What is the primary problem facing China's paint industry at present? China National Coatings Industry Association Secretary-General Yue Wang-kun found that after a nonstop visit to the company, he found that the profit margin was small, his profitability was poor, his products were homogenized, and the survival crisis was in sight. Yue Wangkun analyzed the reasons for this situation from the following aspects: First, China's coating companies lacked the strategic thinking based on globalization and conglomeration, and their eyes were always on the domestic market and enterprises, paying attention to immediate interests. There are few groupings of theory and culture to support the growth of the company.
Second, due to the lack of protection of intellectual property rights and the decentralization of technological research, relatively few technological inputs and serious shortage of core technologies. In particular, the research on leading-edge technologies, basic materials, major science and technology projects, and applied technologies lacks the support of social research and development systems and capital.
Third, strategic awareness of strategic issues such as decision-making, information, intellectual property, and standards lags behind. The degree of emphasis on intangible resources lags far behind the industry's development requirements.
The fourth is the lack of risk awareness. Among the investments, there are few risk assessments, blind investment, and serious follow-up; in production and management, there is neither a sense of risk aversion nor a mechanism for crisis management. When problems arise, there are headaches and headaches. In competition, it is impossible to use the law and other means for self-protection against the problems of infringement that occur from time to time and frictions in international trade.
Fifth, due to lack of integrity, insufficient market supervision, and non-standard market, the cost of competition has increased. The phenomenon of false advertising, malicious speculation, counterfeiting, trademark infringement, and lack of short supply are common.
Sixthly, the slow response of the market, in the ever-changing market competition, do not pay attention to information collection and arrangement, do not observe and analyze changes in the market, do not understand the national policy and international rules, that is, do not know change, do not change, not change .
Seventhly, tangible and intangible waste of resources is serious. For example, in technology development, there is less research on basic materials and applied experiments; in terms of resource utilization, on the one hand, products have excess capacity. On the other hand, some important indicators do not meet the requirements. The quality is not high, the serialization is not enough; from the industry point of view, the technology development system is imperfect, and the paint conversion research institutes that are not many have been poorly transformed to meet the needs of small transfer and small production; on environmental protection issues, foreign countries will seriously pollute the environment. The products are transferred to developing countries. However, domestic blind expansion, blind introduction, blind investment, lack of awareness of environmental protection in product structure adjustment, production process, pay attention to the production capacity, output problems, but there is no support technology, the product Homogeneity, environmental governance, and waste of resources have been shelved; packaging, slick, and small packages have become a marketing tool in many companies, and the waste of packaging is also very serious; for information, on the one hand, information costs High and the second is not paying attention to information; for the brand, on the one hand is to invest a lot of capital and human resources. On the other hand do not pay attention to technological crisis, do not even pay attention to integrity of the building, causing significant damage to the brand.
How to change this situation? Yue Wang-kun asked the company to have a strategic vision, development ideas, innovative thinking, and improve the competitiveness of differentiation.
To grasp the changes in the market, we must first understand the market and analyze the market. We must not have keen eyes and we must not understand the market in a down-to-earth manner. This is because the paint market has undergone great changes in recent years, mainly in four aspects: the market for architectural decorative coatings has a trend towards factory development; products are increasingly developing in the direction of marginalization, and the market is also tending towards marginalization. The marriage of product and art, the combination of science and aesthetics has become a trend; construction technology and construction methods are also innovative, more important than ever, and have become an important area.
Yue Wang-kun believes that the fierce competition in the paint industry is caused by its homogenous competition. The homogenization of coating products, the homogenization of coating technologies, and the homogenization of production methods are caused by the blind follow-up of many coating companies. The costs that paint companies need to develop new products are unlimited, and the cost of maintaining a product is limited. A good company can only use 3% to 5% of profits for technology development. The market's demand is unlimited. Therefore, in this situation, companies must find new ways to improve their differentiated competitiveness.
In a sense, paint has two basic functions, one is protective and the other is decorative. If it is extended, it will be additional functions such as antisepsis, insecticide, health, and negative ions. Many companies currently focus only on technical development, and do not pay much attention to the development of decorative performance. Not only in terms of construction, but also in the promotion of the production process, technology development, and marketing, they only pay attention to its protection. Some people say that paint is an industrial garment. It is a matter of concern for the painter to be able to display its decorative effect. In previous years, colorful paints became popular all over the country because it changed the decorative effect and was later eliminated because production technology could not keep up. There are also imitation ceramic paints, which were once popular in the market, but were not settled because of environmental issues. Now there are imitation aluminum alloy, embossed, as soon as everyone comes out to do. But these are often followed by the market, and companies do not have the initiative.
To achieve the highest level of decorative beauty, paint companies have both responsibility and realization. This kind of decorative beauty has been demonstrated in the products of several foreign companies in Europe and Japan. For example, SKK Japan Coatings, the development of its decorative effect, uses many raw materials that people disagree with, such as logs, leaves, straw, reed rods, and rags. Bars, petals, etc. are all used in the paint. What kind of colors and effects you want can be achieved. This is a combination of aesthetics and people's aesthetic taste. In addition, the decorative effect exhibited by the Shanghai Libang Model Room is rare in other markets; again, the floor paint is generally gray, blue, and green, and the touch is almost finished. The effect that others make can be imitation wood, imitate the stone, simply can imitate a series of materials, reach the final ideal decorative effect.
China's paint companies need to look at paints and coatings at a higher level. Paints are not just a product. They should be a science. At the same time, they are still an art. It can reflect all the beauty in the natural world from all aspects. Not a simple word, we must solve this problem by relying on the expansion of production, technology development, and marketing, and finally the concrete construction of painting. To put it simply, during the coating process, the coating equipment must be studied. Whether it is SKK or Nippon, all the decorative effects are inseparable from the equipment. The research on the equipment must be perfect, otherwise it will not reach the end. That kind of effect.
People buy paint nowadays is a model, and when they look good, they can buy it. This is where value is more important than cost. Although the cost has increased, the value you get is always higher than the cost. Do not specifically consider how much the cost is invested. Values ​​include use value, that is, looking at comfort, looking beautiful, appearance is a use value.
The difference in the decorative effect should be transformed into the characteristics of each company in the paint industry and become the differentiation of each company, which may have a place in the market. Some companies are doing, but they do not highlight it. There is also a problem, just come up with a product, has not yet formed a serialization, application experiments did not do, they quickly invested in the market to make money, which is related to quick success.
Differentiation is different from other people's things. It can create new competitive capabilities. Creating lasting differentiation features requires careful planning, that is, strategic planning. From strategy to tactics, from technological processes to products, construction, services, from organizational structure, job setup, to corporate culture, work processes, and rules and regulations all require constant innovation.
In short, innovation must become an eternal theme of the company and become an important task for all departments. In the ever-changing commercial sea, we must grasp the changes in the market, follow the development trend of the market, understand the growing needs of customers, and seek sustainable development ideas and actions.
Innovation must also be rooted in value. In the past, our innovation was to defeat our competitors and we should jump out of this circle in the future, based on new markets and new customer needs.
Second, due to the lack of protection of intellectual property rights and the decentralization of technological research, relatively few technological inputs and serious shortage of core technologies. In particular, the research on leading-edge technologies, basic materials, major science and technology projects, and applied technologies lacks the support of social research and development systems and capital.
Third, strategic awareness of strategic issues such as decision-making, information, intellectual property, and standards lags behind. The degree of emphasis on intangible resources lags far behind the industry's development requirements.
The fourth is the lack of risk awareness. Among the investments, there are few risk assessments, blind investment, and serious follow-up; in production and management, there is neither a sense of risk aversion nor a mechanism for crisis management. When problems arise, there are headaches and headaches. In competition, it is impossible to use the law and other means for self-protection against the problems of infringement that occur from time to time and frictions in international trade.
Fifth, due to lack of integrity, insufficient market supervision, and non-standard market, the cost of competition has increased. The phenomenon of false advertising, malicious speculation, counterfeiting, trademark infringement, and lack of short supply are common.
Sixthly, the slow response of the market, in the ever-changing market competition, do not pay attention to information collection and arrangement, do not observe and analyze changes in the market, do not understand the national policy and international rules, that is, do not know change, do not change, not change .
Seventhly, tangible and intangible waste of resources is serious. For example, in technology development, there is less research on basic materials and applied experiments; in terms of resource utilization, on the one hand, products have excess capacity. On the other hand, some important indicators do not meet the requirements. The quality is not high, the serialization is not enough; from the industry point of view, the technology development system is imperfect, and the paint conversion research institutes that are not many have been poorly transformed to meet the needs of small transfer and small production; on environmental protection issues, foreign countries will seriously pollute the environment. The products are transferred to developing countries. However, domestic blind expansion, blind introduction, blind investment, lack of awareness of environmental protection in product structure adjustment, production process, pay attention to the production capacity, output problems, but there is no support technology, the product Homogeneity, environmental governance, and waste of resources have been shelved; packaging, slick, and small packages have become a marketing tool in many companies, and the waste of packaging is also very serious; for information, on the one hand, information costs High and the second is not paying attention to information; for the brand, on the one hand is to invest a lot of capital and human resources. On the other hand do not pay attention to technological crisis, do not even pay attention to integrity of the building, causing significant damage to the brand.
How to change this situation? Yue Wang-kun asked the company to have a strategic vision, development ideas, innovative thinking, and improve the competitiveness of differentiation.
To grasp the changes in the market, we must first understand the market and analyze the market. We must not have keen eyes and we must not understand the market in a down-to-earth manner. This is because the paint market has undergone great changes in recent years, mainly in four aspects: the market for architectural decorative coatings has a trend towards factory development; products are increasingly developing in the direction of marginalization, and the market is also tending towards marginalization. The marriage of product and art, the combination of science and aesthetics has become a trend; construction technology and construction methods are also innovative, more important than ever, and have become an important area.
Yue Wang-kun believes that the fierce competition in the paint industry is caused by its homogenous competition. The homogenization of coating products, the homogenization of coating technologies, and the homogenization of production methods are caused by the blind follow-up of many coating companies. The costs that paint companies need to develop new products are unlimited, and the cost of maintaining a product is limited. A good company can only use 3% to 5% of profits for technology development. The market's demand is unlimited. Therefore, in this situation, companies must find new ways to improve their differentiated competitiveness.
In a sense, paint has two basic functions, one is protective and the other is decorative. If it is extended, it will be additional functions such as antisepsis, insecticide, health, and negative ions. Many companies currently focus only on technical development, and do not pay much attention to the development of decorative performance. Not only in terms of construction, but also in the promotion of the production process, technology development, and marketing, they only pay attention to its protection. Some people say that paint is an industrial garment. It is a matter of concern for the painter to be able to display its decorative effect. In previous years, colorful paints became popular all over the country because it changed the decorative effect and was later eliminated because production technology could not keep up. There are also imitation ceramic paints, which were once popular in the market, but were not settled because of environmental issues. Now there are imitation aluminum alloy, embossed, as soon as everyone comes out to do. But these are often followed by the market, and companies do not have the initiative.
To achieve the highest level of decorative beauty, paint companies have both responsibility and realization. This kind of decorative beauty has been demonstrated in the products of several foreign companies in Europe and Japan. For example, SKK Japan Coatings, the development of its decorative effect, uses many raw materials that people disagree with, such as logs, leaves, straw, reed rods, and rags. Bars, petals, etc. are all used in the paint. What kind of colors and effects you want can be achieved. This is a combination of aesthetics and people's aesthetic taste. In addition, the decorative effect exhibited by the Shanghai Libang Model Room is rare in other markets; again, the floor paint is generally gray, blue, and green, and the touch is almost finished. The effect that others make can be imitation wood, imitate the stone, simply can imitate a series of materials, reach the final ideal decorative effect.
China's paint companies need to look at paints and coatings at a higher level. Paints are not just a product. They should be a science. At the same time, they are still an art. It can reflect all the beauty in the natural world from all aspects. Not a simple word, we must solve this problem by relying on the expansion of production, technology development, and marketing, and finally the concrete construction of painting. To put it simply, during the coating process, the coating equipment must be studied. Whether it is SKK or Nippon, all the decorative effects are inseparable from the equipment. The research on the equipment must be perfect, otherwise it will not reach the end. That kind of effect.
People buy paint nowadays is a model, and when they look good, they can buy it. This is where value is more important than cost. Although the cost has increased, the value you get is always higher than the cost. Do not specifically consider how much the cost is invested. Values ​​include use value, that is, looking at comfort, looking beautiful, appearance is a use value.
The difference in the decorative effect should be transformed into the characteristics of each company in the paint industry and become the differentiation of each company, which may have a place in the market. Some companies are doing, but they do not highlight it. There is also a problem, just come up with a product, has not yet formed a serialization, application experiments did not do, they quickly invested in the market to make money, which is related to quick success.
Differentiation is different from other people's things. It can create new competitive capabilities. Creating lasting differentiation features requires careful planning, that is, strategic planning. From strategy to tactics, from technological processes to products, construction, services, from organizational structure, job setup, to corporate culture, work processes, and rules and regulations all require constant innovation.
In short, innovation must become an eternal theme of the company and become an important task for all departments. In the ever-changing commercial sea, we must grasp the changes in the market, follow the development trend of the market, understand the growing needs of customers, and seek sustainable development ideas and actions.
Innovation must also be rooted in value. In the past, our innovation was to defeat our competitors and we should jump out of this circle in the future, based on new markets and new customer needs.
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