At present, China's hardware development is still optimistic

Since the barriers to entry into the hardware industry are not high, there are many companies engaged in this industry. The domestic hardware industry has a huge market, but the company is still in a small and scattered state. At present, there is no listed company in the domestic hardware industry. With the closing of some hardware companies, the domestic hardware industry has officially entered the reshuffle period, and large companies with independent research and development capabilities and brand advantages will come to the fore.

In recent years, hardware companies have sprung up everywhere, all over the country. However, due to the old concept of production, many SMEs still remain in the pursuit of quantity, and product quality is difficult to guarantee. The vast majority of hardware companies still mainly focus on small workshop-style shops, with scattered shops and weak brand awareness. This caused the hardware industry to be scattered, chaotic, and small. The old business model is far from being able to adapt to the rapidly growing market situation.

Dealers are starting from the point of view of small-brand products with low prices and easy access to third- and fourth-tier cities. This leads to small differences in hardware products, fierce market competition, and weakening of corporate profits, thus prompting the majority of products to fight prices and fights. service. The vast majority of manufacturers do not have innovative R&D capabilities and continuous development strategies. They just blindly copy and copy. Their product processes and styles are almost the same. The homogenization of the entire market is very serious. The business model is single and conservative, which seriously causes the hardware industry to enter. The vicious competition of prices.

In view of the above problems, hardware companies should actively increase technical equipment updates and product updates, and quickly complete the development of products from low-grade products to high-end products, shifting from price-based to high-quality, high-tech product competition.

With the fierce competition in the hardware industry, the overall profit space of the hardware industry chain is constantly being compressed, and the space for price reduction is shrinking. Therefore, hardware companies should be aware that the price war has now can not enhance their core competitiveness, is not conducive to long-term development of enterprises, enterprises must actively explore a new development path from the root. The hardware industry is still in the development stage, and the market consumption potential remains to be tapped. Enterprises should also increase investment in technology, develop new products with high-tech content, take product differentiation as a long-term plan for enterprise development, and seek new market demands in order to achieve sustainable development of the company.