70% of SMEs struggling with hardware companies can't escape "doom"

SMEs are currently facing a severe situation. Members of the National Standing Committee of the Communist Party of China, Deputy Director of the National Committee of the Interior and Justice of the People's Republic of China, and the vice chairman of the Democratic National Construction Center said yesterday that according to their survey, 60% to 70% of SMEs are now facing serious difficulties.

At the "2011 APEC SME Summit" held in Chengdu, Yu Shengzhan said that if 2009 was the most difficult year for SMEs, 2010 was the most complicated year. SMEs were the most tangled one in 2011. year. “The most prominent performance of the current SMEs' survival dilemma is threefold: one is the unprecedented financing difficulties; the second is a very severe labor shortage; the third is an all-time high-cost era.”

Beginning in 2008, Yu Shengsheng has chosen more than 10 provinces, autonomous regions and autonomous regions to find 150 to 200 companies to conduct on-site visits and discussions. Through the survey, it was found that the biggest problem for SMEs in 2008 was financing difficulties; 2009 was a market issue and there were no orders; the biggest problem faced by SMEs in 2010 was the “labour shortage” in the middle of the recovery process, and this year their The survey results are "multiple factors superimposed and intertwined."

According to the survey, Yu Shengzhe believes that 10% of SMEs may be upgrading their companies, 20% of them may be in transition, and 60% to 70% of companies are now facing serious difficulties. He cited an investigation in Wenzhou, for example, which showed that 20% of SMEs in Wenzhou have gone out of business, stopped production, and went out of business. That is, 60% to 70% of SMEs with a large number of enterprises are most important to survive.

In the financing of SMEs, Yu Shengzhi stated that there are many surveys showing that only about 10% of SMEs can get ** from the formal banking system, that is, 90% rely on financing outside the system. In Zhejiang, 80% of small businesses rely on private lending, with the highest annual interest rate reaching 180%. At present, the annual interest rate of private lending is as high as 120%. Even if it is so high, the demand for private capital is still in short supply. The interest rate of Wuhan's private capital has also reached 120%. Chengdu's private lending rates have already reached five to six points per month.

The high interest rate of private credit has also contributed to the company’s financial difficulties. Not only that, Sheng Shengzhe also stated that nine factors such as exchange rate, tax rate, rate, salary, land transfer fees, raw material purchase price, and resource cost are added together to promote The enterprise has entered the high cost era. “The current road and bridge costs account for 4% to 10% of the price of goods, and the logistics costs of goods account for 20% to 40% of the price. This ratio in the United States is only 8.7%.”

Therefore, Yu Shengzhi stated that to prevent the dilemma caused by the superposition of many factors, it may lead to a large number of SMEs to stop production, shut down, and the potential risk of massive loss of private capital. To prevent private capital from becoming hot money, the hollowing out of the industry eventually leads to economic bubble. Change. "The economy must be transformed and upgraded without enterprises, and in particular, the function of entrepreneurship and innovation of small and medium-sized enterprises can not be achieved. Enterprises must be transformed and a large number of small and medium-sized enterprises must first emerge from the plight of survival."

Yu Shengsheng believes that in order to get rid of the predicament, the government should create equal use of production factors, equal competition, and equal protection of the law. Our capital is a very important factor of production. Only 10% of SMEs use the financial system, this kind of cheap **, but a large number of SMEs are now outside the system, the dual-track system of interests, then such a situation is not An equal use of factors of production, there is equal competition and legal protection of equality.

Yu Shengzhi said that the survival dilemma is an external pressure, but how to use external pressure to become the driving force of internal work, forcing companies to upgrade and upgrade, forming a backward push mechanism. He also proposed that the government must “put in, support, and force”.

“If we say that the establishment and improvement of the market mechanism is equivalent to the war of liberation, breaking the monopoly will be similar to the Huaihai Campaign. Without the Huaihai Campaign, there will be no new China. Then our market economy system will be perfect and sound. Now It is very important to break the monopoly and carry out reforms. Only in this way can the help to SMEs be liberalized.” Yu Shengzhan said: “The second is support. We should transplant a little policy from the three rural policies to SMEs. We should take less. To give more, tax reductions and fee reductions should help companies move lightly. The other is to force the use of high-cost market forces to force companies to transform and upgrade."

Multiple factors oppression, some small and medium-sized enterprises in the hardware industry are also lacking in the 70%, how to escape the closure of "bad luck", but also whether the hardware industry SMEs are struggling to break the whirlpool of destiny.