Suggestions on how to support, cultivate and preserve a number of leading high-quality enterprises in the industry, build a century-old Chinese brand, and win international competition
The Importance and Necessity of Building a Centenary Brand and Enterprise in China
Although the Internet, automation, and intelligence are developing rapidly, the basic manufacturing industry is still developing along the track of: products -- fine products -- national brands -- world-renowned brands -- luxury products.
With the increasing level of material culture, people's pursuit of high quality products and brand has reached an unprecedented height. The high degree of development of the Internet makes everyone choose under an international vision. Everyone has given their eyes and opportunities to the top three brands in each industry, and even purchased famous products and luxury products at no cost. In this way, the top three brands in each industry have received 80 % of the industry's opportunities and high brand value returns, and companies have thus embarked on a fast track of development, leaving their peers farther away.
The process of development from products to fine products to famous ones is a difficult, lonely, long, unyielding process of giving, investing, overcoming difficulties, enduring failure, creating ingenuity, and making unremitting efforts. It often takes decades and hundreds of years. Even the hearts and minds of generations. The brand comes from a hundred years of enterprise, and a hundred years of enterprise can achieve the world brand. For example, Coca-Cola in the United States(founded in 1886), Mercedes in Germany(founded in 1883), Shuangliren Tools in Germany(founded in 1731), and LVM Packages in France(founded in 1854).
When the product becomes a brand, a famous product, or even a luxury product, what is enjoyed afterwards is the inertial output of all previous efforts and efforts. This inertial output will become a huge force. A high risk resistance, high competitiveness, high monopoly power, and high profitability will achieve long-term sustained rapid development in the future, thus driving the development of the entire industry and driving the development of the entire region. Therefore, the ultimate pursuit of enterprise development is to be a brand, overcome all difficulties in the process, continue to build, continue to develop, achieve a century-old enterprise, and achieve a world famous brand.
Although this kind of brand dividend is mostly invested by companies in the early stages, once the brand is formed, it will become a valuable national resource, national profit generating machine, and national wealth. Therefore, creating a brand and achieving a brand is to create a profitable machine for the country, create wealth for the country, and is a common responsibility and goal of the whole society. It is no longer a corporate behavior.
Problems in the Forming of Brand in China
In the course of pursuing a century-old brand, enterprises will inevitably encounter temporary and phased difficulties, risks, accidents, and mistakes. Sometimes it is difficult to solve only the enterprises 'own capabilities. At this time, if there is no effective rescue, the company will collapse. All previous efforts, all inputs, all accumulation, and tangible intangible assets will disappear in an instant, and sometimes it will also bring about very troublesome social problems.
Over the course of a long period of development, most of the 100-year branded companies in developed countries have encountered risks: President Trump's business in the early years of the United States encountered the problem of not paying off bank loans. It was the banks that rescued the companies in the form of debt-for-equity swaps. Give companies breathing time to build the later Trump corporate empire; Ford was also on the verge of bankruptcy in the United States. It was the government's rescue measures that saved the company and achieved a hundred years of Ford. There are many examples in developed countries. The government has purchased corporate stocks, helped companies sell products, injected various forms of funds, and even short-term hosting companies, and has achieved the sustainable survival and development of enterprises for a hundred years.
At present, the average life expectancy of enterprises in China, especially private enterprises, has not exceeded ten years on average. In the process of development, enterprises encountered such problems, in the process of premature death, the state, government, financial institutions, social organizations to the enterprise rescue mechanism has not yet formed, the rescue consciousness is still very thin. Especially in recent years, enterprises have encountered downward pressure in the economic environment, and it is even more important for enterprises to rescue.
At present, in the tasks of government functions at all levels, there is no explicit requirement to preserve the total number of enterprises in the jurisdiction, support the sustained development of enterprises, solve the temporary difficulties of enterprises, and lack of paths and institutional design between ruling the country according to law and helping enterprises, especially private enterprises.
It is a legal obligation for enterprises to pay taxes to the state. The government should also cultivate tax sources and protect enterprises as a kind of responsibility and obligation. Financial institutions, too, operate normally, banks charge interest on loans, companies face difficulties not to make bank loans, banks will put companies into the list of bad loans, there are few ways to rescue buffers, and there are few cases.
In this way, enterprises will always rely on their own strength to shoulder the obligations of paying taxes, financing costs, personnel costs, market competition, environmental protection standards, safe production, and continuous innovation. Each functional Department of the government and all sectors of the society has its own requirements for enterprises, and each has its own regulations and provisions. If an enterprise fails to achieve its strength in the moment, it will destroy itself, and this kind of self-destruction will destroy itself. With the achievements of brand enterprises, a hundred years of enterprises to form a pair of natural contradictions.
The government and all sectors of society have a relatively weak sense of rescue for enterprises. Most of them think that enterprises are bosses(private enterprises) and have nothing to do with everyone and the country. The media also has less publicity in this area. They are more willing to pay attention to the cases of bad businesses that harm the people and generally lack understanding of the objective contributions of most companies. If General Secretary Xi Jinping had not fully affirmed the contribution of private enterprises at the symposium on private enterprises in the past, the private enterprises would have contributed more than 50 % of the tax revenue, 60 % of the GDP, 70 % of the technological innovations, and 80 % of the urban labor and employment. More than 90 % of enterprises), people still do not have this understanding. In fact, once entrepreneurs invest in setting up enterprises, they bring a series of objective contributions to the country and society: creating tax revenue to support national economic construction, creating employment to solve social stability problems, creating the use value of products to deliver products to society, and solving people's life needs.
The CPC Central Committee, with General Secretary Xi Jinping at its core, has established the concept of high-quality and innovative development, which is in line with the laws of economic development and the reality of China's economic development. General Secretary Xi Jinping emphasized that "we must promote the transformation of Chinese manufacturing into China and the transformation of China's speed into China's quality. The transformation of Chinese products into Chinese brands. " However, if Chinese enterprises lack the effective means to sustain their sustainable development and the top-level design of their national systems, they will destroy themselves at the first blow of the wind, fall down in one wave today and start again tomorrow, wasting time and resources over and over again. Missed different development opportunities in different periods of the world economy, it is even more difficult to say that the achievements of brands and century-old enterprises. In the current international competition environment, it is difficult for such short-life enterprises to win world competition because of their lack of long-term technological accumulation, lack of long-term customer experience recognition, and lack of long-term enhancement of visibility. And no brand bonus. We have seen that Chinese tourists spend a lot of money to buy LV bags from abroad and carry toilet covers. Leaving aside patriotism and not patriotism, this phenomenon itself should arouse deep thinking and attention.
III. Recommendations
We will select a number of key high-quality enterprises, give them key support, build brands, achieve sustained development, be a century-old enterprise, and support countries to go abroad to win world competition. Although the road is still long, the first step is still to be taken.
Give priority to key high-quality enterprises(the top few in the industry) and give priority to government procurement and military procurement. Use media propaganda and other channels to call on the whole society to support domestic products, create an atmosphere, and achieve domestic world famous brands.
2, set the strength of the whole society to support the company on the level, quickly improve the competitiveness of the company, achieve domestic brands, and form a social business atmosphere. In the areas of environmental protection, fire protection, safety, and market supervision, we will use the resources of government departments to strengthen training and guidance, help enterprises meet and upgrade their standards, and issue professional "prescriptions" for enterprises. Let enterprises concentrate on products, brands, and markets, and cultivate a number of brand seed enterprises with world competitiveness.
3, when enterprises encounter the risk of temporary difficulties, use the government and social forces to help companies tide over difficulties, so that enterprises survive and achieve sustainable development. For example, when such potential companies do not pay off bank loans for a while, they can also implement temporary debt-to-equity swaps. They can also set up government and private rescue funds, or give companies a certain period of buffer period. Do not easily put the company into the blacklist, a stick killed, so that the company no longer have the ability to survive.
4, when the company makes mistakes, please distinguish the reason, is the subjective reason or the objective reason, is the enterprise's own reason or external objective reason. Can not attribute all the problems to the enterprise, let the enterprise bear, the enterprise's affordability is still limited.
Enterprises are a special group. It is not easy to cultivate an enterprise and it is very simple to destroy an enterprise. We must build confidence, concentrate on investment, concentrate on innovation, achieve sustained development, achieve a century-old brand, and compete with the world for the voice of Chinese companies. Create "Chinese famous products" for the world!
