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Taizhou Union Plastic Mould Co.,Ltd

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Email:sales@tzunionmould.com

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Price War Turns To Science And Technology Competition Mould Industry To Develop Rapidly
Nov 15, 2018

Mold industry after a long - term development, at present in the rise period. In such a stage, the mold enterprises should adopt the development mode, become the major mold enterprises to think actively.

The domestic mold industry is at the low end of the world mold industry, which is related to the low level of science and technology and the continuous price war of the whole industry. If the mold industry wants to develop, it must constantly increase the research and development funds, increase the scientific and technological content, and produce products with core competitiveness. Only by strengthening product research and development can we truly change the current competitive mode

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Why the domestic mold industry has been fighting a price war? At present, there are a lot of enterprises engaged in mold production in China, but the scale is relatively small, which is basically a small workshop mode with very low scientific and technological content. The products produced by small mould enterprises are basically imitations, resulting in more and more homogeneous moulds at the middle and lower end. Mold enterprises are faced with excess capacity, inventory backlog problems. Mold enterprises in order to constantly improve sales, will reduce the price of products. Several mold enterprises have lowered prices, resulting in the whole industry in trouble, enterprises are less and less profit. As profits continue to shrink, companies simply do not have the extra capital for product development.

Long-term price war within the industry will affect the whole industry. China's mold and die enterprises should improve the technological content of products, from the current price war to scientific and technological competition. At present, it is not profitable to simply seize market share, but to share market share. It is believed that after Chinese enterprises change their competitive mode, their production level can be greatly improved, and they can get rid of vicious competition effectively, so that the mold industry can be improved to a higher level.