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Tootoo.com: Yongkang City Under Challenges of China's E

发布时间:2018-12-03 编辑:admin



BEIJING, Oct. 9 /Xinhua-PRNewswire/ -- China's third generation online business-to-business (B2B) platform Tootoo.com ( http://www/tootoo.com ) analyses the future of China's 新浪财经electric tools industry, with Yongkang City as a case study. As one of the most important suppliers in the world, the electric tools industry has suffered great pressure since the beginning of 2008 under rising cost of materials. According to Tootoo.com, the pressure of the industry comes mainly from three areas:

(Logo: /uploads/allimg/180930/20180930133602412b5wbcfou40128.jpg )

Firstly, uncertainties in both domestic and foreign market have made enterprises losing their directions in developing strategies. Some of them believe that they would even lose less if they choose to shut down. Secondly, the impact of global economic downslide originated by the American sub prime crisis is starting to hit the electric tools

( http://www.tootoo.com/buy-electric_tool/ ) industry, with itAAAAport oriented nature. Thirdly, China's monetary policy and raising cost of labor have taken effect on the hardware ( http://news.tootoo.com/Industry_Supplies/Hardware_Tools/ ) industry also.

China's Yongkang city, with its important presence in the world electric tools supplying market, is one of the main manufacturers of electric tools ( http://www.tootoo.com/w-Industrial_Supplies/ ) in China. Yongkang's electric tools have price advantage around the world because of the availability of cheap materials. However, the fast increasing price of raw materials has also hit the electric tool industry of Yongkang. Industry supplies information in Tootoo.com shows that the main materials of electric tools are copper, iron and aluminium, with prices of all three increased significantly from 2003. In order to gain profit, manufactures have to transfer the cost to their clients and increase the price, which in turn reduces the number of orders, with some even getting no orders.

This current situation is challenging but fortunately, most manufacturers and managers are still putting product quality in the first place. Many enterprises are paying more attention on innovation of productAAAAAtending brand advertising and building strategies with new competitive spirit. They invest more on research and development on their products and are moving away from competition of price to compete base on quality and brand.

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