The third aspect is the impact of macro-control on the industry. Peng Hongbin is expected next year the total market will not have much growth, competition is a zero-sum concept. Only the industry's overall integration can seize the initiative, before doing marketing and brand operation of the company, must be upstream to the reverse integration, the former control of resources must control the network to the downstream, to vertical integration. Fourth, Peng Hongbin that the industry is not an enterprise market share of more than 10%, so from the marketing perspective,WPC (Wood Plastic Composite) Flooring Advantages it is a discrete industry, active in the market, there are about 1000 to 2000 companies, to the end of next year 70% of the brand will disappear,
the market competition will determine the operation of next year's industry. Industry integration is a vertical one is horizontal, there are two types of integration, one is the industrial capital, one is the financial capital. Boloni has an advantage in the bathroom kitchen, financial capital to enter the industry is to provide a complete home solutions, the future industry is likely to have a home based program based on lifestyle demands, such as Lenovo Holdings to participate in Boloni and Del, regardless of Boloni or Del, how to put a whole in composite wood floorsTogether occupy the main share of the home, which is an industry home program integration.
Wood flooring industry after 10 years of development, the industry is quite mature, and now has passed the development of the industry, into a mature stage. Peng Hongbin introduced last year, wood flooring sales in China is almost 150 million square meters, so he reasoned in 2006, must be a ;price war;, the market will decline in high-end products 30%,decorative exterior wall cladding especially high-end brands , But the product itself is not differentiated, its profit margins will be significantly reduced. The next year's competition is mainly based on ;price war;, cost-effective competition. Globalization of the industry should be a lot of business, a lot of brands to do the popular market, part of the small businesses,