The company’s annual sales of furniture to create a mahogany plunging illusion

Recently, news reports about the plummeting of the mahogany furniture market have been rumored, and even the mahogany market will face a "crash." The word "crash", which describes the stock market or the property market, is applied to the mahogany market, which is enough to see the attention of the mahogany industry. Looking back at the mahogany furniture market in recent years, after the high temperature, it turned cold, and it warmed up, and then it became colder, especially the price drop in the market in recent months, accompanied by the decline in trading volume. This ups and downs in the mahogany market have their own internal causes.

For many SME owners in the furniture industry, December to January is a hurdle, because every year, the supplier's dunning is tight, the accounts receivable are always in arrears, and the strings of the triangular debt are getting tighter and tighter. Bank borrowing repayments are imminent, and cash is particularly urgent, and the mahogany furniture industry is no exception. Throughout the mahogany industry market, small and medium-sized enterprises have risen rapidly and coexisted with large brand enterprises, and the market layer is uneven. However, the number of branded mahogany furniture enterprises that have real capital, strength, and smooth production and sales is not large, and the proportion in the industry is not large. Therefore, the dynamics of small and medium-sized enterprises directly affect the development of the entire industry.

According to the person in charge of a redwood store: "At the end of this year, the number of visits to our mahogany exhibition hall has been significantly reduced, and the sales volume is also significantly less. We are also helpless in reducing sales. We can only make profits from it, hoping to increase it through small profits. Sales volume, which accelerates the operation of our funds.” Similar companies do not only have this one. Every year, these companies will launch many preferential sales measures. Discounts and price reductions are typical methods. The purpose of this is to do so. In order to alleviate the pressure of funds at the end of the year, the factory will also release the Spring Festival holiday and adjust the funds for the return of furniture models. Waiting for the second year of the Spring Festival, and then raise the price, it seems that this has become the industry practice.

The “returning cold” of the mahogany market in the media reports is closely related to the industry development practices of SMEs. Recently, the so-called mahogany market has “suddenly dropped” and entered the “cold winter”. The national economic background has played a role in fueling the situation. effect. In 2011, the state introduced various policies to regulate the real estate market. Measures such as “New China Eight Articles” and “Restriction Orders” directly inhibited the demand for home purchases. There is an image metaphor. If the furniture is “hair”, the real estate is “skin”, “the skin does not exist, the hair will be attached”? The coldness of the real estate market directly affects the downstream furniture industry sales. For the small and medium-sized enterprises in the mahogany furniture industry, the capital chain is not sufficient, and the bleak sales performance has directly aggravated their “selling” of furniture and withdrawing funds during the year.

The development of any industry needs continuous integration. In the immature redwood industry market, it is also necessary to reshuffle and survive the fittest. According to the person in charge of a certain mahogany brand company, the author said: "This situation has no effect on us, that is, there are not so many people visiting the mall at the end of last year. There are fewer people visiting, but those who really want to buy mahogany will still buy it. From this, we can see that the industry practice of SMEs has little impact on big brands. SMEs must develop and grow. After all, they must get rid of the so-called industry practices and frustrate the market.

For an industry such as mahogany furniture, its development is not mature enough and needs to be improved. In the ever-changing market, whether it is the media, enterprises or consumers, we must rationally and calmly look at the development status of the industry and guide the healthy development of the industry, so as to promote the better development of the industry.

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