China's furniture industry faces dilemma

The furniture industry has always been closely related to the lives of ordinary people. With the introduction of the US fiscal deficit reduction policy, the credit rating of European sovereign countries has been lowered, and the implementation of domestic real estate purchase restrictions, the furniture industry is facing the dilemma of falling foreign trade orders and domestic orders, and office and student furniture are due to rigid demand. Become a new bright spot in development.

Foreign trade orders met cold and began to move to the domestic market

Founded in 1992, Ningbo Dyne St. Mark Furniture Co., Ltd. is located in Beilun Dagang Industrial City, Ningbo. It is mainly engaged in the production of finished furniture and semi-finished products. The relevant person in charge of the foreign trade department of the company told the reporter that some foreign trade customers of the company temporarily stopped order purchase and were in a wait-and-see state, and the company's original strategy of preparing to expand its foreign market was also stranded. “Now the main focus is on the domestic market, and foreign orders can only be made in one order.”

The larger foreign trade enterprises have begun to actively adjust their direction. Ningbo Fubang Furniture Co., Ltd., located in Dagang Industrial City, is a leading enterprise in the furniture industry in Beilun District, mainly for customers in Europe and America. Wang Junmin, manager of the company's management department, told reporters that the furniture industry itself is labor-intensive, but as the cost of raw materials and labor continues to rise, the production costs of enterprises continue to increase, while orders in Europe and the United States decline, and the exchange rate of the renminbi continues to rise. "Because of the long production cycle of furniture, it is necessary to prepare for foreign exchange rate changes and cost increases in advance to avoid the risk of unprofitable and even one single loss." Wang Junmin said.

Since 2010, Fubon Furniture has formulated a five-year plan, gradually shifting from foreign trade to domestic sales, expanding its influence through national franchise stores and specialty stores, and attracting customers through wholesale discounts and foreign trade single-price sales. I have my own "Greensburg" brand and hope to achieve half of foreign trade and domestic sales in 2015.

The furniture market is arrogant, and dealers operate like thin ice.

In the new century building materials market in Beilun District, furniture sales are mainly concentrated in the Ogilvy Furniture Pavilion established last year. This is also the largest furniture distribution store in Beilun District. It operates Ou Rui, Long Zewei and other brand furniture, and the production area is mostly in Guangdong. At the entrance of the furniture hall, the banner of “Anniversary 20 million Concessions” was hung, and it took a month to see the date. In the museum, the reporter saw that whether it is a bed, a sofa or a dressing table, all furniture items can be found here.

Shi Binglei, sales manager of Aomeili Furniture Museum, is busy counting goods. He told reporters that they provide one-stop sales services, but the business is still not very satisfactory. The lowest monthly turnover is only 200,000, and the highest is only 400,000.

The dealers who are in trouble are not the minority. In the second floor of the famous building market in the old building materials market, there are dozens of furniture dealerships in large and small sizes. The reporters walked around and found that only the salespersons were chatting. Lin Rainbow, a salesperson of Haodi Furniture, has been working here for nearly 2 years. She told reporters that Haodi Furniture is a Sichuan famous brand product, but even so, the sales amount is only 10,000 yuan per month, and the highest is not the highest. Will exceed 80,000 yuan. "The 11 bosses here are not ready to do business because they have no business, but because they have already paid a year's rent, some bosses simply put the furniture here as a warehouse." She pointed to the opposite Sanjiang furniture. According to Lin Caihong, Sanjiang Furniture was also taken care of by her, and currently only serves as a warehouse. The reporter saw in the business hall of Sanjiang Furniture that many furniture had accumulated a thin layer of ash.

Office and student furniture enterprises are developing well due to the rigid needs of customers.

Compared with the influence of ordinary furniture enterprises, office and student furniture enterprises have developed well due to their rigid needs. Ningbo Daxie Kangtai Office Furniture Factory specializes in the production of office furniture. It was established in 2001 with an annual output value of about 5 million. Chen Bo, general manager of the company, told reporters that because enterprises need to change office furniture regularly, they are rigid demand. Although domestic purchasing power has declined, their business has not been greatly affected.

Ningbo Zhiheng Furniture Co., Ltd. is a foreign trade furniture enterprise specializing in the production of student tables and chairs. Although it was just established at the beginning of the year, the sales volume has been very stable. The head of the company's technical department told reporters that the student desk and chair procurement season is generally a few months before the start of school, generally used for school replacement teaching facilities. Although the credit crisis in Europe and the United States has cut government fiscal expenditures, the necessary investment in public facilities has also led to a steady increase in their sales.

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