in the main business sector, enough resources to support the expansion of new areas and make it a new profit growth point."
    the success of implementing a diversified business strategy has a lot to do with the industry in which the enterprise is located. Generally speaking, if the technical structure of an industry is convergent, that is, the industry products are composed of many different kinds of technology, then the industry's enterprises are not suitable for diversification and more suitable for professional management; If the technical structure of an industry is discrete, i.e. the technology of the industry's products can be used in more product areas, then the industry's enterprises are more suitable for diversification.
    the ability of enterprises to demonstrate what they "can do" and their market position to indicate what they "should do", the combined analysis of the two can guide us in choosing a diversified business strategy. The position of an enterprise in the industry market (expressed in market growth rate) and the state of enterprise capability are available. As far as a business is concerned, it is always in a quadrant of four quadrants. Companies in different quadrants have different business strategies: first quadrant companies, the market growth rate of existing industries is positive, and the ability of enterprises in the industry is strong or leading position. At this time, enterprises should take the strategy of specialization as the first choice, in order to give full play to the competitive advantage, consolidate and expand the enterprise's leading position in the industry; Second quadrant of enterprises, the existing industry market growth rate is positive, and the enterprise in the industry's competitiveness weakened or declining position. The third quadrant of enterprises, the existing industry market growth rate is negative, in the recession stage, and enterprises in the industry's ability to weaken or decline in status.
    on the current emergence of these diversified strategies, there are market analysis because there is no real monopoly of wallpaper enterprises occupy market share, for enterprises to enter the diversified market there is still an opportunity.
    For the diversified development of the wallpaper industry, there are industry veterans said that this is a future development trend, wallpaper enterprises to similar areas of circulation, can greatly improve the overall competitiveness of enterprises in a short period of time, enrich product lines, but also can help enterprises to improve the ability to resist risks, can be said to be "put eggs in different baskets." "In the wallpaper industry, product lines are becoming more diversified, which can help companies gain a foothold in the overall market. At the same time, extending the tentacles to other industries also eliminates the disadvantages of homogenized competition.
    wallpaper companies enter other industries, how can they compete with industry veterans and stand out from the crowd? This is a question that is widely considered in the industry. Some wallpaper enterprises do their own curtain fabrics, carpets, etc. , already have a soft chain, soft products as long as in this chain to add a project. In the industry already has a reputation of enterprises in the cross-border advantages are first reflected in the channel. Because the company itself has formed the brand and sales channels and logistics system, other products can share this system, thus saving the "brand promotion, channel construction" value costs, can achieve more with less.
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