Electricity Price War Smoke Four Shoe Enterprises How To Seize The Opportunity?

< p > since the Internet continues to develop, online shopping has also become a trend.

In 2012, two micro-blog from Jingdong mall CEO triggered an electricity price war.

Jingdong said that "Jingdong has no gross profit in three years," and "all major suppliers of Jingdong are less than 10% cheaper than Gome and Suning chain stores", which immediately caused suning.com's strong reaction from competitors. Subsequently, Gome and Yi soon joined the price war.

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The P price war has brought direct benefits to the sales of the major electricity suppliers, but at the same time, it has also caused many doubts. Price war has damaged the high-end market of the enterprises, and has also caused confusion and vicious competition in the industry. The NDRC even decided that the electricity price war fraud should be severely punished.

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< p > recently near May 1 golden week, although the market reaction is not big, but the big electricity supplier continues to stir up the new round of price war.

Suning.com continued its unique trick of "0 yuan purchase", Gome online promotion main hit "full 418 yuan to 418 yuan", Dangdang book promotion three days, Yi Xun network launched the "active price parity for a month, to ensure the lowest price of the whole network" activities, Jingdong only insisted on long-term low price, do not make short time holiday promotion.

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< p > because China's market is not yet mature, product homogeneity and brand recognition are low, China is more prone to price war than mature markets such as the United States.

On the one hand, the reason why many companies choose price war is that price war can quickly seize the market and attract consumers, especially in the electricity supplier, because user traffic directly affects their advertising revenue.

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< p > however, price war will only bring short-term effect. In the long run, in order to seize market share, enterprises will not only sacrifice profits, but also sacrifice the corresponding products and service quality.

Moreover, low profit will lead to a shortage of funds, which is not conducive to the development of product development, technological improvement, marketing and so on.

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