Financial Crisis Brings New Opportunities for Glass Industry Adjustment

To build confidence, overcome difficulties, and overcome confidence through the crisis is a powerful weapon to cope with the current world economic turmoil and financial crisis. Enterprises must rely on confidence to stabilize market expectations and rely on confidence to tide over difficulties. The once-in-a-century financial crisis puts forward higher requirements for corporate leaders. Instead of thinking in terms of conventional thinking, we must clearly grasp market changes and carefully plan development strategies. At present, we must pay particular attention to the four key factors of raw materials, technology, market and finance.

Reduce production insured prices, speed up sales, and return funds The building materials industry, like the real estate industry, is an industry that relies heavily on funds. Many small and medium-sized enterprises operate under the bank lending model. Once money is tightened, it will inevitably affect the cash of these enterprises. flow. At present, reducing production insured prices and accelerating sales have become the common choice of many glass companies. The restrictive measures of production for some large glass companies have been introduced one after another. More and more small and medium-sized glass companies can't stand the pressure to stop production. In view of the fact that glass prices have fallen, some companies have set the lowest price and restricted the sales price of glass in order to obtain good benefits. It is necessary to strengthen the withdrawal and flow of funds. Export-oriented glass companies should pay attention to the prevention of foreign exchange export risk. According to the other party's credit status, do the corresponding export credit insurance; to new customers to pay the money and delivery. Glass companies in the domestic market must also guard against the risk of capital withdrawals, and must prevent the precipitation of capital and accelerate the flow.

Unswervingly "going out" and actively looking for blank points "Going out" has become an inevitable choice for companies to seek better development in response to the financial crisis. Although the financial crisis will not hurt the current industry. However, if the mechanism of short-term credit in the United States cannot be started soon, the consumption of the United States will continue to shrink, which will have a major impact on China's export market. This storm has made it possible for us glass companies to “go out” better. Because the rapid decline in the value of global companies provides an important opportunity for acquisitions, creating conditions for strengthening internal management and reducing costs. At the same time, after the storm's baptism, the real value of overseas assets will gradually show up. At this time, our overseas investment may be worth the money, which brings opportunities for powerful glass companies in China.

Encourage the reorganization of advantageous companies and mergers and acquisitions. The disadvantages of corporate restructuring will not only save the disadvantaged companies, but also enlarge and strengthen the advantageous enterprises. Mergers and acquisitions have a great relationship with the glass market. The lower the glass market is, the more favorable it is for mergers and acquisitions, and the merger and reorganization of the company becomes a hot spot in the industry, which can accelerate the reshuffling and integration of the market.

Adjust the structure, continue to innovate At present, China's glass deep processing rate is only 30%, while the world average of about 55%, developed countries reach 65% to 85%. The value-added rate after processing is 2.5 times that of the original film in China and 5 times that in the developed countries. Therefore, there is a large gap between deep processing rate and processing depth. All of these provide glass companies with a vast market space. Especially for safety glass and energy-saving glass, the annual growth rate is more than 30%. The financial turmoil has brought new opportunities for China's glass industry structural adjustment. Therefore, to cope with the better development of the financial crisis, it is necessary to adjust the industrial structure, save energy and reduce emissions, and eliminate high-polluting and high-consumption enterprises.