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Foundry business K brand development road

 PAGE \* MERGEFORMAT 21 Foundry business K brand development road China’s reform and opening up nearly a decade, advances in the manufacturing sector for all to see, in the Yangtze River Delta, Pearl River Delta and the Mainland and other areas in order to OEM or ODM two kinds of OEM business model to large numbers of enterprises mainly export orders grew up, just 10 years to achieve from the workshop to the world’s factory hand shift completed primitive accumulation. I now took office a triangle cleaning apparatus enterprises (with K Company on behalf of the name), it falls outside the camp leader in the development of enterprises in the course of eleven years, its main category of a clean home appliances and commercial aircraft business has been machine extended to around the world, with the well-known brands in the world to carry out ODM cooperation and annual sales of tens of millions of units belonging to the industry’s oldest manufacturers. The past decade has been vigorous development of K-enterprises, and other similar companies with export foundry in 2006, met a lot of the development of resistance and confusion. First, costs are rising continuously: in 2006 rising raw material prices, with copper as a representative of the current international price of copper has exceeded 8000 U.S. dollars / ton, compared with the level of the beginning of 2000 U.S. dollars has quadrupled, while the oil and electricity energy prices have continued to increase. Rising energy prices and raw materials are the corresponding appreciation of the renminbi, corporate profitability has dropped significantly. Second, the export policy change: The central authorities ‘shirts economy’ surplus generated by gradually changing the attitude, the export tax rebate policy contraction, labor, minimum wage increase, the result has further reduced the profits of export enterprises. Third, the international market the wind: At present, K enterprises are mainly exported to Europe and the

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