Iron And Steel Enterprises Can Not Passively Wait For Spring

- Jan 07, 2019-

Recently, the author after a number of visits to the steel market found that in the current downturn in the industry, many steel traders did not consider changing the way of development, but still following the "equal market", "gambling market" of the old routine, relying on the traditional mode of operation in the "cold winter" torment ... This phenomenon, can not help but worry: when the cold winter of the financial crisis in the past, only those in the winter to consolidate the foundation of development, after the rebirth of enterprises have two starting qualifications, and those who have the fluke, the old-fashioned attempt to "immutable" steel traders, afraid to escape the fate of elimination,

Because missing out on the transition time is tantamount to chronic suicide. Over the years, in the face of cyclical adjustments in the global economy, the wave of transformation and upgrading has been on the rise.

However, in some steel trade enterprises, the mode of operation has not changed much. In September this year, the steel market saw a wave of the biggest increase in the year, many steel traders think the time has come to reverse, before the national day hoarding a lot of goods.

Who knows the market capricious, after the appearance of steel market continued to fall, so that hoarders bitter. Tianjin spring steel plate steel trader lamented: "The heart clearly clear the market is capricious, but a wind blowing, or can not sink gas."

"Steel traders, who have been crawling the city for years, appear weak in the face of a brutal market. Facing the difficulties of the industry, the market is a shame, many of this year's market is not hopeful steel traders, the aftermarket is full of expectations. "Wait and see", become a lot of merchants in the current mentality of the portrayal.

But is it possible to wait for the spring of the steel market, just by waiting? Shen Wenrong, the steel mogul and chairman of Sand Steel, has warned his peers not to foolishly count on a short-term recovery in the economy.

Shen Wenrong judgment: This difficulty is certainly not a year, nor will it be two years, the structure of China's economy will enter fundamental changes.

The past 30 years have been caused by a shortage of economies, and these are now the era of surplus economies, which are painful, likely to be 5, 10, or longer. From this point of view, the direction and determination of the market for China's economic restructuring has been indisputable, the change will certainly come, but sooner or later the problem.

The more you hold the "Old yellow Calendar" with a fluke, the greater the cost of eventually being forced into transformation. Is the so-called unbearable loneliness will not come to the bustling, to highlight the siege, master the initiative, we must adhere to the rational development. Rather than waiting for the market, gambling market, it is better to control the impetuous mood, in the national Economic transformation and adjustment period, reposition their own development coordinates, ready to be issued. Enterprise transformation such as going against, no retreat.

Adversity can create enterprises more than good times, steel traders must learn to adapt quickly to the environment, who first adapt to the harsh environment, who can seize the next round of economic take-off.

After all, the spring in the steel market is not waiting, only successful transformation, can usher in the enterprise's own spring; after all, there is no bad market, only bad business. For the vast number of steel trade enterprises, can not be afraid of transformation, although the transformation has the possibility of failure, but do not turn there must be no way out. As one philosopher said, do not walk into the grave with the music that has not been played.