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Foreign brands plunder the Chinese market with mature business models
Representative brands: TOTO, Kohler, Lejia, Ina, Leyi
"For foreign companies to come to China for development, as long as they bring capital and models, they can. They invest in China, produce sanitary products, and the products are complete in variety and variety; then in marketing, positioning the high-end market, through continuous encroachment, Radiation throughout China, similar to the war of aggression, using Chinese talents, Chinese resources, producing their products, seizing the Chinese market, earning Chinese money, and blocking Chinese companies. This is an economic war, a market. The looting." Talking about the development of China's sanitary ware industry in recent years, especially the rapid acquisition of foreign brands by the market, the industry entrepreneurs are somewhat uneasy.
Before 2003, Kohler led the high-end market of Chinese sanitary ware. During the period of 2003-2007, TOTO sprang up and formed the situation of TOTO, Kohler and American Standard. At present, foreign brands active in the domestic market mainly include Japan's TOTO, Ina, American American Standard, Kohler, Moen, Delda, Hansgrohe, Durawi, Leyi, GROHE, and Spanish. Home, and domestic brands such as Wrigley, sales have reached 1.2 billion yuan, can compete with international brands such as TOTO, the Chinese sanitary ware market is changing the market by individual foreign brands, the competition is increasingly fierce.
It is reported that before entering the Chinese market, these foreign brands have developed more than one hundred years, and the business operation mode has matured. For example, TOTO has a 70% share in Japan, and Kohler has a market share of about 40% in the United States.
“No matter the mode of producing products, the mode of market research, the mode of space, the mode of channel network deployment, the mode of terminal promotion, and the mode of competition with competitors, all are ready-made models, and they are constantly improving models. These systems are supported, just like a healthy human body, these foreign brands are more dynamic."
The production lines of foreign famous brand enterprises are very long and complete in variety, covering high, medium and low-end markets. Due to its brand awareness, consumers have a high degree of recognition of the brand, forming a market blockade for Chinese sanitary ware brands. "For example, TOTO, the price of a low-end toilet terminal is only 600 yuan. If you buy a toilet for 600 yuan, consumers will buy TOTO or a private enterprise? So the ban on the sanitary ware market is very serious."
In 2009, foreign brands accelerated their expansion in the Chinese sanitary ware market.
"China will be transformed from a world factory into a world market. The huge population and rising per capita income level have made many foreign sanitary ware brands optimistic about the Chinese market." Quan Yujie, general manager of marketing of Dunhuang Building Materials Co., Ltd. said.
The international sanitary ware giant has extended its tentacles to the Chinese market, and has also sounded the alarm for some enterprises with weak strength and lack of brand awareness.
National leading brand to force domestic market
Representative enterprises: Wrigley, Faenza, Huida, Siwei, Dongpeng Sanitary Ware, Hengjie, Meijiahua
The development of the sanitary ceramics industry is inseparable from the efforts of domestic sanitary ware enterprises for many years. Especially in the last 10 years, a large number of national sanitary ware brands have emerged and developed gradually.
"Being an international brand in China", this is the latest positioning of Wrigley. Feel free to go to a county-level city in China, you may see the Wrigley store. The industry is also full of confidence in Wrigley, which is considered to be the leader of China's sanitary mass brand. "It is said that the sales of Wrigley in 2008 was about 1.2 billion yuan, and it is developing very well." The reporter contacted Wrigley Chairman Xie Yuerong, who did not deny this. statement. This means that the sales of Wrigley in the domestic market can already compete with TOTO.
Mentioning Wrigley can't help mentioning Huida. Huida has its own advantages. "We Huida, as the representative of the national sanitary ware, shoulders the heavy responsibility of revitalizing the Chinese sanitary ware industry." Wang Yanqing, general manager of Huida Ceramics (Group) Co., Ltd. said. Compared with Wrigley, many people in the industry believe that Huida's foreign trade is doing a better job. Huida and Wrigley, one south and one north, each have their own strengths.
The competition of bathroom hardware is fierce, and the national leading brand is making a contribution to the domestic market.
The continuous development of the sanitary ware industry and the continuous improvement of sanitary ware enterprises, therefore, the international competition is even more severe. The joining of foreign giants has made the Chinese sanitary ware industry face more severe challenges.