Cai Dong's CNHTC Direction


What is the most fundamental way to survive?

Recently, Cai Dong, General Manager of China National Heavy Duty Truck, said a word that made the author feel a bit like: “The direction we have always insisted on is to maximize customer value...”

In fact, this kind of language is not exclusive to Cai Dong. It has appeared in many companies, and even has a high frequency. However, there are not many enterprises that can truly be completely implemented. After all, the essence of a company’s business is profit, and the market can always produce such or that temptation. Short-term profits always exceed the value of customers and induce corporate behavior.

The reason why Cai Dong's sentence makes people think deeply lies in two reasons. First, compared to other industries, China National Heavy Duty Truck Co., Ltd. is in the commercial vehicle sector because its products are attached to production materials and are more directly linked to customer values. Second, China National Heavy Duty Trucks does its own efforts to maximize customer value. However, accomplishment is never a slogan.

It must be noted that the current commercial vehicle market in China is in a transitional phase, that is, gradually shifting from traditional price competition to technology competition, especially for heavy truck users in China. Concerns are also shifting from price factors to car costs and driving comfort. The double requirement of sex. However, it is precisely because of such a transitional stage, because the accumulation of technology is not in place, the accumulation of funds is not in place, the business philosophy is not in place ... some companies have to take short-term behavior to grab a temporary market share, which is also lacking some quite A large group of well-known.

For example, in order to cope with the cost pressures of rising raw material prices, you can only use price to snatch customer resources; for example, because you can't take advantage of technological competition and go the easy way, all components are assembled by buying and neglecting the service system... ...

Undoubtedly, such an approach will not only damage the long-term interests of the company itself, but will also be a spoiler for the entire Chinese commercial vehicle market order. After all, the negative effects brought about by non-normal means will often be more directly imposed. For those companies that are taking the right path. As Cai Dong said: “The current operation is very difficult and stressful.”

In this way, does it follow the adjustment of the situation and follow the established strategic direction? This requires testing the true segmentation and strength of the company.

A truly big company should have its own big vision and general strategy. Under pressure, it can also rationally see future needs.

Cai Dong’s words are used: “On a large-scale promotion, we can't do it because once we change, the whole management system has to be adjusted. We use the future guidance.”

The so-called future, in the final analysis, is actually "maximizing customer value." Their needs will not be the same, only the pursuit of excellence and gradual diversification. Just as China National Heavy Duty Truck Co., Ltd., in order to meet the customer's need for "lightweight" tractors, even if the cost increases will choose to optimize the suspension system; and in the case of China's heavy truck product electronic trend is not obvious, will also be in the interests of customers In the latest product A7, 11%~12% of the electronic technology is implemented... Although sometimes the application of new technology is only a demonstration and cannot cover all users at different levels, it is indeed a time-consuming period for all acceptance, but it is , must be laid out in advance. At least, the self-adherence of China National Heavy Duty Truck has already gained good market effects and customer recognition.

Back to the original topic, what did the company survive for a long time? The answer is clear, that is, to surpass existing competitors, find higher-end users that are rapidly expanding, and achieve breakthrough development instead of the low-end vicious circle of the pyramid. The same level of competition will not promote industrial upgrading, nor Will bring more value to customers.

The management guru Peter Drucker said: "The purpose of the company's existence is to create customers." In fact, customers are unable to create, and they are waiting there. Companies need only the last level, and those above are looking forward to Customers import. Cai Dong's other sentence can be used as an example: "Our initial research and development of the A7 was in fact an increase in the existing customer base, but it is not raised in a vacuum because higher demand is emerging."

In fact, any industry, including commercial vehicles in China, is a pioneering move that requires one or several leading brands.


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