How Can Chinese Marketing Break Through The Ceiling?

The ceiling fades with dreams.

Most Chinese companies may have such a dream: to become the leading industry in China and even the world, and even monopolize an industry like Microsoft.

Galanz has almost completed all the dreams of Chinese Enterprises: it occupies 70% of the market share of China's microwave ovens, the market share of 40% of the world's microwave ovens, and moves the production lines of the vast majority of the world's top household appliance enterprises to China, which is the undisputed champion of the microwave oven world.

According to the definition of monopoly, it is absolutely possible to judge that Galanz has formed "monopoly".

In fact, Galanz has also been accused of monopolization in some countries, so that Galanz has to deliberately part of the market.

Then, when Galanz really realized this dream, the Galanz, who was very cold at the height, was very worried: it had almost reached its climax in the microwave oven industry, but at the very best, the microwave oven could only contribute about 10000000000 yuan to Galanz, even though it formed an exclusive monopoly on the microwave oven industry.

Undoubtedly, Galanz has experienced the ceiling of growth.

Not only Galanz, but also the majority of Chinese industrial giants are facing the ceiling of growth.

It can be said that almost all the industry giants with the following two conditions have already experienced the ceiling of growth.

First, the industry has entered a mature period and lacks new market capacity.

Second, industrial concentration has already been achieved and industry oligarchs have already been formed, and can not be developed through "eliminating competitors".

When an enterprise lacks "incremental space", it meets the ceiling of the industry.

The so-called industry ceiling is also the strategic boundary of an enterprise.

When the enterprise strategy reaches the boundary, the enterprise lacks the room for maneuver.

If strategy is a choice, the corporate strategy at the ceiling is not "easy choice" but "forced choice".

As China's industrial giants from all walks of life are developing in less than thirty years, they are faced with almost the same topic: how to break through the first bottleneck encountered in development?

Of course, this is also a problem for Chinese marketing to go further.

Collective fear, collective action and collective error of industrial giants

Once the industrial giants encounter the ceiling of growth, we can feel their collective panic. Collective panic can lead to collective action. Collective action may lead to collective errors.

The collective fear of the ceilings is that they are not prepared for it.

Before encountering the ceiling, these tycoons usually have just experienced rapid development, and all enterprises' strategies may be designed around rapid development.

When the extended growth strategy characterized by rapid development fails, enterprises will not have enough time to prepare ideas and resources for the new strategy.

The characteristics of China's catching up economy are precisely the rapid growth of growth period and the brakes on the mature period.

The excessive dependence of Chinese enterprises on growth is also the cause of collective fear among industrial giants.

Some enterprises are divided into two categories: one is growth oriented enterprises, and the other is mainly relying on rapid growth.

One is profit oriented enterprises.

Most of the Chinese enterprises belong to growth oriented enterprises, which rely heavily on the growth rate.

As China's industrial giants encounter the sudden and collectivism of the ceiling, it is easy to cause collective panic.

Collective panic is followed by collective action.

Collective diversification and mutual entry of Chinese household electrical appliance enterprises are collective actions after collective panic.

Hisense, Changhong, Galanz, Xinfei and other household electrical appliance enterprises have entered the air-conditioning industry almost at the same time.

When the appliance industry has already encountered the ceiling, the opportunity for collective access to success is extremely small.

The collective entry of household electrical appliance enterprises into the computer and mobile phone industry is also a collective action after collective panic. As a result, most collective actions ended in failure.

According to the theory of synthetic fallacy in economics, collective action can easily lead to collective errors.

The so-called fallacy of composition is "partial establishment but overall failure."

In the collective action of Chinese industrial giants, the synthesis fallacy reaction may be established in the air conditioning industry, but when the household electrical appliance enterprises enter the air-conditioning industry collectively, it may become a fallacy of composition.

The collective entry of Chinese household electrical appliance enterprises into the computer and mobile phone industry is a collective mistake after collective action.

Therefore, the diversification of China's household electrical appliance enterprises is also not reasonable.

The way to break the ceiling

One way: to create an everlasting sunrise industry

Does Procter & Gamble have a ceiling?

Probably not.

Because P & G's positioning is "making revolution in the bathroom."

How many problems need to be solved in the bathroom? How many products can Procter and gamble do?

P & G is engaged in an industry with no limit.

Therefore, Procter & Gamble is "eternal sunrise industry".

What does Shuanghui do?

Some people say Shuanghui sells ham sausage.

Shuanghui says its position is "revolutionaries in the kitchen".

Although this argument is plagiarized in the "toilet revolution" positioning, it is precisely this breakthrough that makes Shuanghui no growth ceiling.

There are ceilings in the ham sausage industry, and even the meat products industry has a ceiling. But when Shuanghui positioned itself in the "revolution in the kitchen", Shuanghui positioned itself in the "eternal sunrise industry". The industry has no ceiling, only the ceiling of capability.

Liu brothers of the hope group has been the richest person in China for many years through the rapid rise of the feed industry.

The reason for the long and sustained growth of the group is to avoid the ceiling.

The measure is to get rid of the restriction of single industry and establish industry chain.

Its industry chain includes 10 main contents: feed, seedling, veterinary medicine, demonstration culture, slaughtering, cooked food processing, pasture, dairy farming, milk processing and so on.

It contains 3 complete industrial chains: the pig food industry chain, the poultry food industry chain and the dairy food industry chain.

Path two: finding the turning point of industrial subversion

In the past, the topic of discussion in the business community was "whether we should diversify".

Now it is a silly topic.

When enterprises encounter the ceiling of industrial growth, diversification is a forced option unless enterprises are willing to face the current situation without making progress.

Therefore, the topic of discussion now should be "how can diversity be successful?"

Our research conclusion is that diversification must succeed in finding a turning point in industrial subversion.

Because only in the turning point of the industry can the leader's "scale advantage" become "scale burden".

In this regard, the success of TCL's diversification is of great value.

TCL was originally a telephone maker, but it has been less popular in the field of telephones, but has attracted wide attention in the field of color TV, computers and mobile phones.

In these industries, TCL plays the role of subversive.

Taking industrial upgrading or pformation as the force of subversion, and subverting the market with the image of innovators, this is the key to TCL's success.

When TCL is involved in TV industry, the oligopoly pattern has basically taken shape, and the traditional market has been saturated.

But at this time coincided with the rise of large screen color TV, TCL took the high-end large screen color TV as the breakthrough point and began to subvert the color TV industry with the image of the innovator. TCL intervened in the computer industry, just as Intel changed the strategy to support the new enterprises to compete with the industry giants. Therefore, TCL and Intel jointly launched the "Ben II" computer in the country, and also subverted the computer industry with the image of the innovator. When TCL launched the mobile phone, the mobile phone industry was in the pition period from the functional demands to the fashion demands. When the domestic mobile phone took price as the main competitive factor, TCL introduced "diamond mobile phone" and "platinum cell phone", and still subverted the market with the image of the innovator.

In an established market, the increase in latecomers may be relatively easy, but as a successful subversive, it is more difficult because the stereotyped industry is defined by the leader, who is the spokesman of the industry.

Only when the industry is upgraded or pformed, will the industry be redefined and people will accept subversive minds.

Although TCL is a latecomer in the color TV, computer and mobile phone industry, it always avoids the appearance of followers, but starts with the industrial upgrading or market pformation as the starting point. It starts with the refreshing image of the innovators and starts to occupy the minds of consumers.

Without an industrial turning point, all resources of the leader are strengthening their competitive edge.

Once the industry enters a turning point, the "scale advantage" is likely to become a burden of scale.

It may be harder to pform an established enterprise than a new one.

At every turning point in the industry, the probability of a leader being eliminated is greater than ever.

Therefore, the key to success of diversification is to study industrial upgrading and launch a strong attack in industrial upgrading.

The dormancy before the industrial pition is to find opportunities for industrial upgrading.

Path three: changing the industrial attributes, breaking the industry ceiling

China and even the world's home appliance enterprises have encountered the ceiling of the growth of the industry, that is because household appliances are durable consumer goods.

A TV or refrigerator can be used for more than 10 years if it is not bad.

Imagine that if the mobile phone is also positioned as a durable consumer, the mobile phone industry has long been a collective ceiling.

But NOKIA has saved the mobile phone industry.

As an industry, mobile phones should be attributed to Motorola's technological contribution.

But mobile phones have become a vibrant industry, thanks to NOKIA's portraying mobile phones as a fashion industry.

NOKIA changed the industry attributes of mobile phones to break through the ceiling of mobile phones as durable consumer goods.

If computers eventually become durable consumer goods, then the computer industry may also have long been the ceiling of industry growth.

However, Intel's greatest strength lies in its highly rational consumption of technology products to make a fashion product acceptable to ordinary consumers.

This is due to its "Inter Inside" strategy. Consumers may not know what "Ben 4" is, but the most popular thing now is "Ben 4".

Intel continues to create such an atmosphere: whether you buy the computer before it can be used, do not buy the latest products to prove that you are behind the times.

China and even many world appliance enterprises have gone astray.

Over the years, there are only two voices to be passed to the consumers by the household electrical appliance enterprises: one is due to technological breakthroughs, the more powerful new products are available; the other is that the price of the old products is getting lower and lower, and the price war is becoming more and more intense.

But don't forget, now is an era of over functioning.

The remote control button has been more than consumers have ever known, most functions have never been used, and consumers simply do not care about adding one or two new functions.

The common task of the appliance industry is not to develop new products that are more advanced and more comprehensive, but to persuade consumers to throw away the products that can still be used at home.

The appliance industry needs to relocate itself, but the first thing they need to do is escape from the worship of technology and escape the trap of price war.