After the hottest market price rise, the terrible

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Market: what is terrible after the rising price tide is the bankruptcy tide

this price rise tide can be said to be the second round of price rise tide after the wave of soaring market years ago. The most terrible thing behind the continuous price rise tide that can not be predicted (in a quiet environment) is the bankruptcy tide. Are you ready

the surge in output results prices that rise and input requirements according to the instructions of the instrument is only the beginning. Many small and medium-sized door and window enterprises will face six major crises, including the shortage of raw materials, environmental protection and capacity reduction, a more complex foreign trade environment, the overseas construction and expansion of powerful enterprises, and unsalable funds and products, which will eventually trigger the tide of bankruptcy of small and medium-sized enterprises

crisis 1: price rise difference

due to the transmission of raw material prices, the atmosphere of price rise has been clearly felt in the market. It is reasonable to say that the rise of raw materials affects every enterprise, and everyone will rise the same. But why is the price rise of small and medium-sized enterprises so different from that of large enterprises

there are three reasons:

1. Large enterprises use futures for raw materials, while small and medium-sized enterprises generally use and buy raw materials now. Due to the large demand for raw materials in large enterprises, it is difficult for a single raw material supplier to meet all its raw material supplies. Therefore, generally, the raw materials of large enterprises are futures. Futures trading can reverse the procedure of spot trading, that is, you can sell without commodities, and you can buy without commodities

the feature of futures trading enables large enterprises to purchase the stable supply of raw materials from raw material suppliers in the coming months before the price rise tide, which greatly reduces the impact of raw material price rise on enterprises; The raw materials of small and medium-sized enterprises are generally purchased first for current use due to their small demand and limited funds, which leads to a weak resistance to the rise in the price of raw materials. The price of raw materials rises significantly, and the price must also rise significantly to meet the production cost

2。 Large enterprises have high added value of raw materials and strong ability to resist the risk of price rise. In the past, large enterprises have mastered the medium and high-end market with advanced technology and high-end manufacturing, and small and medium-sized enterprises can only seize the low-end market with low prices

but for the same product, the profits it brings to the enterprise are different. The reason why high-end products are sold so expensive is that their technology investment, manufacturing process upgrading, brand building and other cost investment account for an important part of their product costs, while the proportion of raw material costs is relatively small, and the rise of raw materials has a small impact on the overall product costs; The product prices of small and medium-sized enterprises are relatively cheap, and the cost of raw materials accounts for a large proportion of their product costs. Therefore, the price of raw materials soared, and their price also soared

3。 Large enterprises have sufficient funds and good reputation. Large enterprises also have great advantages in capital, and the bank reputation is relatively high, so they can have sufficient cash flow to cope with this price rise. On the contrary, most of China's small and medium-sized enterprises rely on bank loans to build factories, and they are also burdened with a huge amount of principal and interest repayment from the bank, which is relatively small in liquidity

therefore, the negative impact of this price rise on small and medium-sized enterprises is very large, which is likely to promote the collapse of small and medium-sized enterprises in advance

crisis 2: shortage of raw materials

foreign raw material manufacturers went on strike, and the Chinese government shut down a large number of small and medium-sized raw material manufacturers due to environmental pressure. Just after the Spring Festival this year, this price rise wind continues to hit. The sharp rise in raw materials is transmitted, and the price rises in all walks of life continue. The market is so cruel that many enterprises say they dare not accept orders now! Don't talk about price in the future. Shortage will be normal. Your supplier has goods for you, which is the greatest success

large enterprises can ensure their stable supply of raw materials by signing long-term supply contracts with suppliers and establishing their own raw material bases through futures. However, it is difficult for small and medium-sized enterprises to ensure the supply of raw materials. On the one hand, raw material suppliers are mainly supplied to large enterprises, on the other hand, small and medium-sized raw material manufacturers are shut down in large numbers, and the rest is difficult to ensure so much demand

in 2017, China will implement stricter environmental protection laws, and the shortage of raw materials for small and medium-sized enterprises will become more serious. In the future, small and medium-sized enterprises will face the crisis of large-scale shutdown or even bankruptcy

crisis 3: environmental protection and capacity reduction

from February 15, the Ministry of environmental protection will go to Beijing, Tianjin, Hebei, Shanxi, Shandong, Henan and other relevant provinces (cities) to carry out special inspections on 2017's leading quarterly air quality. It was revealed that the special inspection was personally led by Minister of environmental protection chenjining and four vice ministers of the first product of the highly active resin compound product family. The inspection team will be stationed locally for up to one month! All regions will once again set off a "wave of shutdown and rectification"

most of China's small and medium-sized enterprises are built by borrowing money from banks with the support of policies a few years ago, and have made a lot of money by virtue of repeated construction and price advantage. However, there are a large number of raw material manufacturers with high pollution and high energy consumption in small and medium-sized enterprises. Due to the overcapacity in recent years and the low operating rate of enterprises, the total annual production capacity of Baling Petrochemical SEBS has been expanded to 20000 tons and 40000 tons respectively, resulting in little profit. It is difficult for them to raise funds to transform their production lines and add environmental protection facilities

now, it is difficult for these enterprises to obtain preferential policies from the government. In the face of pressure from the government, these enterprises have two ways left, either upgrading and transforming into high-tech and high-end manufacturing enterprises, or being merged and reorganized

crisis 4: small enterprises have no hope

large enterprises set up factories abroad not only to avoid anti-dumping, but also to use foreign raw material production, cheap labor, scientific and technological advantages, etc. to improve production capacity, seize foreign markets and obtain broader development space. As some large Chinese enterprises set up factories in Thailand, Vietnam, the United States and other countries, we can see that the capacity of large enterprises to set up factories in foreign countries can meet the needs of foreign markets, and maintain the price and policy advantages for domestic small and medium-sized enterprises with the help of foreign factories

in the future, Chinese enterprises will speed up the steps of building factories abroad, and the United States will implement double anti tax rates, so the survival of export-oriented small and medium-sized enterprises will be more difficult. That is why large enterprises building factories overseas will also bring crisis to small and medium-sized enterprises. Because there is so much demand in the overseas market, it is estimated that the planned capacity of Chinese enterprises to build factories overseas can fully meet the demand of the overseas market, so the market space for production in China and re export to overseas will be smaller and smaller

crisis 5: the capital chain is broken

with the rising price, small and medium-sized enterprises will face the risk of financial difficulties and unsalable products in the future. The reasons are as follows:

1. With the rising price of raw materials, enterprises need to pay more money to buy the same raw materials. For a long time, some small and medium-sized enterprises rely on bank loans to survive. The company has insufficient working capital, and it is difficult to borrow from banks due to the lack of corporate reputation. Financial difficulties are the key factor leading to the tide of enterprise bankruptcy

2。 In the future, small and medium-sized enterprises will face the situation of unsalable products, because most small and medium-sized enterprises win the market by virtue of price advantage. However, after the wave of price rise, small and medium-sized enterprises have increased their prices by a large margin, and the cumulative maximum price rise has reached 45%, while the price rise of large enterprises and foreign brands has remained at about 10%

in other words, the rising price tide has narrowed the price difference between low-end products and medium and high-end products. More and more consumers will give up low-end products and spend a little more money on medium and high-end products when choosing products without price advantage

coupled with foreign anti-dumping, export blockage and other factors, there is a great possibility that small and medium-sized enterprises will be unsalable in the future

to sum up, these five crises threaten the survival status of China's small and medium-sized enterprises, and the tide of enterprise bankruptcy is likely to appear in the near future. It is hoped that the management of small and medium-sized enterprises can see the plight of their enterprises and take the right way to get out of the plight

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