“We compete on a burning platform.†Yesterday, a person with a state-controlled electronics company admitted to the reporter of the “First Financial Daily†that in the first quarter of this year, the mobile phone industry accelerated its upgrading to intelligence and the competition was extremely fierce. The macroeconomic environment was again Bad, mobile phone companies generally do not do well.
According to the latest statistics from the National Bureau of Statistics, the profits of state-owned enterprises entered the downward path from January to February of this year. In the industrial enterprises above designated size, the profits of computer, communications, and other electronic equipment manufacturing industries have dropped by 40.8%.
The person in charge of a domestic mobile phone company admitted that "the situation is almost the same." He said that since the beginning of this year, the European debt crisis and other factors have caused China's mobile phone exports to suffer a heavy blow. The company's mobile phone export volume has dropped by 20% to 30% year-on-year.
The domestic mobile phone market is in a transitional period. Apple, Samsung, HTC and other brands account for a relatively large area in the smart machine sector, and the share of domestic brands is eroded. In the traditional functional mobile phone field, state-owned enterprises have also been hit by the cottage machine. "The cottage does not have to pay taxes, we are a formal taxpayer, the market competition environment is poor." The person in charge sighed.
While sales are shrinking, costs are rising, mainly due to labor costs. The person in charge said that since the beginning of this year the labor costs of factories in the coastal areas have increased by 20% year-on-year. With the transfer of industries and the advancement of urbanization, many migrant workers can find jobs at their doorsteps. Even if their wages are lower than the cost of the coastal areas, their cost of living is low. Therefore, wages must be raised to retain migrant workers.
The days of state-owned computer companies are also bad. A senior official of a large state-owned electronics company told this newspaper that this has a certain relationship with the increase in labor and material costs. In order to build a harmonious society, the state needs to increase the wages of workers. Workers returning home during the Spring Festival this year are not willing to return to the Shenzhen factory unless they raise their pay.
Raw material costs have also risen. Affected by the flood in Thailand, the cost of computer hard disks increased by 200-300 yuan at the end of last year, and the cost of hard disks accounted for about 5% to 10% of the overall cost of computers. So far, hard drive costs have dropped slightly.
The top executive also speculated that industry profits fell by 40% in the first two months of this year and may also be related to the overall situation last year. He said employees’ year-end double pay and bonuses are usually paid the following year. If the profit is good in the current year, the cost will be provided in the current year; if the profit is not good in the current year, this expense will not be accrued for the year and will directly affect the profit situation in the next year.
"The situation in 2011 was not ideal." The high-level executive said that because of the whole assembly line of the global hard drive in Thailand, Thailand's flooding in the second half of last year affected upstream and downstream shipments, making domestic hard disk components and computer complete machines. Sales have decreased. In addition, the European debt crisis has also weakened the demand for computers. Therefore, it is estimated that many of the company's 2011 employees’ double pay and bonuses are directly drawn from the 2012 accounts.
According to the latest statistics from the National Bureau of Statistics, the profits of state-owned enterprises entered the downward path from January to February of this year. In the industrial enterprises above designated size, the profits of computer, communications, and other electronic equipment manufacturing industries have dropped by 40.8%.
The person in charge of a domestic mobile phone company admitted that "the situation is almost the same." He said that since the beginning of this year, the European debt crisis and other factors have caused China's mobile phone exports to suffer a heavy blow. The company's mobile phone export volume has dropped by 20% to 30% year-on-year.
The domestic mobile phone market is in a transitional period. Apple, Samsung, HTC and other brands account for a relatively large area in the smart machine sector, and the share of domestic brands is eroded. In the traditional functional mobile phone field, state-owned enterprises have also been hit by the cottage machine. "The cottage does not have to pay taxes, we are a formal taxpayer, the market competition environment is poor." The person in charge sighed.
While sales are shrinking, costs are rising, mainly due to labor costs. The person in charge said that since the beginning of this year the labor costs of factories in the coastal areas have increased by 20% year-on-year. With the transfer of industries and the advancement of urbanization, many migrant workers can find jobs at their doorsteps. Even if their wages are lower than the cost of the coastal areas, their cost of living is low. Therefore, wages must be raised to retain migrant workers.
The days of state-owned computer companies are also bad. A senior official of a large state-owned electronics company told this newspaper that this has a certain relationship with the increase in labor and material costs. In order to build a harmonious society, the state needs to increase the wages of workers. Workers returning home during the Spring Festival this year are not willing to return to the Shenzhen factory unless they raise their pay.
Raw material costs have also risen. Affected by the flood in Thailand, the cost of computer hard disks increased by 200-300 yuan at the end of last year, and the cost of hard disks accounted for about 5% to 10% of the overall cost of computers. So far, hard drive costs have dropped slightly.
The top executive also speculated that industry profits fell by 40% in the first two months of this year and may also be related to the overall situation last year. He said employees’ year-end double pay and bonuses are usually paid the following year. If the profit is good in the current year, the cost will be provided in the current year; if the profit is not good in the current year, this expense will not be accrued for the year and will directly affect the profit situation in the next year.
"The situation in 2011 was not ideal." The high-level executive said that because of the whole assembly line of the global hard drive in Thailand, Thailand's flooding in the second half of last year affected upstream and downstream shipments, making domestic hard disk components and computer complete machines. Sales have decreased. In addition, the European debt crisis has also weakened the demand for computers. Therefore, it is estimated that many of the company's 2011 employees’ double pay and bonuses are directly drawn from the 2012 accounts.
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