A company with hundreds of millions of dollars in annual sales has only 80 people and a 15% profit margin


Early in the morning, I saw Mr. Zhou, a lighting professional in Guangdong province, said in his circle of friends: Don’t be greedy for cheap things!Spent 150,000 yuan to purchase a laser pipe cutting machine, broke in a few days, the other party after sale but wild price.In the end, the equipment was not repaired, but threw a word to Mr. Zhou: cheap equipment is no after-sales service.There are a lot of companies that focus on marketing rather than R&D, and many of them look so big that they may not even have r&d of their own.This is the case for the company that Zhou cooperated with. The annual sales volume is several hundred million, but in fact there are only more than 80 employees. Before the cooperation, they will pick up cars and deliver bags for food and accommodation, and after the cooperation, they will not be responsible for it.Because of the quality of the equipment, Zhou always went to the other company to negotiate, the original company is a shell company, involving a wide range of industry laser cutting machine is just one of the business.The brand they produce is also OEM processing, equipment pricing is very low;But the equipment failure rate is high.If you go to them to repair the equipment, the price is very high.And designated cooperative businesses, you do not buy the relevant brand equipment can not be repaired, or maintenance is not careful.Is such a company annual sales can achieve several hundred million, profit margins as high as 15%;Because their own products are not profitable, mainly the late maintenance service costs are relatively high.Relying on this invisible consumption, but also increased their profit space, but the public praise to do poor!Simply speaking, raw materials, labor and other costs are rising, but the product price is lower and lower manufacturers really is worth paying attention to.A lot of time because cowardice cheap eat big loss, as a result in the final outweighs the gain.If you have laser cutting related problems can consult me, 12 years of experience in laser cutting machine, I hope to help you.- Follow me to unlock more new knowledge

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