Not just the huge economic benefits brought about by the rapid development of Chinese decking industry behind, followed by pressure produced by the industry. Raw material prices, increased personnel costs and other factors resulting in production costs continue to increase. decking manufacturer’s profits continue to be “squeezed”, which is a lot of decking companies are facing a major problem. Then Zenmeyangzuo to ensure that the quality of the same case, the decking enterprise with low profit or even negative profit rescue it? Planned implementation of cost control.
Industry experts believe that to solve the industry’s low-margin cost control is the key. There is no such understanding is to distinguish between the strength of the awareness of a decking business costs touchstone. Depend for their success is cost control key. Many of putting the cart before the phenomenon in the decking business management, one of the most prominent to the number of cost control. A lot of decking companies in the reimbursement issue strict control, strict to the point to be added!Veranda Composite Decking
Second, we must increase revenue, increase profits, must first be fully prepared, questioned some of the basic mode of operation of the business. The first is the cost accounting system. You what system, or simply to documents exist shoebox yard, cost accounting system for all enterprises are very much the same, are the actual revenues and expenditures, budget control, and then draw the difference between the two, and expect to discover opportunities for improvement.
Finally, a little movement minds it is not difficult to see that this data is useless. For example, you found that enterprises in the labor overspent budget raw materials as well as savings. What kind of information you have to use it? Can be said that almost no sense, because they only record of historical performance only. Preoccupied with the difference between your monthly income to disguise millions of dollars a year in unnecessary expenditures from undeveloped. Management noted that the money almost at your fingertips.Balcony Composite Decking
Currently more than 70 dealers from the deck to the wood industry. So the gap is large compared with other building materials products throughout the decking industry, the decking dealer’s margin. Example, furniture, general rate increase of 1.6 to 1.8, a high of more than 2, solid wood furniture for more than 3, but in the composite decking industry, distributors square meters of gross margin of only 15 to 20. Investment, profit margins, fierce competition, are not proportional to the input-output, cost a sharp, rapid growth, but it is highly uncertain market prospects, dealers difficult to make money, business investment is also difficult, industry toward bewildering.
Low industry profit margins enterprise or dealer must take advantage of low-cost way to develop the market. In this context, to buy network marketing gradually emerges, is being more and more concerned about the enterprise. From enterprise feedback information, many enterprises have tasted the sweetness of the mode of operation of these new channels.
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