Profit margins again and again, wardrobe business feel "pressure mountain" - Mercedes CLA Forum
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post #1 of 1 Old 02-15-2017, 08:45 PM Thread Starter
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Profit margins again and again, wardrobe business feel "pressure mountain"

At the end of 2016, one of the most stringent "environmental storm" swept the country, Foshan, Guangdong, as home building materials, shut down not up to thousands of enterprises, which gave all the home sounded the alarm, wardrobe enterprises in the development process must Attention to environmental protection, to strengthen investment in environmental protection, but now with the rising costs, all aspects of investment, wardrobe business profit margins again and again, then, how to keep the wardrobe business profit space?
As we all know, 2016 and 2015, environmental storms in Shandong Zibo, Sichuan Jiajiang, Fujian Jinjiang, Jiangxi Gaian each producing areas blowing, only Foshan, because the environmental problems will be closed dozens of home business, the whole Foshan closed a More than a thousand enterprises. Wardrobe companies are also included. In these closed enterprises, some enterprises closed to suspend production for rectification, and some open may not be able to run again. This is all that, placed in front of the wardrobe business is the problem: the investment in environmental protection is growing.
In fact, these years, the so-called wardrobe products "profiteering", has long been in all aspects of the impact, was lost, into a small profit, widowed. In addition to environmental protection makes the wardrobe product "loss of profits", the recent increase in the cost of front-end wardrobe production, but also accelerated the wardrobe product "loss of profits." For example, coal rose 30%, logistics and transportation costs rose nearly 40%, even the final packaging of the wardrobe, carton prices rose by nearly 70% of the gains. It can be seen, 2017, wardrobe product profits will be further production costs "carved up."
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