Unbelievable: An order worth 5 million actually brought down more than 10 textile factories?!



For an order of 5 million yuan, the buyer asked 4 trading companies, the trading company asked 8 textile factories, and the textile factory asked 16 raw material suppliers and 16 p…

For an order of 5 million yuan, the buyer asked 4 trading companies, the trading company asked 8 textile factories, and the textile factory asked 16 raw material suppliers and 16 processing plants. Business is not easy to do nowadays. Faced with such There are so many competitors, they are nervous, impatient and bargaining!

Therefore, there is no lowest price, only a lower price. If you don’t give up and don’t worry, find several more companies to negotiate and bargain. . Finally, when the order was received, the price was lowered, profits disappeared, quality was compromised, product quality inspection failed, payment was withheld, and the textile factory went bankrupt.

When doing business, it is okay to make appropriate comparisons, but you cannot lose price, quality, service, and profits just to take orders. . No matter what industry it is, there is no way to survive without profit, and no way to be strong without quality.
In the textile business in 2020, if you cannot hold on to profits, you will be a dead end. If you cannot hold on to prices, you will be a dead end. A low-price price war will be a dead end.

① In the past two years, environmental protection regulations have caused the prices of various raw materials to skyrocket for several rounds. The cost of raw materials for processing plants has increased, and profits are as thin as razor blades. Starting from 2019, the second round of central environmental protection inspections will be launched again, with strict inspections across the country for four years! The situation is even more serious!

② The national tax “replaces business tax with value-added tax”. It turns out that reasonable tax avoidance is illegal. Regular enterprises have to add taxes to costs, and the business tax is raised from 3% to 13%!

③ As all prices rise, labor costs will inevitably increase. Otherwise, labor costs will not be enough for living expenses, and the increase will be about 10%!

In this environment, if a product cannot hold its price and peers engage in vicious price wars, it will be a recipe for death! Do you think you can defeat the other party by just gritting your teeth and not wanting profits, and snatching away customers?

Vicious competition is everywhere, and maintaining quality is king. For manufacturers, small profits but quick turnover is a business method, but in the textile industry, it has evolved into vicious competition with price wars.

Starve to death. For example, in the same area, there are more than 20 textile companies of the same type, and there are more than 20 buyers in need of yarn in the same area. If one textile company secures the buyers of 15 product companies at the lowest price, The remaining 19 textile companies only have 5 opportunities. Those who cannot receive orders will just wait and see. If things go on like this, the market will be disrupted.

Tire yourself to death. Of course, this textile company that received the order at the lowest price was very happy. It worked hard day and night to meet the construction deadline, busy placing orders and arranging delivery.

Behind this seemingly prosperous situation, are the lives of such textile companies really easy? Calculate the accounts at the end of the year. After excluding workers’ wages, rent, water and electricity bills, logistics fees, phone bills, various fines, etc., after working hard for a year, you will only be left with three melons and two dates in the end. You might as well earn it by working for others. So much, why bother?

There is a saying that “what you buy is never as good as what you sell.” In recent times, more and more business leaders have complained that low-price competition has disrupted the normal industry. order. “No matter what kind of product, there will always be products with lower prices. No matter how low the price offered by downstream users is, someone will always take the order. From a production point of view, such a price cannot guarantee profit margins at all. If they can do it, they must be cutting corners on raw materials and processes.” If things continue like this, the healthy development of the textile industry is bound to be threatened.

Cheat the cargo owner. The buyer thought he was getting a big deal, but he didn’t know that he was the one who should cry the most. I often hear complaints from various customers, but little do I know that the cost of raw materials has risen seriously and costs in all aspects remain high. What kind of high-quality plastic can be bought at such a low price? Taking advantage of others ultimately harms one’s own vital interests.

It damages the interests of customers, ruins the reputation of the industry, and causes the public to question the products of the industry. In the end, the only one who suffers the consequences is yourself!

“Steal other people’s orders and cut off your own path!”

Textile companies that take orders at low prices only value immediate profits. , seemingly forced individual choices are endangering the healthy development of the industry as a whole. This business model will not last long. In the end, you will find that it is a dead end, so those textile people who try to destroy their opponents at low prices should think twice before doing so! </p

This article is from the Internet, does not represent 【www.pctextile.com】 position, reproduced please specify the source.https://www.pctextile.com/archives/18327

Author: clsrich

 
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