Dongguan Rises To Find Business Opportunities In Crisis

Many businessmen look for business opportunities in the crisis, or increase capital to expand production, or strengthen internal management, in order to meet the next wave of takeoff, to the tired market into the "stimulant".

Winter has come.

At this time, the north country, snow covered, in the southern part of Dongguan, also encountered cold currents.

The earlier winter is the grim winter of the global economic situation, and this winter seems to be even longer.

Under the shadow of the financial turmoil, many enterprises have collapsed since the four crisis.

Economist Mao Yushi said the economic dilemma will last two years.

Suning, deputy governor of the central bank, said the economic situation next year will be even more severe.

However, "a thousand sails on the side of the sunken boat, and ten thousand trees ahead of the sick tree".

In the face of the crisis, some people are closing down their businesses. Some people are looking for ways to find jobs, to seek business opportunities in the crisis, to increase capital and expand production, or to strengthen internal management, so as to welcome the next wave of take-off and pour "stimulants" into the exhausted Market.

Li Yuquan, mayor of Dongguan, said that as of October this year, 714 enterprises were moving or shutting down this year. Due to the impact of the financial turmoil, the figure may be higher this year, and is expected to be up to 900.

The rumors may not be in line with official figures, but the one thing that can not be ignored is that many enterprises are cautious and flexible enough to face the biggest economic difficulties in the past 30 years of reform and opening up.

As long as someone wears shoes, the industry will not disappear.

The financial crisis, sub prime mortgage crisis, PPI rise, RMB appreciation, raw materials and labor costs increased, and many enterprises reduced their orders and profits.

For the crisis, He Simo, President of EAST power Limited by Share Ltd in Guangdong, said that the crisis is not necessarily a bad thing.

For example, if a frog is boiled slowly in warm water, the frog may not respond, and eventually lose consciousness in boiling water. But if you throw a frog into a boiling hot water, it will jump out and get the chance to survive.

The current financial crisis for enterprises may be "a pot of boiling water", let enterprises wake up, give enterprises pressure, and urge enterprises to embark on the road of healthy development.

He Simo said that the world will face a major reshuffle, and enterprises should seize opportunities for development in the crisis.

The financial crisis has weakened the demand of foreign customers, and the export of foreign trade enterprises has been blocked. A large number of export oriented enterprises, which are mainly foreign trade, are closed down.

At present, the international counterparts have been hit hard by the crisis. The competitiveness of some of the weaker counterparts in China has also weakened, providing new space for EAST. The company's total output value is expected to increase by about 50% over last year.

It seems to be the beneficiary of the financial turmoil.

According to the person in charge of the International Business Department of the company, because some of the peer enterprises are weak in anti risk ability and have been closed down due to the crisis, some of these enterprises' orders have been pferred to their own hands, for example, the company's Christmas products orders have increased by two or three over the previous years.

In the face of the most serious economic crisis in history, the traditional manufacturing and manufacturing industry in Dongguan is generally skeptical.

According to the introduction, Dongguan's footwear industry relies heavily on exports, and it is also a labor-intensive industry. The financial turmoil in Europe and the United States has a greater impact on the export of footwear industry.

However, Cai Jianxin, vice president of Dongguan Hongyun shoe material Co., Ltd. (hereinafter referred to as "Hongyun shoes material") is still full of confidence. He asked, "can such an industry have no future because it is a traditional labor-intensive industry? As long as people wear shoes, the industry will not disappear."

It is precisely because of this optimism and self-confidence that the two phase of Hongyun shoe material Plaza will dare to open business today.

According to the briefing, the two phase of Hongyun shoe material Plaza is one of the 10 major projects in Houjie Town in 2008, with a total investment of nearly 95 million yuan, and 90% of the investment work has been completed recently.

Cai Jianxin believes that many small and medium-sized enterprises have reached a consensus in the crisis. Only by holding together and heating can we overcome the difficulties.

The current situation is obvious. "Single Soldier Combat" can not cope with some difficulties encountered. Only on the same giant platform, enterprises can work together to enhance the advantages of the footwear industry, so as to finally carry the "cold winter".

"Therefore, the headquarters of the group decided to inject nearly 100 million yuan to build a shoe material trading platform for the whole country and even more radiant, which is the" machine "in the crisis.

Looking at domestic demand and boosting the prospect of automobile consumption, Hitachi has taken root in tea mountain to expand battery production. When many enterprises are worried about the global financial crisis, Hitachi battery Dongguan limited, Hitachi group's Hitachi group, is firmly optimistic about China's economic development. The company is optimistic about the prospect of boosting domestic consumption with the policy of expanding domestic demand. The company said it would further increase its capital and speed up industrial upgrading, so as to seize the great opportunities in the crisis.

It is understood that the Hitachi storage battery (Dongguan) Co., Ltd., which was located in the tea hill Industrial Park in June 2003, plans to invest more than 30 million US dollars. It mainly produces batteries for automobiles, golf electric vehicles and power batteries. At present, the factory has an area of 9000 square meters, and its main product, the lithium-ion battery for electric vehicles, is widely welcomed by Japanese TOYOTA, Nissan and GM cars.

The head of Hitachi battery Dongguan said that although the financial crisis had an impact on the world economy, they were full of confidence in the development of China's economy and Dongguan, especially on the prospect of expanding domestic demand and driving automobile consumption in China.

Next, the company intends to further increase capital and expand production, or develop new projects such as batteries for forklifts, so as to seize the great opportunities in dealing with the crisis.

On the first day of business, more than 50 merchants signed the booking agreement, the century clothing and fabric business city, and saw the turning point in the crisis, and saw the future in the turning point. This is the understanding of Cha Shan century clothing and fabric business city.

Based on this judgment, the cloth city began to invest and signed more than 50 business tenancy agreements on the first day of the investment.

According to the introduction, the total area of Cha Shan century clothing and cloth trade city is about 45 thousand square meters, with a total construction area of about 80 thousand square meters.

The first phase covers an area of about 25 thousand square meters, and there are about 300 shops on the first floor. It mainly deals in clothing materials, garment accessories and toy accessories.

Chen Xuedong, deputy general manager of the century clothing and clothing trade city, said that cloth city is confident that it can do a lot of business in the more than 13000 Eastern Pearl River Delta's clothing and toy enterprises.

Chen Xuedong's reasons are: first, the industrial base of Cha Shan and its surrounding areas is strong, there are more than 800 garment enterprises, thousands of toy factories, Shilong is an old famous clothing Town, and secondly, the opening of Shilong new railway station will provide convenient pportation for the market; third, in the face of financial crisis, the government has calmly dealt with and increased the confidence of enterprises.

With the help of the financial crisis "Dongfeng", EAST acquired 60% stake in Schneider. He Simo believes that the financial crisis is a crisis and an opportunity, and the machine is bigger than the danger.

With the help of the "east wind" of the financial crisis, EAST has the opportunity to acquire the 60% stake of EAST Power System Technology Co., Ltd., which is owned by Schneider, the world's top 500 company.

Schneider electric group is a strong power group. In the past 10 years, the sales volume of the company has increased from 400 million euros to 7 billion euros in China alone.

In March 30, 2006, Guangdong EAST power Limited by Share Ltd and MGE, the world's 500 largest enterprise, Schneider Electric Group Co., Ltd., MGE's uninterruptible power supply system Co., Ltd., has formally reached a strategic cooperation intention, signed contracts to jointly invest in Sino foreign joint venture EAST Power System Technology Co., Ltd., the company's brand is still "EAST", the company's address is located in Songshan Lake base, and is determined to become the largest power production, R & D and sales center in Asia and even the world.

According to the briefing, the duration of cooperation between the two sides is 12 years, with a registered capital of 300 million yuan, of which EAST invested 120 million yuan, accounting for 40% of the company's shares, and MGE invested 180 million yuan, accounting for 60% of the company's shares.

APC-MGE Global CEO Mr.LaurentVernerey has said that the commissioning of EAST green power R & D and manufacturing base will play a positive role in promoting the development of China's UPS power industry.

Schneider Electric Group will provide help and support from technology, management and personnel training, so that the base will become the global green power R & D and manufacturing center.

However, according to He Simo, according to the original agreement, MGE will provide technical support for EAST through the form of technology pfer, and enhance the R & D capability of EAST. However, over the past two years, MGE's investment in technology has not reached the original conditions and has been violated.

This year, by the impact of the financial turmoil, Schneider's stock fell by 50%. Taking advantage of this opportunity, Guangdong EAST power Limited by Share Ltd invested 17 million 320 thousand euros to acquire 60% of EAST's Power System Technology Co., Ltd., which was held by MGE.

Asia's largest paper mill settled in Dongguan, and invested 30 million US dollars in two phases. "We are optimistic about Dongguan. We are confident that we will take root in this area."

Lai Mingjun, general manager of Dongguan's largest paper mill, Zheng long paper, said that the company has injected 30 million US dollars in Dongguan. The project is divided into two phases. It mainly produces high-grade cardboard, carton and color boxes. The customers are mainly world-famous brands such as apple and SONY, and will gradually expand the domestic market after that.

Founded in the past 50 years, the Zheng Long Group has mainly produced and sold paper and corrugated cartons and other related paper products, ranking the 100 largest in the world, and listed in Taiwan in 1971.

The group has invested and set up factories and branches in the United States, Japan, Germany and Australia. It has 8 factories in Dongguan, Shanghai and Suzhou, with a total investment of more than 1 billion 700 million dollars.

The industry is looking forward to joining Dongguan, and believes that this will play a positive role in improving Dongguan's industrial chain matching, increasing taxes and enhancing local industrial strength.

The responsible person of the foreign trade and Economic Cooperation Bureau said that this not only strengthened the foreign economic strength of Dongguan, but also strengthened the confidence of all foreign-funded enterprises to take root in local development in the current economic situation.

Lai Mingjun disclosed that as early as 2006, the senior executives of the Dongguan group had invested in Dongguan. At the end of that year, they decided to build a large factory. "The Pearl River Delta is the center of the one hour economic circle. We will be closer to customer service in this factory."

Lai Mingjun said that Dongguan has the pportation advantages of Shanghai Guangfo and Shenzhen, and has created extremely favorable conditions for attracting potential customers.

The choice of Dongguan can not only be close to the market, but also provide after-sales service conveniently.

He said, "investing so much in Dongguan is unique."

According to Lai Mingjun, the investment and construction in Dongguan is for Zheng Long (Guangdong) Paper Co., Ltd., with a total investment of 30 million US dollars, and the total area of the company is about 200 thousand square meters (about 300 acres), which is divided into two phases.

The first phase covers an area of about 81 Mu and its construction area is 85 thousand square meters. It began trial operation in April this year.

Insiders told reporters that at present, the group has approved the listing of the mainland plants in the name of Chung long holdings to the Hongkong stock exchange, and plans to go public in half a year.

"With the continuous expansion of the mainland business, the listed companies have already set up the headquarters of the operations center in the Dongguan (Guangdong) paper industry, which will be the flagship enterprise of the group."

This statement has also been acquiesced by Lai Mingjun.

Lai Mingjun said that no matter from the area or the output, the Zheng long paper industry of Houjie industrial city has become the largest paper factory in the group, and is also the largest paper mill in Asia.

After the completion of the two phases of construction, the volume of production is expected to reach 60 million yuan / month. The annual production will be 20 thousand tons of high-grade cardboard, 1 tons of cartons and boxes.

Our company has increased its capital by 7 million 690 thousand US dollars. The traditional plastic "upgraded" optoelectronic products, "because of the need of the head office to expand production, go to the mainland to seek development."

According to Gan Weiye, general manager of zeco plastic electronics (Dongguan) Co., Ltd., the company was founded in 2000.

In 2001, he began investing in Dongguan Houjie ring village.

At present, the company occupies an area of 150 thousand square meters, with nearly 400 advanced injection molding machines, 50 tons to 1600 tons, and 3000 employees, with an investment of HK $more than 300 million.

In recent years, more than 20 million Hong Kong dollars have been invested in the dust-free spray production line below two levels. The production line was also built last year and used for high-end plastic products production.

Gan Weiye said, until last year, the company found that the traditional plastic products market has reached saturation, and enterprises must find ways to "mutate", which is often mentioned in the media.