
The brands that are in favor of the diversified operations of the flooring industry have now mostly gone out of their own diversified roads, including nature floors, icon wood and bunny ornaments. The main business of Nature Flooring was transformed from the floor to a variety of areas such as cabinets, wardrobes, wooden doors, and accessories. In the eyes of some people in the industry, single-category fights have shown weaknesses. Diversification is a product of market development and inevitable. Adjust strategic thinking, increase the extension of its own brand, and diversify development, which will benefit the sharing of corporate resources and expand the benefits. Combining purchases also brings consumers cost-effective product advantages and overall after-sales service guarantees.
The diversification of operations can indeed bring a series of benefits to the company, such as increasing profitability, diversifying business risks, and resisting downturn in the industry. However, not all flooring companies are suitable for a diversification strategy. SMEs have been hindered by financial issues. There are also many people in the industry who are skeptical about the road to diversification. Under the downward trend of the entire industry, it is not a good practice to rely on diversification to break through the development dilemma. People in the industry generally believe that diversification is not a short-cut for diversified businesses that require team operations and market costs, and whose brand appeal is not sufficient and whose operations are not professional.
On the whole, for diversified operations, floor companies must make clear their position, remember blind expansion, advocate multiple developments, specialize in operations, and build a professional team in the fields involved.
SHENZHEN YGHQ Optoelectronics Co.,ltd. , https://www.leds-smd.com