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To improve the profitability of the textile machinery industry, we must avoid these six traps!
Release date: [2018/10/29]  Read total of [888] times

1. Pursue performance growth and ignore profit growth

Some companies are often very concerned about how many scales, how much capacity, how much sales, but when they understand the core issue of profit, they have shook their heads again and again, and even 3% of profits have not even reached the edge of losses.


However, there are some enterprises in China, holding the infinite pursuit of sales, and slamming advertising investment, the result of the capital chain has been interrupted, and it has died down. This kind of sales, which only look at the rising sales, do not pay attention to profits, and often do a lot of things, but in the end they crash down...


2, the lack of services, take away profits

The quality service of many companies is just a scorpion. Once they call to find the service personnel, they immediately reply unclear and don't know. This matter has nothing to do with me, especially in the machinery industry.


Some enterprises may lack the corresponding training and supervision. Some employees even think that doing service work is a low-level job. This kind of mentality and concept leads to a large number of customers losing service due to poor service, and the decline in sales and profits. It becomes inevitable.


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3, employees perfunctory things, eat off profits

Some employees have developed a style of muddy, and they have nothing to do with suspicion. The dealers call to replenish the goods. No one is in charge. The salesmen of the investment are not willing to go out to run the business because many of the newspaper’s accommodation travel expenses. Delayed reporting, although the company is in the industry, for this reason, a large number of dealers are lost.


However, such management is not good, and the losses caused by internal consumption will affect the market and partners, and the impact will hinder the healthy development of the company.


4, product defects, give up profits

Many enterprise products are of good quality, but they ignore some easy-to-detect details. For the machinery industry, because of the details, the repurchase rate is reduced, causing trouble for the purchaser, and the losses are completely avoidable.


5, arbitrarily launch a price war, burn off profits

Market economy launching price war is a common business practice, but many companies have turned tactical behavior into daily behavior, long-term advertising bombing, price diving, so continue the above behavior, driving sales, the company has fallen into such a kind The circle of vicious circle can't extricate itself. Every time I see the high sales expenses of the financial statements, and the less and less profits, even the losses are at a loss.


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6, inventory backlog, swallowing profits

Many companies have good sales and profit conditions, but because the products have obvious off-season seasons, they bring a lot of inventory, and the indigestible stocks take up a lot of money and cannot be put into re-production.


This kind of profit is actually just on the books. In order to digest the stock, it is cheap to sell at any cost. Even so, there is still a lot of backlog inventory that cannot be digested. Whether the production and demand, the product itself is marketable, affects the profitability of the company.


All these kinds of enterprises, the profits of enterprises are getting less and less, and the coming of the off-season is even worse, and enterprises are facing unprecedented tests and sufferings. The core of the enterprise is profit, and the pursuit of others is the end of the market. How to improve profitability is the core issue we should think about.

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Changzhou Fubon Chemical Fiber Machinery Factory mainly produces Polypropylene spinning machine, Polypropylene FDY Spinning Machine, FDY Spinning Machine, Polyester FDY Spinning Machine, Polypropylene spinning machine, Polyester FDY Production Line,  Nylon FDY Spinning Machine, Spandex Spinning Machine, Spandex Equipment, Spinning Parts, Dacron Small Testing Machine, PP Small Testing Machine,  Polypropylene spinning machine.