The Creation Of Value Is The Scheduler Of Enterprise Resources

The resource allocation mechanism is the source of creating competitiveness.

Resources are limited. How you use resources directly affects the competitiveness of enterprises.

In the design of profit making mode, "limited resources" is a boundary condition. Whoever can put the limited resources in the most effective place will win.

Generally speaking, for a leading enterprise, its strategy should consider putting resources into position always ahead of competitors in second of the industry. If 20%. is too big, it is a waste of resources.

In any case, it is much more intelligent to compete with competitors faster than in any case. The reason is that resources are limited.

Unlimited investment is a waste, and it is totally unnecessary to win.

With the rapid expansion of market competition to the whole world, every industry field has encountered a bottleneck, that is, the gross profit margin of products has dropped rapidly.

Every time a new product comes out, it soon comes across.

Because of many competitors, price cuts become very fast. Soon after the launch of new products, competitors will soon encounter quality rivals.

So, "farewell"

"Competition strategy in the era of meager profit" has become a hot topic in management circles.

From the perspective of gross profit, it is difficult for the small unit profit to maintain the business objectives.

However, analysis of the source of profit is actually inevitable, and it is not worth making a fuss about.

Instead of caring about gross margins, companies should do the best return on investment.

Profitability is more important than gross margin.

Generated by enterprises

From the perspective of measuring the profitability of enterprises, after the completion of R & D products, small profits are inevitable.

An enterprise provides two values for the market or its customers. First, it is developing new products and services; second, it is the function of manufacturing and distribution, which can pmit products or services efficiently to the customers, and make customers realize their effectiveness conveniently.

Through the analysis of the industrial chain and the whole value chain of the enterprise, we can find out the advantages and value-added links of the enterprise, realize the value increment through the strategic integration and centralized allocation of the enterprise resources, create competitive advantages, and carry out cost value analysis on the micro operation activities, eliminate the waste of resources, save investment, and realize the two value-added aspects of input / output.

Because the new products and new services developed are of great value, but until their competitors develop similar products and services, the value of research and development will disappear.

The rest is the value of marketing and delivery.

The gross profit margin of marketing and delivery units is very low. Its core competencies are sales, logistics, administration, resource allocation, and long-term core strategy formulation, rather than research and development.

So the decline in gross margin is inevitable.