Elements of Packaging Enterprise Development (Continued)

Although competitors can quickly imitate products produced by a company, it is difficult to imitate their brand image. Because the brand image is based on the quality of the products it produces, the level of service it provides, as well as the company’s reputation, policies, and the power of marketing activities that are built year after year, long-term accumulation, such as Ford Steam, IBM computers, Tong Ren Tang. Traditional Chinese medicine, permanent brand bicycles, etc. have been betting on a consistent brand image for many years and have formed a deep impression in the minds of consumers. For a company to develop rapidly, it must cultivate its own brand. Therefore, packaging companies must attach great importance to product quality, in the choice of materials, origin, and technical excellence; continue to innovate in product design, the pursuit of diversification, convenience and scientific; to have a flexible strategy of marketing, promotion and public relations We must have advertising strategies; we must have the courage to be good at winning in the competition; we must constantly innovate, launch new brands, and innovate brands.
Fourth, the implementation of low-cost strategy Low-cost is a relative concept, refers to an enterprise because of its labor, raw materials or production technology process, management, trading, and other aspects of the lower cost, so the same product in the market sales than other manufacturers of products Competitively priced. In the fierce market competition, manufacturers with low-cost advantages can beat competitors by reducing prices, so as to eventually increase market share and increase operating income. In the case of stable market conditions, they can be cost-effective when sold at the same price. Manufacturers will have more profits than other manufacturers. At the same time, low-cost companies can better withstand the market turmoil brought about by economic fluctuations, and companies have strong survivability and stability. Looking at the domestic and foreign companies, most of the major breakthroughs in the international expansion are in the low-cost aspect.
China's packaging companies should pay attention to the following points when using low-cost strategies. First, they should grasp theories and laws of low-cost expansion, give full play to the advantages of cost-competitiveness brought about by specialization and large-scale production, and pay attention to this model. Risks: First, any crisis in the industrial chain will affect other links, resulting in a glorious and enduring loss. The second is that changes in production technology or the emergence of new technologies may invalidate past equipment investment or product production experience and give new entrants an opportunity. Third, when the market is saturated, the production and sales volume will be reduced, the cost advantage will be weakened, and the strategy will be difficult to sustain. Second, apart from using the lowest-cost labor force as much as possible, the reduction in management costs is an important factor. According to statistics, in the total cost of the enterprise, management costs account for 53.09%, procurement costs account for 21.09%, production costs account for 14.18%, and sales costs account for 11.64%. Therefore, starting from the management cost to reduce the total cost of the company has become a major breakthrough. Third, when implementing low-cost strategies, select talents with international perspectives and strategic execution capabilities. This is because in a low-cost expansion, involving complex quality factors such as different quality standards, different consumption environments, environmental protection requirements, and anti-dumping, only under the management of high-quality talent can effectively avoid possible risks and maximize the possibility of acquiring this strategy. The benefits and benefits.
V. Leading Technology If a low-cost strategy is a “stepping stone” for a company to enter the international market, then its own leading technology is the only weapon for a company to achieve equal status with the multinational giants and long-term international market competition. After researching the relatively successful domestic enterprises, Zhang Weiying thought: Institutional innovation is the main method and successful experience in China's reform and opening up over the past 20 years, but the lack of technological innovation will be difficult to support the long-term development of the company, especially the successful expansion in the international market.
Take the success of China's Haier Group refrigerator technology as an example. In 1988, Haier formulated its own "brand strategy," and its unique content is the idea of ​​"recovering from difficulties first," that is, entering the developed countries and regions first, and changing and improving itself through the strictest requirements of the developed countries. It forced its own technical level to reach the level of a world-class company and created a brand name. Later, it entered the developing countries and regions with the tendency of building a high house and rapidly occupied the market. In 1990, Haier Refrigerator passed the UL certification of the United States, and subsequently passed the German TUV, VDE, GS, Europe's CE, EM, Canada's ESA, the Middle East's SSA, Australia's SAA and other international certifications. Every time passed a certification, Haier International The understanding of first-class technical quality requirements is further deepened, and the technical level of products is further upgraded. At the same time, Haier hired several foreign experts to set up a joint venture company and established extensive cooperation with many research institutes and universities both at home and abroad. Constantly improve Haier's level of design, mold design, energy saving, noise reduction and other new technologies, new materials and new network control. In the second half of 1998, it received more than 300 patents, developed more than 100 new products, and produced 42 technical achievements. Through the implementation of this technological innovation strategy, Haier's refrigerator technology has surpassed the international advanced level so far and has the competitiveness of the world market. Thanks to advanced technology and reliable quality, Haier’s product prices, even if kept above average, can be accepted by consumers. Its product sales revenue has rapidly increased from 16.2 billion yuan in 1998 to 40.6 billion yuan in 2000. The market advantage brought by technological innovation is evident in the speed of development.
In order to achieve rapid development, packaging companies in China must speed up innovation and reforms, upgrade technology, integrate quality products with high quality and low price into the international market, open up new markets, and strive to increase exports. China's packaging companies have developed rapidly, but there is still a big gap compared with foreign advanced technologies. Therefore, we must rely on introducing, digesting, and attracting new technologies, constantly improving the technological content of products, promoting new technologies to transform traditional industries, and optimizing product mix. We must consider the problems and select projects in the world's large markets; we must adhere to a high starting point for technology. , occupy a high starting point of the market, otherwise it is difficult to be invincible in market competition. Therefore, packaging companies should step up efforts to establish a product innovation system, develop green products, adjust product structure, and use technology to create market intelligence. (Finish)