'The main contradictions in our society have been translated into the contradiction between the growing needs of a better life for the people and unbalanced development of an imbalance.'
The important conclusion of this report is tantamount to a fervent expectation for Chinese enterprises that have shouldered the historical mission of restructuring and upgrading.
In the first three quarters of 2017, China's macro economy showed a warming in the industries, a warming manufacturing sector and a positive foreign trade improvement. This has given people good anticipation of a steady and healthy development of the economic downturn.
To dream come true depends on whether China's manufacturing industry can achieve a key leap forward to the global middle and high-end industrial chain.
China's home appliance industry called the highest degree of marketization, participation in the global competition, the earliest manufacturing representatives.
From October 1 to October 2017, China's 11th Golden Week delivered the most brilliant economic survey in history: the national retail and catering enterprises achieved sales of about 1.5 trillion yuan, and their average daily sales grew more than that of last year 10.3%. In the traditional sales season appliance industry has continued this year's decline, according to Orville cloud (AVC) authoritative data show that September 27-October 3, the domestic first-tier cities offline home appliance retail market In addition to purifiers, the market scale of all products showed a different rate of decline compared with the same period of last year, and the decline rate of most categories was even above 10%.
Some people attributed it to the real estate market this year, two drastic changes, but also as the saturation of the home appliance market and the end of the rapid growth period, but the deeper reason is that the global market size, capacity of the Chinese home appliance industry is experiencing long The pain of transition.
Since last year, a dark horse from the market quickly dash out, shines, this year is a masterpiece frequently.
This is the young TCL white appliances July sales data show that TCL refrigerator and washing machine sales increased 24.7% and 93.2% respectively compared with the previous period 618. TCL white sales of 25.52 million, a year-on-year increase of 259% .
This downturn in the appliance market to lay a key cardiotonics, but also leave a huge suspense: TCL white what rely on in a short time the sudden emergence of? China's manufacturing sector downturn, reshape brilliant what inspiration?
Glory and pain
October 16, TCL brand documentary second "line" debut CCTV-1 "big country brand", focused on showing TCL's dazzling achievements in the international market, the achievements in the field of technology research and development. The protagonist is the head Li Dongsheng, this time He led a multi-national group with multi-media, home appliances and communications and the top three in the global market.
But 36 years ago, when Li Dongsheng, a university graduate, was working as a technician in a small home-based workshop, China's appliance market, which had just started its operation, was ruled almost exclusively by foreign brands from Japan, South Korea, Europe and the United States.
At that time, China was still in a shortage of economy. The newly emerged color TV refrigerator washing machines in cities just came in all kinds of imported products - a symbol of fashionable appearance, superior performance and reliable quality.
This situation lasted until the mid-to-late 1990s.
Chinese home appliances people are at the lowest end of the world's industrial chain. Starting from the OEM (raw material processing), they boldly introduce and absorb western advanced management, technology and capital. Based on the inherent needs of Chinese consumers, they are trying their best to innovate in imitation In the end, the middle and high-end of the industrial chain moved closer together. Eventually, based on the comparative advantage of low labor cost, strong manufacturing capability and scale expansion, the initial Chinese home appliance brand was successfully established and a beautiful Made in China turn around.
With the vigorous development of the home appliance industry, the upper reaches of the supporting system is gradually becoming more and more plump. The company has transformed itself into the entire design and manufacture of the complete machine from raw materials processing, delivery on a single basis, scale to victory and cost first, Technical strength, keen market insight and efficient and reliable production capacity for the entire plant to provide a mature supporting solutions.
This not only ensures that the Chinese home appliance has long dominated the domestic market, but also promoted it as a main force in making the global market dominated by China.
According to the "Report on Current Status and Outlook of Home Appliance Industry" released by Korea Electronics and Information Industry Association on October 5, the global production of major home appliance products was 75,284 million units this year, while the number of products made in China was as high as 42.31 million units Overall 56.2%.
In 2010, China's manufacturing output surpassed that of the United States, officially crowned the world's manufacturing kingdom.
That is, from that moment on, a new crisis is quietly hitting China's home appliances and even the entire manufacturing industry.
New siege
As early as 2011, the Chinese home appliance sector, firmly in the leading position in the global market, came up with the voice that in the face of the gradual end of the industry's rapid growth, as the pace of technological advancement accelerates, consumer demand for home appliances will change from ' Since the beginning of the 'shift to' buy well ', although the scale of manufacturing made in China has been established as a global leader, but with the United States and Europe, Japan and South Korea and other well-known home appliances companies in the original core technology gap remains obvious in some areas even expanded In the event of a technical revolution and an escalation of consumption, China's manufacturing kingdom will be seriously shaken by its lack of foundation.
As a result, the sense of crisis and mission of transformation and upgrading has become an important tone for formulating the "Twelfth Five-Year Development Plan for Chinese Household Appliances." This was quite far-sighted at the time.
Regrettably, due to the fact that the dividend period for the rapid growth of home appliances in China was not over yet, the development logic of the king of size and the speed of development was still prevailing. The prevalence of cottageism and the vicious competition marked by the price war occurred from time to time. As a whole, the R & Failed to pay enough attention to the transformation and upgrading, and eventually paid a high price.
This problem is universal in the manufacturing industry in China and so far it deserves reflection.
In the past inertia, with the decline of the labor force era, the rise of the middle class and emerging consumer groups, the global escalation of the era, as well as the outbreak of new technology revolution, the decline in profits, the successful foreign brand counterattack, lack of business innovation And other problems roaring, coupled with the West to return to industrialization, the rise of emerging markets, China's home appliance industry and the entire manufacturing industry is facing the danger of "internal and external difficulties", the urgent need to find a solution to the transformation and upgrading.
In addition to falling into the dilemma of China's home appliance industry falling into continuous decline in output value profits, due to the lack of core technologies and brand weakness, we must face the torment of a large number of middle-class and emerging consumer groups to rejoin the foreign brands.
Some data is quite tiring of the world's manufacturing kingdom: for example, China made 70% of the world's mobile phones, 80% of air conditioners, 91% of personal computers, but the productivity of only 1/4 in Western developed countries; another example of 2015 World Brand Lab Among the Top 500 Global Brands released by China, 31 were China, accounting for only 6%. For another example, among the 20 top 20 R & D investment in 2015, Samsung is the second in the world with a market value of 14.1 billion U.S. dollars and the first in the world, while China's auto industry has so far not mastered 20 % Core component technology.
The global manufacturing kingdom had to transform and upgrade to deal with the crisis moment, China can once again play a daring pioneer appliance?
TCL white counter-attack
The rise of TCL White is known as the 'speed and passion' in the appliance industry.
In 2013, TCL Group planned to set up a TCL appliance (Hefei) Industrial Park with an investment of RMB7 billion, marking TCL's launch of an offensive in the field of white electricity. In October 2014, when the Industrial Park was put into operation, Li Dongsheng set up a "3553" Target, expect TCL white business within three years to become the industry's top five, five years into the industry's top three.
TCL white dream was some people ridicule as daydream.However, doubts and fears did not stop the rapid rise of TCL white electricity in 2016, the domestic ice-washing market is still in an entirely state of slowdown.Industry online data show , Domestic sales of refrigerators in the first half of 2016 were 25.41 million units, down 6.2% from the same period of last year while the domestic shipments of 18.998 million units of the washing machine industry, though increasing by 4.3% over the same period of last year, led to overcapacity and capacity utilization of only 69 %.
According to the sales volume of TCL Group in July 2016, the sales volume of TCL refrigerators and washing machine products increased by 24.7% and 93.2% respectively over the same period of last year, and the market expansion momentum is very rapid.
What is the secret behind the gratifying performance?
Xi Lei, general manager of TCL White Goods Division R & D Center Xi Lei said: 'Our strategy is to adhere to the good products, to provide users with reliable and needed products.
China's home appliance industry the next major opportunities and challenges intertwined: pay more attention to consumer experience and personalized consumer spending '80 after 'and '90 after' will become the main consumer. At the same time, '50 after 'as a reform and opening up The main beneficiaries, the first generation of wealthy retirees, will open up new segments.
China's home appliance industry has undergone a tremendous change in the upgrading of its consumption structure - a networked, personalized and diversified consumer era has arrived.
This requires that all household electrical appliance enterprises to take advantage of the wave of intelligent Internet, from low-end manufacturing to high-end manufacturing change from low-end staff manufacturing to production automation change from price war to value war, through restructuring and upgrading to reshape the product and brand .
TCL pollution-free washing machine series and integrated inverter air-cooled refrigerator series is the masterpiece of this innovative drive upgrade, no-waste technology and integrated inverter air-cooled technology are the industry's first to solve many pain points in use, available after the market Consumer and industry is widely recognized.
This is also evidenced by the recent "consumer advocacy" program broadcast by CCTV-2, a technology that has truly solved the industry's longstanding problem of secondary pollution of laundry and cross-contamination of clothing.
At the same time, pollution-free technology has won the China National Technical Certification and a number of international patents, as well as the China Household Electrical Appliances Research Institute in conjunction with the Beijing Light Alliance Certification Center issued the first feature of the appliance industry certification and 'pollution-free features washing machine' certification.
In this year's IFA show in Germany, TCL refrigerator inverter air-cooled one of the two innovative technologies won the "annual results of technological innovation," confirms the strength of big country brands.
Li Dongsheng said that 'indomitable courage' and 'continuous innovation' are the driving forces driving TCL, behind which is the conversion of a large state power leader into industry, their love for consumers and their faith in the global rise of China's manufacturing.
