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Is price war of low administrative levels?
From;    Author:Stand originally

In recent years, price war is bubbling with noise heat all the time, expert scholar, agency and business circles are right this unable to decide which is right, commend differ, nevertheless the viewpoint of the mainstream is: The enterprise handles price lever arrangement can purely only too low, price war belongs to malign competition, bring about product quality and consumer interest to cannot get assure, the industry accumulates on the low side, cannot support a technology to progress. Some personages think price war goes to be not gotten like great scourges even.

Actually price war just is expressional form, it is totle drilling cost constitutionally banner strategy, it is together with poor dissimilation strategy, target assemble strategy 3 big main competitive strategy, do not have the cent of bad of actor of on any account. The key should see an enterprise fit which kinds of strategy course and to this one strategy whether hold to perservingly.

Price war, must dozen

The totle drilling cost of long rainbow precedes the difference of the strategy and sea Er turns strategic each has his strong point, some friends very Er of praise highly sea looks to go up not quite long rainbow, the cost that if after service is paid,actually sea Er influences for difference is quite high, net profit is paid no attention to all the time want, the net profit of long rainbow compares Haierduo all the time 3 times. Totle drilling cost precedes the strategy and price war need to equip with extensive production and marketing, top-ranking level of management, outstanding technology craft, advanced production, capability of very strong ego form a complete set, inferior indebted rate is prop up. Price war should hit a level, a bit comes easily unlike poor dissimilation strategy. Sale learns division of · of riverside of originator humble benefit to be strapped in its sale jewel especially " sale management " in when speaking of value strategy, the first word is " did not depreciate the brand that dichotomy money cannot offset is faithful " . The consumptive electron property that used the sharp of low to destroy the west almost with enterprise of the SONY, TOSHIBA, SAMSUNG, RICOH, CANON Japan that is a delegate, South Korea, world-famous brand HP, IBM rolls out the price in succession the low PC under 8000 yuan, the price of Coke Cola compared with dropped 5 years ago 30 % , can these world-famous companies work these only? Step by step Mr Duan Yongping ever had said tall boss, he should enter an industry, general metropolis has the price of congener product to hit out with going up under the market, in an attempt to rises abruptly quickly.

From domestic consumer overall still very not rich those who reach the market is mutiple level the gender looks, totle drilling cost precedes the strategy fits market environment of China very much. In current spending low below confused market environment, depreciate to have its inevitability more. If the run-of-mill large industrialized trade that matures because of the technology cannot wait for respect and competitor to form notable difference in technology, product, brand, do not answer heart of sudden huge profits to live a fantasy. Serious supply exceeds demand already was accomplished fact, any enterprise cannot be changed, faint shake, it is management environment is medium cannot control an element. A word, price war is not the problem that wishs not to wish to hit, must hit however.
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