Competition Situation In China Solar Water Heater, “a Hundred Schools Contend” – Solar

Abstract: solar water heater industry in China after 20 years of development, solar energy manufacturers in the country blossom everywhere, showing the “Hundred Flowers” the situation ……

Solar water heater industry in China after 20 years of development, solar energy manufacturers in the country blossom everywhere, showing the “Hundred Flowers” situation. Over the last decade, China’s solar energy market needs to be gradually aroused, industry showed strong growth, the annual market growth rate of 25% -30%, the industrial development prospects for the future.

However, any new industry in its development process, will show the characteristics of their industry stage. Characteristics of solar water heater industry in China at this stage can be simply summarized as:

1. Factories in large quantities relevant information, according to incomplete statistics, China’s solar energy manufacturers have reached more than 7,000.

2. Overall strength mixed into the threshold because the industry is not very high, with handsome profits, countries lack access to policy restrictions on the industry, lack of industry standards to attract many investors to enter. In addition to Wong Ming, Marino, music and other dozens of mulberry scale enterprises, other manufacturers over the workshop to assemble OEM-style operation.

3. Brand of low concentration, according to statistics, the top 10 industrial enterprises, industry 25% less than its market, most markets are solar-type business enterprises and workshops to share.

4. There is no confusion in the market as domestic and international operating experience of advanced solar water heater can draw as well as modern manufacturing line no standard reference, the lower the threshold, resulting in a large number of small enterprises to enter the opportunism, coupled with the lack of supervision and self-discipline, the market is extremely confusing.

5. Corporate and product brand evolved in recent years, some large companies come to the fore. Emperor Ming of solar water heater in 2002 trademark “Wong Ming” is well-known trademarks in China SAIC awarded, the next Marino, rain and dozens of solar companies have been awarded to well-known trademarks and brand.

6. Market, the rapid growth of aggregate demand in April 2009, according to the Investment Adviser Energy Industry Research and Statistics, in 2008 China’s solar water heater industry to continue steady and rapid development, production value reached 43 billion, an increase of 34.3%.

7. Project Market will play a more important role to play in recent years, relevant departments of state and local governments continue to introduce various positive policy, solar energy Project The market presents a growth spurt. New Energy Co., Ltd. Shandong Power Norit vice president of Literature and Philosophy, Leung said: “project market growth has been as high as 500% or even more.” In the solar water heater industry, China Solar Energy Industry Association, according to statistics reported in China since 2005 integrated into the solar market in the “Speed Zone”, the solar collector project in China are now market Sell Already accounted for more than 40%

Overall, China’s solar industry is still in an adjustment period, from the industry, there is quite a long way to go before maturity.

Future solar water heater industry in China will go to, the competition would develop?
I put all the solar water heater industry in China domestic market into stand-alone market, engineering markets, and rural market Sell Based mainly on single sales, the main city in order to project sales, are its two separate talk.

(A) of the single market 1. Market demand is the driving force
Solar water heater industry in China’s development in the past, our consumers through the solar energy from the unknown, contact, understanding, interest, try, consumption, and repeat the process of buying, the market demand as the industry development and awareness of the product to the industry and constantly being developed and mature.

As the driving force behind the market, whether manufacturer to create consumer demand or consumer demand for natural growth, and consumer “needs” can not translate into consumer “demand” consumer demand determines the size of the direct The size of market capacity. Along with the increase in income and demand for improved quality of life, the market demand is growing.

In addition, the fact, overall consumer consumption of the product concept is not mature. Unless the professionals, it is difficult for a consumer to say a brand name, brand, such as “Emperor Ming” products and any other brand of distinction, this is a problem of asymmetric information, professionals such as producers, sellers or manufacturers may know the key components of this product is what the criteria to be met is “no hidden safe, convenient and healthy”, but we can only see the various consumer products a long look, but the number of vacuum tubes, not the same size, not really understanding the product is good or bad. So, you need to do our business ” Education Marketing “And” interactive marketing “and other ways and means to enlighten and educate our consumers, consumer attitudes to consumer awareness and become more mature. In my opinion, and potential consumers, who in both the” one-way communication “” two-way communication “or” think about communication, “the good” education “,” science “and so on, so that consumers have more knowledge of the products to consumers aware of their products and the competitive advantage of other brands, product knowledge to achieve and consumer awareness of the docking, as well as “selling points” and “selling points” of the dock, who will be the degree of future market winners.

2. Marketing methods, methods are still the main means of competition
This stage, China’s solar power manufacturers in terms of scale, marketing network, resource allocation, or operation of philosophy and normative aspects of uneven, with low entry threshold, many companies lack core technology, can squeeze through the narrow homogeneity of the final product on track for low-level competition and lack of differentiation in marketing, but little idea of win-win or win the competition. Therefore, the industry has formed part of the regional market of low-quality price war intensified, the result is a strong brand is not strong-name very much.

I think that good quality, control, procurement, manufacturing, logistics and other cost areas to provide consumers with quality products at higher prices under the premise marketing approach will remain the principal means of competition of solar manufacturers .

Professor Kotler we can simply borrow the classic 4P to analyze:

Product Prusuct: a business in addition to good basic product quality, product constantly keep the original BOLA TANGKAS
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