Furniture companies face development

The furniture industry is China's traditional industry. With the rapid economic development in recent years, more and more industry companies have embarked on the road to listing. But most of the furniture enterprises in China are still in the mode of manufacturing factories. In order to better keep up with the economic tide, Chinese furniture companies face the problem of urgent need to go public.

At present, most of the risks of furniture companies in China are controlled by dealers. Once the dealers have problems, they may have a huge impact on the development of the enterprise. If enterprises want to achieve rapid expansion, they must rely on the power of capital. For example, a restaurant furniture production line will cost tens of millions of yuan. Furniture companies not only face product competition but also realize comprehensive competition in the industrial chain, and compete with time to absorb Venture capital has become the bottleneck for large-scale furniture companies to achieve industrial upgrading and rapid expansion, so listing is the first choice for furniture companies to break through the current dilemma. Listing can quickly raise funds to solve capital problems, listing can enhance the company's brand, and listing can achieve company expansion.

Furniture industry

Industry insiders pointed out that private equity and venture capital at home and abroad have become more and more concerned about the Chinese furniture industry. In the future, more furniture companies will gain the attention of the capital market. Driven by capital, big fish eat small fish and fast fish eat slow fish. This is an indisputable fact before furniture companies. Capital predators certainly have a positive role in promoting the development of China's furniture industry, but the corporate mentality is also very important: in the end want to use capital to complete great business dreams and realize business value? Or do you want to spend money, cash out and leave, manufacturing Financial bubble? In any case, the capitalization of Chinese furniture companies will increasingly become the focus of the industry. This is an indisputable fact.

According to statistics, in 2009, China's furniture industry bucked the trend and achieved 11.4% growth, with a total industry output value of 650 billion yuan. The rapid development of the industry has led furniture companies to gather companies with an annual output value of hundreds of millions of yuan. With the export tax rebate and the increase in the renminbi reserve ratio, many large furniture companies have begun to change their original development strategies. The Chinese furniture industry has gradually changed from " "World Factory" transforms into "World Market".

In terms of the concept of "world market", it is those companies that have a good reputation and strong sales channels that can achieve a leap in the capital market. However, as far as the development of China's current furniture industry is concerned, although there are many brands in China's furniture industry, there are few brands that can form a clear image in the minds of consumers; Enterprises have just started in the industry; in the process of enterprise management, many enterprises still lack a modern management model, and the boss has the final say.

In short, capital is never an angel, nor is it a savior. Capital is acting in the industry to reshuffle, or to send you to heaven, or to pull you into the ground. The reordering of the industry has just begun, everything is in the choice of the moment, everything will be undecided, and the development of the furniture industry is still in the plan.

Article Source: Furniture Network

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