Oct 29, 2010

Product research and development on innovation capability

Product research and development on innovation capability.
 
Some hope can be in OEM customers under the help of the development of its own r&d competence. This desire not reality, the customer not philanthropist, they didn't have the obligation to help you. OEM the first to have its own r&d team, design the innovation ability, developed with the market value of the products, seize the customer's eyes, just have the possibility of further cooperation. Might as well look flextronics practices.
 
It has come into money form high level design team, Japan Kyocera company (Kyocera) a cell phone, come from its design. Last year it also spend $80 million bought design company mike cernet (Group), the latter have Microcell 300 r&d engineers.
 
Understand customer needs ability.
 
Although some OEM boast, in satisfying the needs of customers, but has peaked with production quality, cost, delivery date and other mandatory measure of different, on the design of standard often are difficult to quantify, sometimes even appear "I want a looks very beautiful product" such customer requirements, at this time will need to ODM manufacturer to help customers to find market positioning, again carries on the design.
 
Flextronics is the chief technical officer Nicholas Brathwaite had said "from according to the contract production expands to more product development is a major challenge," flextronics will "take measures to improve the design and manufacturing department and customer communication between".
 
Who knows, do a point a point money products, make brand a dollar a dollar money, when the company was not capable unary unary making money, may wish to "money" -- from some part OEM to ODM can improve our ability to make a profit, estimates, flextronics within one year from the initial scale of ODM can business received one billion dollars income.
 
Just before any company in transition, don't forget to weigh yourself in manufacturing and operates outside of the third abilities - design capacity in quantity.

Product research and development on innovation capability

Product research and development on innovation capability.
 
Some hope can be in OEM customers under the help of the development of its own r&d competence. This desire not reality, the customer not philanthropist, they didn't have the obligation to help you. OEM the first to have its own r&d team, design the innovation ability, developed with the market value of the products, seize the customer's eyes, just have the possibility of further cooperation. Might as well look flextronics practices.
 
It has come into money form high level design team, Japan Kyocera company (Kyocera) a cell phone, come from its design. Last year it also spend $80 million bought design company mike cernet (Group), the latter have Microcell 300 r&d engineers.
 
Understand customer needs ability.
 
Although some OEM boast, in satisfying the needs of customers, but has peaked with production quality, cost, delivery date and other mandatory measure of different, on the design of standard often are difficult to quantify, sometimes even appear "I want a looks very beautiful product" such customer requirements, at this time will need to ODM manufacturer to help customers to find market positioning, again carries on the design.
 
Flextronics is the chief technical officer Nicholas Brathwaite had said "from according to the contract production expands to more product development is a major challenge," flextronics will "take measures to improve the design and manufacturing department and customer communication between".
 
Who knows, do a point a point money products, make brand a dollar a dollar money, when the company was not capable unary unary making money, may wish to "money" -- from some part OEM to ODM can improve our ability to make a profit, estimates, flextronics within one year from the initial scale of ODM can business received one billion dollars income.
 
Just before any company in transition, don't forget to weigh yourself in manufacturing and operates outside of the third abilities - design capacity in quantity.

Relative to build brand

 
On nasdaq technology stocks generally fall CIBC (Canada empire commercial Banks) analysts in January this year to raise Flextronics (Flextronics International Ltd.) rating. Flextronics is a big contract manufacturers, its stock rating was upward part of the reason is that it has not satisfied simply assemble products, but became involved in product design, can complete product from drawings to finished products in the whole process of development from OEM to ODM.
 
For most OEM for, choose this line, mostly with trepidation, who is not willing to always stay at the end of the chain, AngRenBiXi life.
 
Even the largest global electronics product contract manufacturing ShangWei flextronics, also not satisfy the production of MOTOROLA mobile phone, some for Microsoft, despite the current production some game in its these consumer goods source of income in up to most. Declining profits in successive years is OEM was forced to change survival strategy of direct reasons, according to the businessweek Chinese version of reports, sui-hua dealer's "gross" has dropped from 15% to 5%. "
 
last year, MOTOROLA for launch low-cost cellphones, through the way of selecting sui-hua bid dealer, each handset offer only 30 dollars. This time, completed the primitive accumulation of OEM, like flextronics that, to value chain gradually shift, become the most above the actual a choice.
 
Relative to build brand, OEM and ODM are relatively pure work, but want to realize this cross over, is not easy, at least want to have two aspects ability.

Relative to build brand

 
On nasdaq technology stocks generally fall CIBC (Canada empire commercial Banks) analysts in January this year to raise Flextronics (Flextronics International Ltd.) rating. Flextronics is a big contract manufacturers, its stock rating was upward part of the reason is that it has not satisfied simply assemble products, but became involved in product design, can complete product from drawings to finished products in the whole process of development from OEM to ODM.
 
For most OEM for, choose this line, mostly with trepidation, who is not willing to always stay at the end of the chain, AngRenBiXi life.
 
Even the largest global electronics product contract manufacturing ShangWei flextronics, also not satisfy the production of MOTOROLA mobile phone, some for Microsoft, despite the current production some game in its these consumer goods source of income in up to most. Declining profits in successive years is OEM was forced to change survival strategy of direct reasons, according to the businessweek Chinese version of reports, sui-hua dealer's "gross" has dropped from 15% to 5%. "
 
last year, MOTOROLA for launch low-cost cellphones, through the way of selecting sui-hua bid dealer, each handset offer only 30 dollars. This time, completed the primitive accumulation of OEM, like flextronics that, to value chain gradually shift, become the most above the actual a choice.
 
Relative to build brand, OEM and ODM are relatively pure work, but want to realize this cross over, is not easy, at least want to have two aspects ability.

Products specializes in greement do this mainly benefits

Products specializes in greement do this mainly benefits
 
 
Supplementary product line. For the makers rush to supplement line,
 
OEM way also can yet be regarded as a shortcut. Find market opportunity and launch between the product after all have a period of time, the manufacturer can use OEM products can quickly fill market blank, seizes the market. Meanwhile, their product design and development, once the ripe, can own products replace OEM products.
 
Sometimes found a consistent product manufacturer may give its offerings at risk of deadly threat. Such as the production of mainframe computer manufacturers display excelling in can not achieve the corresponding level, or in the disk drive on cost difficult to drop, can adopt OEM way from the purchase, otherwise, only by host version in the market competition, not only lost market opportunities, and survival possible problems.
 
To perfect enterprise value chain.
 
USES the enterprise existing sales network, expand functionality, for a variety of products and many enterprises sales and after-sales service. Sometimes, the manufacturer's competitive advantage may not is in making, but in sales channel and after-sales service, at this time, adopt OEM trading is afraid is inevitable choice. Blue giant IBM almost don't produce any part of computer, accessories, and then from the external purchase basically with its worldwide sales channel and service network, provide a large computer to win customers reputation.
 
Test market opportunities. Sometimes purchasing enterprise also USES OEM way to detect to enter the market possibilities. Enterprise the product to the market by watching the market reaction. If the market responded well, enterprise JiuGe can launch their own products; If the market reaction insipid, enterprises can also terminate the contract, give up into the OEM products market of plan. So, manufacturers the risk to the new project satisfactorly than oneself the risk are much smaller.

Products specializes in greement do this mainly benefits

Products specializes in greement do this mainly benefits
 
 
Supplementary product line. For the makers rush to supplement line,
 
OEM way also can yet be regarded as a shortcut. Find market opportunity and launch between the product after all have a period of time, the manufacturer can use OEM products can quickly fill market blank, seizes the market. Meanwhile, their product design and development, once the ripe, can own products replace OEM products.
 
Sometimes found a consistent product manufacturer may give its offerings at risk of deadly threat. Such as the production of mainframe computer manufacturers display excelling in can not achieve the corresponding level, or in the disk drive on cost difficult to drop, can adopt OEM way from the purchase, otherwise, only by host version in the market competition, not only lost market opportunities, and survival possible problems.
 
To perfect enterprise value chain.
 
USES the enterprise existing sales network, expand functionality, for a variety of products and many enterprises sales and after-sales service. Sometimes, the manufacturer's competitive advantage may not is in making, but in sales channel and after-sales service, at this time, adopt OEM trading is afraid is inevitable choice. Blue giant IBM almost don't produce any part of computer, accessories, and then from the external purchase basically with its worldwide sales channel and service network, provide a large computer to win customers reputation.
 
Test market opportunities. Sometimes purchasing enterprise also USES OEM way to detect to enter the market possibilities. Enterprise the product to the market by watching the market reaction. If the market responded well, enterprise JiuGe can launch their own products; If the market reaction insipid, enterprises can also terminate the contract, give up into the OEM products market of plan. So, manufacturers the risk to the new project satisfactorly than oneself the risk are much smaller.

Overseas tiepai advantage

Overseas tiepai advantage.
 
Adopt OEM way to enter the international market, can bring the following favorable conditions:
 
1) according to domestic, outside the demand of the market, determine product positioning (performance, grades, and user objects)
 
2) according to the product's performance and characteristics, and decides the development design way: introduction, entrust or guest development design
 
3) the peculiar product technology and brand holder's qualification, selection (bidding or recommended) manufacturers
 
4) product greement exclusively .
 
Do this mainly benefits: Reduce mature product cost.
 
About a recession by the mature products it and cost is the key to maintaining profits. If in the domestic cost reduction is almost impossible, then only looking overseas, or to invest overseas, or development outsourcing production. Direct and cost could be far higher than expected returns. If can from overseas manufacturers in purchasing, although in the short term may be higher than their manufacturing cost, but in the long run or profitable.
 
With their own brand marketing, still do not affect the price of the product.

Overseas tiepai advantage

Overseas tiepai advantage.
 
Adopt OEM way to enter the international market, can bring the following favorable conditions:
 
1) according to domestic, outside the demand of the market, determine product positioning (performance, grades, and user objects)
 
2) according to the product's performance and characteristics, and decides the development design way: introduction, entrust or guest development design
 
3) the peculiar product technology and brand holder's qualification, selection (bidding or recommended) manufacturers
 
4) product greement exclusively .
 
Do this mainly benefits: Reduce mature product cost.
 
About a recession by the mature products it and cost is the key to maintaining profits. If in the domestic cost reduction is almost impossible, then only looking overseas, or to invest overseas, or development outsourcing production. Direct and cost could be far higher than expected returns. If can from overseas manufacturers in purchasing, although in the short term may be higher than their manufacturing cost, but in the long run or profitable.
 
With their own brand marketing, still do not affect the price of the product.

Enterprises, entering international market approach

Enterprises, entering international market approach
 
When enterprise has formed a capital, talent and scale economy foundation, should to overseas development, takes a suitable for self-development multinational management path.
 
With domestic enterprise group based on the international market and based on the enterprise's own production base or "OEM" means the products as the basis, in some developed countries of the assembly plant offers product labor-intensive zero, the parts (components), in the local purchasing key-module, complete supporting assembly, test, and packaging process such as the check-up, realize in local value-added in order to obtain legal origin, on the spot to third countries sales and export.
 
Do this mainly advantage: due to obtain the developed countries of origin, general price of product can be increased by 50%, even increase exponentially, Due to the factory is located in abroad, can eliminate some trade and non-trade barriers, Assembly plant products can enjoy ipsos with other relevant countries' various reciprocal treatment; Because labor-intensive parts in China, foreign already finished only rarely employees, trial production cost greatly reduced,
 
In foreign factories can also act as an after-sales service center, often feedback center and personnel training, the comprehensive function. "Origin advantage" strategy. "Origin advantage" strategy can not only embodies in developed countries, and can also reflect in the developing countries.
 
By adopting batch parts export, from transportation to tariffs can be decreased costs; Because in developing countries in factories and labor cheap, help the local employment and training, will inevitably suffer host privilege; In developing countries in the production of products, be in commonly local sales, from the market near, quick.
 
Practice has proved, in developing countries to initiate multinational enterprises, which can truly enterprise to realize the marketized operations, and for group towards the world to create favorable conditions, also can get considerable economic benefits and social benefit.

Enterprises, entering international market approach

Enterprises, entering international market approach
 
When enterprise has formed a capital, talent and scale economy foundation, should to overseas development, takes a suitable for self-development multinational management path.
 
With domestic enterprise group based on the international market and based on the enterprise's own production base or "OEM" means the products as the basis, in some developed countries of the assembly plant offers product labor-intensive zero, the parts (components), in the local purchasing key-module, complete supporting assembly, test, and packaging process such as the check-up, realize in local value-added in order to obtain legal origin, on the spot to third countries sales and export.
 
Do this mainly advantage: due to obtain the developed countries of origin, general price of product can be increased by 50%, even increase exponentially, Due to the factory is located in abroad, can eliminate some trade and non-trade barriers, Assembly plant products can enjoy ipsos with other relevant countries' various reciprocal treatment; Because labor-intensive parts in China, foreign already finished only rarely employees, trial production cost greatly reduced,
 
In foreign factories can also act as an after-sales service center, often feedback center and personnel training, the comprehensive function. "Origin advantage" strategy. "Origin advantage" strategy can not only embodies in developed countries, and can also reflect in the developing countries.
 
By adopting batch parts export, from transportation to tariffs can be decreased costs; Because in developing countries in factories and labor cheap, help the local employment and training, will inevitably suffer host privilege; In developing countries in the production of products, be in commonly local sales, from the market near, quick.
 
Practice has proved, in developing countries to initiate multinational enterprises, which can truly enterprise to realize the marketized operations, and for group towards the world to create favorable conditions, also can get considerable economic benefits and social benefit.

Enterprises need to go into the international market

Enterprises need to go into the international market.
 
The international division of labor needs.
 
With the development of world economy, international labor division is from domestic production, foreign export is the characteristic of trade leading, quickly to international production multinational management is the characteristic of modern investment-dominated conversion.

 
Interest drive needs.
 
Multinational management has many advantages, such as foreign resources available to compensate for our resources shortage; Can more use overseas funds, Introduce advanced technology and equipment and management; Driving domestic exports of equipment and the promotion of economic and trade combination and so on.
 
 
Foreign investment needs.
 
Years of reform and opening-up, the introduction of foreign capital and technology, to the country's economic development plays a large role, but foreign statistics show that general introduction of foreign capital and outward investment than developed countries, 1:1, 4, good developing country for scors. 13 in China, and only for scors.03. Visible in easy out difficult. Investigate its reason, one is to enter the international market operating the lack of understanding, 2 it is lack of talent and capital; Three is not formed due mechanism.

Enterprises need to go into the international market

Enterprises need to go into the international market.
 
The international division of labor needs.
 
With the development of world economy, international labor division is from domestic production, foreign export is the characteristic of trade leading, quickly to international production multinational management is the characteristic of modern investment-dominated conversion.

 
Interest drive needs.
 
Multinational management has many advantages, such as foreign resources available to compensate for our resources shortage; Can more use overseas funds, Introduce advanced technology and equipment and management; Driving domestic exports of equipment and the promotion of economic and trade combination and so on.
 
 
Foreign investment needs.
 
Years of reform and opening-up, the introduction of foreign capital and technology, to the country's economic development plays a large role, but foreign statistics show that general introduction of foreign capital and outward investment than developed countries, 1:1, 4, good developing country for scors. 13 in China, and only for scors.03. Visible in easy out difficult. Investigate its reason, one is to enter the international market operating the lack of understanding, 2 it is lack of talent and capital; Three is not formed due mechanism.

Hisense also in, recently announced it will in technology

 
Hisense also in, recently announced it will in technology, quality, brand, equipment investment way, and based in the United States the world's largest electronic product manufacturing service supply ShangWei chuangli cooperation, the annual output of 100 million in Hungary construction of color TV factories, in order to avoid the eu anti-dumping, contend for 40 percent of the more than 3,000 million color TV sets the eu market. TCL and Thomson a joint venture established by using TTE, Thomson brand of Europe, America market sales TCL colour TV sets.
 
 
On the one hand TCL will never affected by the anti-dumping influence Vietnam, the Philippines, Poland, Thailand and other countries of production base exports to the us, even from Mexico's base zero TTE company export customs territory, thus bypass anti-dumping investigation of export restrictions in origin. Brand of internationalization in manufacturing could not confined in the mother country.
 
 
So, to Chinese TV corporations, totally dependent on made in China are unrealistic, also is impossible. China will become a global brand enterprise TV must possess in the global scope configuration making the energy ability. For the special Chinese market economy is concerned, it is more important. Anti-dumping reflects Chinese TV manufacturing layout exist serious problems and go out is the internationalization of the essential, rather than just coping anti-dumping expediency.

Hisense also in, recently announced it will in technology

 
Hisense also in, recently announced it will in technology, quality, brand, equipment investment way, and based in the United States the world's largest electronic product manufacturing service supply ShangWei chuangli cooperation, the annual output of 100 million in Hungary construction of color TV factories, in order to avoid the eu anti-dumping, contend for 40 percent of the more than 3,000 million color TV sets the eu market. TCL and Thomson a joint venture established by using TTE, Thomson brand of Europe, America market sales TCL colour TV sets.
 
 
On the one hand TCL will never affected by the anti-dumping influence Vietnam, the Philippines, Poland, Thailand and other countries of production base exports to the us, even from Mexico's base zero TTE company export customs territory, thus bypass anti-dumping investigation of export restrictions in origin. Brand of internationalization in manufacturing could not confined in the mother country.
 
 
So, to Chinese TV corporations, totally dependent on made in China are unrealistic, also is impossible. China will become a global brand enterprise TV must possess in the global scope configuration making the energy ability. For the special Chinese market economy is concerned, it is more important. Anti-dumping reflects Chinese TV manufacturing layout exist serious problems and go out is the internationalization of the essential, rather than just coping anti-dumping expediency.

OEM strategy one: go out.

OEM strategy one: go out.
 
Because anti-dumping cases and other factors, go out for transnational investment and let others for his generation of labor is becoming some strong old-line OEM enterprise priorities.
 
Color TV anti-dumping rulings dice is cast, China overseas OEM production line. Although several color television enterprise vowed to American TV anti-dumping case results appeal, but China TV exports strategy are easy to attack the major human mistakes are indisputable fact. Anti-dumping case shows that China's TV enterprise already have become globalized ability, but lack of internationalization of experience.
 
Statistics show that in the next few years, the surplus will achieve domestic production capacity of over 3500 million, looking for land into production release urgent matter. In anti-dumping cases result has been made under the condition of the overall situation, China's TV exports strategic forced underwent a major adjustments to large-scale OEM exports and labor-intensive cheap low technology products exportation primarily mode will gradually faded out from the stage of history.
 
But the United States and the European Union and the market is WTO of China enterprise must enter and unavoidable mainstream market. Therefore, the existing enterprise conducts some forward-looking strategies will become China's exports export of new regular TV weapon. Global manufacturing resources allocation.
 
According to information, TV dumping investigation by the United States, konka first after adjustment for the layout of production base, through overseas base supply to ease the impact of American dumping ruling. In the United States on anti-dumping charges soon, konka in October last year sitting Mexico to establish production bases, this base in May this year, which specializes in manufacturing wholly produced according to supply the American market products.
 
While American dumping ruling accelerated the konka overseas production base of startup, konka in Thailand, Mexico's factory has started in September shipment, and by cooperation factory production products will in Europe for shipment.

OEM strategy one: go out.

OEM strategy one: go out.
 
Because anti-dumping cases and other factors, go out for transnational investment and let others for his generation of labor is becoming some strong old-line OEM enterprise priorities.
 
Color TV anti-dumping rulings dice is cast, China overseas OEM production line. Although several color television enterprise vowed to American TV anti-dumping case results appeal, but China TV exports strategy are easy to attack the major human mistakes are indisputable fact. Anti-dumping case shows that China's TV enterprise already have become globalized ability, but lack of internationalization of experience.
 
Statistics show that in the next few years, the surplus will achieve domestic production capacity of over 3500 million, looking for land into production release urgent matter. In anti-dumping cases result has been made under the condition of the overall situation, China's TV exports strategic forced underwent a major adjustments to large-scale OEM exports and labor-intensive cheap low technology products exportation primarily mode will gradually faded out from the stage of history.
 
But the United States and the European Union and the market is WTO of China enterprise must enter and unavoidable mainstream market. Therefore, the existing enterprise conducts some forward-looking strategies will become China's exports export of new regular TV weapon. Global manufacturing resources allocation.
 
According to information, TV dumping investigation by the United States, konka first after adjustment for the layout of production base, through overseas base supply to ease the impact of American dumping ruling. In the United States on anti-dumping charges soon, konka in October last year sitting Mexico to establish production bases, this base in May this year, which specializes in manufacturing wholly produced according to supply the American market products.
 
While American dumping ruling accelerated the konka overseas production base of startup, konka in Thailand, Mexico's factory has started in September shipment, and by cooperation factory production products will in Europe for shipment.

The drawbacks of The shoulders production enterprise (3)

The drawbacks of The shoulders production enterprise
 
(3) agent export -- relaxed behind The heavy.
 
According to the complex, management consulting company investigation, the processing of export-oriented enterprises to foreign markets dependent high, some enterprises more than 90% of the products exported.
 
However, with excellent export performance of, is this kind of enterprise fragile, even is incomplete market function. Reason is that the processing of export-oriented enterprises, product sales and not through enterprise itself abroad to set up sales network realization, but generally used export agency way, only few level agents and foreign dealing, true market of these enterprises, it is a complete "black box", how to grasp the market demand, the ultimate establish efficient sales network, flexible use different sales mode ability, has long been ruined.
 
Now, profit interval has begun to link metastases, require these market enterprise must have strong market ability, otherwise, in the overseas markets, own destiny increasingly by others control, the survival and development of the risk is bigger and bigger. In addition, many processing of export-oriented enterprises also ready to open up the domestic market, it needs to have the enough market ability, simply by one class representative's way is not good.
 
However, the export customer-guided enterprise long-term using export agent, ruined their market function, and the formation of the market function more take a long time. So, for the processing of export-oriented enterprises speaking, the agency has brought benefits, but also causes the enterprise market function and incomplete, it will become the enterprise next to be more independent development of heavy "debt".
 

The drawbacks of The shoulders production enterprise (3)

The drawbacks of The shoulders production enterprise
 
(3) agent export -- relaxed behind The heavy.
 
According to the complex, management consulting company investigation, the processing of export-oriented enterprises to foreign markets dependent high, some enterprises more than 90% of the products exported.
 
However, with excellent export performance of, is this kind of enterprise fragile, even is incomplete market function. Reason is that the processing of export-oriented enterprises, product sales and not through enterprise itself abroad to set up sales network realization, but generally used export agency way, only few level agents and foreign dealing, true market of these enterprises, it is a complete "black box", how to grasp the market demand, the ultimate establish efficient sales network, flexible use different sales mode ability, has long been ruined.
 
Now, profit interval has begun to link metastases, require these market enterprise must have strong market ability, otherwise, in the overseas markets, own destiny increasingly by others control, the survival and development of the risk is bigger and bigger. In addition, many processing of export-oriented enterprises also ready to open up the domestic market, it needs to have the enough market ability, simply by one class representative's way is not good.
 
However, the export customer-guided enterprise long-term using export agent, ruined their market function, and the formation of the market function more take a long time. So, for the processing of export-oriented enterprises speaking, the agency has brought benefits, but also causes the enterprise market function and incomplete, it will become the enterprise next to be more independent development of heavy "debt".
 

The drawbacks of the production side enterprise (2)

The drawbacks of the production side enterprise

(2) the cost advantage - behind success of fatigue .
 
The processing of export-oriented enterprises successful development of key lies in its significant cost advantage. In forming cost advantage factors, comparative advantage of Chinese labor force prices are the main factors. But with the development of industry of domestic export-oriented enterprises, processing the cost advantage is under some opposite factors offset:
 
First, the labor price advantage for a specific business is not sustainable, with China's economic development, the labor price comparative advantage affirmation increasingly weakened. Now, because of rising labor costs, many enterprises has been plagued by a decline in margins,
 
Second, since originates from the labor price cost advantages, is China's processing export-oriented enterprise relative to other countries similar production enterprise advantages, rather than a specific enterprises of China's unique advantages, so, in domestic rivals, within the scope of this holistic advantage does not constitute a concrete enterprise competitive advantage.
 
Now, with industry competition intensifies, specific development of enterprise begins to be lack of unique competitive advantage restriction. Obviously, to specific companies, must by other ways to form distinctive, difficult to imitate the competitive advantage. Will cost is concerned, through efficient production organization ability, logistics system improve ability and technology innovation ability, obtain the cost advantage can continue supporting the development of the enterprise.
 
Processing of export-oriented enterprises long-term dependence on the labor price advantage, do not attach importance to this kind of ability the raise, therefore, to this kind of processing of export-oriented enterprises it brings the elements of a successful, but also in turn to become the enterprise for the further development of the hidden trouble.

Link: http://www.usb-flash-drivers.com/channel_2.html

The drawbacks of the production side enterprise (2)

The drawbacks of the production side enterprise

(2) the cost advantage - behind success of fatigue .
 
The processing of export-oriented enterprises successful development of key lies in its significant cost advantage. In forming cost advantage factors, comparative advantage of Chinese labor force prices are the main factors. But with the development of industry of domestic export-oriented enterprises, processing the cost advantage is under some opposite factors offset:
 
First, the labor price advantage for a specific business is not sustainable, with China's economic development, the labor price comparative advantage affirmation increasingly weakened. Now, because of rising labor costs, many enterprises has been plagued by a decline in margins,
 
Second, since originates from the labor price cost advantages, is China's processing export-oriented enterprise relative to other countries similar production enterprise advantages, rather than a specific enterprises of China's unique advantages, so, in domestic rivals, within the scope of this holistic advantage does not constitute a concrete enterprise competitive advantage.
 
Now, with industry competition intensifies, specific development of enterprise begins to be lack of unique competitive advantage restriction. Obviously, to specific companies, must by other ways to form distinctive, difficult to imitate the competitive advantage. Will cost is concerned, through efficient production organization ability, logistics system improve ability and technology innovation ability, obtain the cost advantage can continue supporting the development of the enterprise.
 
Processing of export-oriented enterprises long-term dependence on the labor price advantage, do not attach importance to this kind of ability the raise, therefore, to this kind of processing of export-oriented enterprises it brings the elements of a successful, but also in turn to become the enterprise for the further development of the hidden trouble.

Link: http://www.usb-flash-drivers.com/channel_2.html

The drawbacks of the production side enterprise (1)

The drawbacks of the production side enterprise

 (1) scale expansion -- growing behind the weak.
 
Parts processing of export-oriented enterprises to realize the diversity of the trap, clear propose still in the original within the industry continued to seek the development, do not make diversification. About how to seek the development within the industry in the original problem, these enterprises high-level operator's answer is almost always "enlarge production scale".
 
But, as the domestic Labour costs, the rise of the processing of export-oriented enterprises manufacturing tends to decline, production links profits in industrial chain's competitive position also tends to decrease; Instead, market segments of the profitability and competitive position in the relative rise - - all industries developed to a certain stage after, will appear this kind of phenomenon.
 
As the first few years of the household electrical appliance industry have faced this situation, forcing home appliance manufacturing enterprise finally had to implement market integration strategy, to achieve market segments of the penetration and control. Expand production scale, although can improve enterprise in the industry's competitive position, but because did not improve the position in the industry chain, but also can cause for market segments of the further dependence, status may be more passive.
 
Processing of export-oriented enterprises in the industry development of consideration, to expand the scale of production problem cannot do simple processing, considering the production scale expansion in the way, especially need careful, otherwise, not only can enhance competitiveness, still can increase enterprise transition or exit cost.
 

The drawbacks of the production side enterprise (1)

The drawbacks of the production side enterprise

 (1) scale expansion -- growing behind the weak.
 
Parts processing of export-oriented enterprises to realize the diversity of the trap, clear propose still in the original within the industry continued to seek the development, do not make diversification. About how to seek the development within the industry in the original problem, these enterprises high-level operator's answer is almost always "enlarge production scale".
 
But, as the domestic Labour costs, the rise of the processing of export-oriented enterprises manufacturing tends to decline, production links profits in industrial chain's competitive position also tends to decrease; Instead, market segments of the profitability and competitive position in the relative rise - - all industries developed to a certain stage after, will appear this kind of phenomenon.
 
As the first few years of the household electrical appliance industry have faced this situation, forcing home appliance manufacturing enterprise finally had to implement market integration strategy, to achieve market segments of the penetration and control. Expand production scale, although can improve enterprise in the industry's competitive position, but because did not improve the position in the industry chain, but also can cause for market segments of the further dependence, status may be more passive.
 
Processing of export-oriented enterprises in the industry development of consideration, to expand the scale of production problem cannot do simple processing, considering the production scale expansion in the way, especially need careful, otherwise, not only can enhance competitiveness, still can increase enterprise transition or exit cost.
 

Production enterprise benefits(2)

Production enterprise benefits
 
 (4) product innovation, improving ability. If the OEM products belong to innovative products, supply enterprise in addition to meeting the acquirer needs outside, still can with own brand in the domestic and international market. Or increase product line length, launch new products; Or enhance product line depth, increase the variety of existing products, no matter from which hand increased all the enterprise the competitive ability.
 
OEM way for both parties concerned, in addition to share the products whole competitive advantage outside, still have a distinctive advantage, that is both parties in market flexibility. As long as the sale of any party found more profitable way, they may terminate the contract. From this Angle character, OEM market is highly effective.
 
 
(5) saving marketing investment. When enterprises face in foreign markets, due to regional wide, countries, it is difficult to establish commercial habits are different from fully independent circulation nets. But if borrow foreign company's sales force, then more conveniences.
 
Like Fuji ricoh etc, and all of it in euramerican manufacturer and brokerage adopted OEM way, this reduces the operation of the friction between enterprises, reduce enterprise should put a large sale funds, causes the enterprise to adapt in overseas business

Production enterprise benefits(2)

Production enterprise benefits
 
 (4) product innovation, improving ability. If the OEM products belong to innovative products, supply enterprise in addition to meeting the acquirer needs outside, still can with own brand in the domestic and international market. Or increase product line length, launch new products; Or enhance product line depth, increase the variety of existing products, no matter from which hand increased all the enterprise the competitive ability.
 
OEM way for both parties concerned, in addition to share the products whole competitive advantage outside, still have a distinctive advantage, that is both parties in market flexibility. As long as the sale of any party found more profitable way, they may terminate the contract. From this Angle character, OEM market is highly effective.
 
 
(5) saving marketing investment. When enterprises face in foreign markets, due to regional wide, countries, it is difficult to establish commercial habits are different from fully independent circulation nets. But if borrow foreign company's sales force, then more conveniences.
 
Like Fuji ricoh etc, and all of it in euramerican manufacturer and brokerage adopted OEM way, this reduces the operation of the friction between enterprises, reduce enterprise should put a large sale funds, causes the enterprise to adapt in overseas business

Production enterprise benefits(1)

Production enterprise benefits
 
Fang Relative to character, the acquirer over-reactive supply-side in a relatively passive position, however, using OEM way still be profitable.
 
(1) to enter the international market, and participate in the international competition. In recent years, domestic appliances industries in fierce competition, market is saturated, some domestic manufacturing enterprise in order to expand the market, and for foreign brands do OEM. Enhance enterprise's global consciousness.
 
(2) scale production and reduce the cost. Modern production exists in the economies of scale effect, namely with output scale expanding and show the unit cost downward trend. This may come from the deepening of specialization, fixed cost allocation. If the enterprise itself exists that overcapacity, cost reduction effects will be more apparent. Participate in OEM supply, means that the expansion of the scale of output, not only raised the sale of the products, and reduce the cost.
 
(3) learning experience, perfect management. Provide OEM of enterprise often in OEM the acquirer products supply chain to play an important role in the production, the OEM purchasers can administration, marketing, product development, etc have strong strength, in cooperation process, OEM supplier can be in control products quality, successful control, operational efficiency control of the management in accordance with the requirements of the acquirer organize production, with advanced organization control, from "dry" learning experience, improve the management level of enterprises.

Production enterprise benefits(1)

Production enterprise benefits
 
Fang Relative to character, the acquirer over-reactive supply-side in a relatively passive position, however, using OEM way still be profitable.
 
(1) to enter the international market, and participate in the international competition. In recent years, domestic appliances industries in fierce competition, market is saturated, some domestic manufacturing enterprise in order to expand the market, and for foreign brands do OEM. Enhance enterprise's global consciousness.
 
(2) scale production and reduce the cost. Modern production exists in the economies of scale effect, namely with output scale expanding and show the unit cost downward trend. This may come from the deepening of specialization, fixed cost allocation. If the enterprise itself exists that overcapacity, cost reduction effects will be more apparent. Participate in OEM supply, means that the expansion of the scale of output, not only raised the sale of the products, and reduce the cost.
 
(3) learning experience, perfect management. Provide OEM of enterprise often in OEM the acquirer products supply chain to play an important role in the production, the OEM purchasers can administration, marketing, product development, etc have strong strength, in cooperation process, OEM supplier can be in control products quality, successful control, operational efficiency control of the management in accordance with the requirements of the acquirer organize production, with advanced organization control, from "dry" learning experience, improve the management level of enterprises.

OEM adapt to establish new competitive advantage needs

OEM adapt to establish new competitive advantage needs
 
Modern economic development has changed people of idiopathic competition views, competition and cooperation has become a modern enterprise development of two great power. In itself has advantage of the products, use rival OEM products make oneself advantage more outstanding, meanwhile competitor also has a new development space, competition became cooperation.
 
At the same time in the rapid development of science and technology today, it is difficult to have a enterprise can all grasp a product all patent technology, through mutual way to provide OEM products will ensure the integrity of the intellectual property rights. Avoid disputes or repetitive developments brought about by the waste of resources, and can promote a technology marketing clout, make it become the new industrial standard, or group of standard, make the alliance foreword competition became relative orderly.
 
In global economic expansion form of strong demand for environment, our country's human resource advantages and scale production advantage gradually gets reflecting. In recent years, the processing trade in China on earth underway in foreign trade, share of always occupy more than 50%, become the trade surplus heaviest contribution strength, in the short term this trend will also intensified. However, at present, the main Chinese processing trade with OEM brand production primarily, therefore is necessary to analyze the advantages and disadvantages of OEM way and to our country enterprise's influence.

 

OEM adapt to establish new competitive advantage needs

OEM adapt to establish new competitive advantage needs
 
Modern economic development has changed people of idiopathic competition views, competition and cooperation has become a modern enterprise development of two great power. In itself has advantage of the products, use rival OEM products make oneself advantage more outstanding, meanwhile competitor also has a new development space, competition became cooperation.
 
At the same time in the rapid development of science and technology today, it is difficult to have a enterprise can all grasp a product all patent technology, through mutual way to provide OEM products will ensure the integrity of the intellectual property rights. Avoid disputes or repetitive developments brought about by the waste of resources, and can promote a technology marketing clout, make it become the new industrial standard, or group of standard, make the alliance foreword competition became relative orderly.
 
In global economic expansion form of strong demand for environment, our country's human resource advantages and scale production advantage gradually gets reflecting. In recent years, the processing trade in China on earth underway in foreign trade, share of always occupy more than 50%, become the trade surplus heaviest contribution strength, in the short term this trend will also intensified. However, at present, the main Chinese processing trade with OEM brand production primarily, therefore is necessary to analyze the advantages and disadvantages of OEM way and to our country enterprise's influence.

 

OEM adapt to provide customers with complete solutions

OEM adapt to provide customers with complete solutions
 
In the era of information economy, industry division thin, new product emerge in endlessly, high-tech content gradually enhance, final consumers impossible by the sci-tech contents in product judgments on its applicability, because what they need is based on the solution of the omni-directional service.
 
Modern enterprise competition from some kind of meaning is speaking assessment companies found consumer needs and provide the comprehensive plan ability, ending the importance of a single product is gradually reduced. And realistic problem is how to satisfy the more complex and individuality characteristic of consumption demand.
 
OEM way forward a good approach: namely enterprise in their own proprietary technology based on OEM mode fused to the production of other products, thus providing customers for respective demand solutions, namely so promote the enterprise itself technology development, strengthen its own brand influence, and make customer from overall solutions scored more comprehensive on-time considerate service.
 
From another Angle of speaking, is the OEM enterprises are enterprise driving developed, it embodies the principle of resources rationally. In addition, OEM manner management can more effectively allocation of scarce enterprise internal resources, minimize the management level, and improve the management efficiency.

OEM adapt to provide customers with complete solutions

OEM adapt to provide customers with complete solutions
 
In the era of information economy, industry division thin, new product emerge in endlessly, high-tech content gradually enhance, final consumers impossible by the sci-tech contents in product judgments on its applicability, because what they need is based on the solution of the omni-directional service.
 
Modern enterprise competition from some kind of meaning is speaking assessment companies found consumer needs and provide the comprehensive plan ability, ending the importance of a single product is gradually reduced. And realistic problem is how to satisfy the more complex and individuality characteristic of consumption demand.
 
OEM way forward a good approach: namely enterprise in their own proprietary technology based on OEM mode fused to the production of other products, thus providing customers for respective demand solutions, namely so promote the enterprise itself technology development, strengthen its own brand influence, and make customer from overall solutions scored more comprehensive on-time considerate service.
 
From another Angle of speaking, is the OEM enterprises are enterprise driving developed, it embodies the principle of resources rationally. In addition, OEM manner management can more effectively allocation of scarce enterprise internal resources, minimize the management level, and improve the management efficiency.

Globalization management information system development and establish new competitive advantage

 
OEM for a global information management system development needs.
 
With the development of science and technology, computer integrated manufacturing system (CIMS) gradually is widely used for production process, quality has gradually become the production process of controlled factor, this causes the OEM production for consumer products and provides the material guarantee.
 
This is exactly what the OEM production mode in higher automatization information industry industry's heyday one reason, this also like IBM, HP such only ten million employees transnational enterprises is to promote sales is one of the reasons for billions of dollars. Finite resources into channel construction, also for enterprises to improve the market reaction speed provided the basic safeguard.
 
 
OEM adapt to establish new competitive advantage needs.
 
Modern economic development has changed people of idiopathic competition views, competition and cooperation has become a modern enterprise development of two great power.
 
In itself has advantage of the products, use rival OEM products make oneself advantage more outstanding, meanwhile competitor also has a new development space, competition became cooperation.
 
At the same time in the rapid development of science and technology today, it is difficult to have a enterprise can all grasp a product all patent technology, through mutual way to provide OEM products will ensure the integrity of the intellectual property rights. Avoid disputes or repetitive developments brought about by the waste of resources, and can promote a technology marketing clout, make it become the new industrial standard, or group of standard, make the alliance foreword competition became relative orderly.

 

Globalization management information system development and establish new competitive advantage

 
OEM for a global information management system development needs.
 
With the development of science and technology, computer integrated manufacturing system (CIMS) gradually is widely used for production process, quality has gradually become the production process of controlled factor, this causes the OEM production for consumer products and provides the material guarantee.
 
This is exactly what the OEM production mode in higher automatization information industry industry's heyday one reason, this also like IBM, HP such only ten million employees transnational enterprises is to promote sales is one of the reasons for billions of dollars. Finite resources into channel construction, also for enterprises to improve the market reaction speed provided the basic safeguard.
 
 
OEM adapt to establish new competitive advantage needs.
 
Modern economic development has changed people of idiopathic competition views, competition and cooperation has become a modern enterprise development of two great power.
 
In itself has advantage of the products, use rival OEM products make oneself advantage more outstanding, meanwhile competitor also has a new development space, competition became cooperation.
 
At the same time in the rapid development of science and technology today, it is difficult to have a enterprise can all grasp a product all patent technology, through mutual way to provide OEM products will ensure the integrity of the intellectual property rights. Avoid disputes or repetitive developments brought about by the waste of resources, and can promote a technology marketing clout, make it become the new industrial standard, or group of standard, make the alliance foreword competition became relative orderly.

 

OEM adapt to provide customers with complete solutions

OEM adapt to provide customers with complete solutions
 
In the era of information economy, industry division thin, new product emerge in endlessly, high-tech content gradually enhance, final consumers impossible by the sci-tech contents in product judgments on its applicability, because what they need is based on the solution of the omni-directional service.
 
Modern enterprise competition from some kind of meaning is speaking assessment companies found consumer needs and provide the comprehensive plan ability, ending the importance of a single product is gradually reduced. And realistic problem is how to satisfy the more complex and individuality characteristic of consumption demand.
 
OEM way forward a good approach: namely enterprise in their own proprietary technology based on OEM mode fused to the production of other products, thus providing customers for respective demand solutions, namely so promote the enterprise itself technology development, strengthen its own brand influence, and make customer from overall solutions scored more comprehensive on-time considerate service.
 
From another Angle of speaking, is the OEM enterprises are enterprise driving developed, it embodies the principle of resources rationally. In addition, OEM manner management can more effectively allocation of scarce enterprise internal resources, minimize the management level, and improve the management efficiency.

OEM adapt to provide customers with complete solutions

OEM adapt to provide customers with complete solutions
 
In the era of information economy, industry division thin, new product emerge in endlessly, high-tech content gradually enhance, final consumers impossible by the sci-tech contents in product judgments on its applicability, because what they need is based on the solution of the omni-directional service.
 
Modern enterprise competition from some kind of meaning is speaking assessment companies found consumer needs and provide the comprehensive plan ability, ending the importance of a single product is gradually reduced. And realistic problem is how to satisfy the more complex and individuality characteristic of consumption demand.
 
OEM way forward a good approach: namely enterprise in their own proprietary technology based on OEM mode fused to the production of other products, thus providing customers for respective demand solutions, namely so promote the enterprise itself technology development, strengthen its own brand influence, and make customer from overall solutions scored more comprehensive on-time considerate service.
 
From another Angle of speaking, is the OEM enterprises are enterprise driving developed, it embodies the principle of resources rationally. In addition, OEM manner management can more effectively allocation of scarce enterprise internal resources, minimize the management level, and improve the management efficiency.

OEM adapt world-class brands development needs

OEM manufacturing industry, especially in the way of the rapid development of the information industry in industrial application is extremely extensive.
 
For example, according to the statistics institutions of IDG global authority (International Group) statistics, Digital global personal computer manufacturers use hard disk above 95% by Quantum and Seagate, West Digital this three big hard disk vendors to OEM way to provide. Are able to receive the application of reason, is he adapted to entering the 1990s global technology rapid development brings the new competition situation needs.
 
OEM way with its flexible, efficient business characteristics, adapted to the new development of the situation, was thus widely used.
 
 
OEM adapt world-class brands development needs.
 
Economic competition is becoming increasingly to the global scale, brand and channels increasingly reflected in the actual commodity ultimate value the vital role, OEM manufacturer mark terms are way zhongyuan illustrate this point importance.
 
In the economic competition has been increasingly recognized the importance of brand, because only among consumers establish good image, can win more marketing channel partner support to pass with the joint efforts of the channel partners to make products more duane consumption group penetration. Therefore many business performance good multinational company always pay attention to brand image and marketing channel construction.
 
Therefore make full use of OEM way will have been mature product or other enterprise have advantages in production product pushed into their own marketing channel, use oneself in value-added service advantages to win a wider range of consumer, it is also called "lend chicken unripe egg" remedy.

OEM adapt world-class brands development needs

OEM manufacturing industry, especially in the way of the rapid development of the information industry in industrial application is extremely extensive.
 
For example, according to the statistics institutions of IDG global authority (International Group) statistics, Digital global personal computer manufacturers use hard disk above 95% by Quantum and Seagate, West Digital this three big hard disk vendors to OEM way to provide. Are able to receive the application of reason, is he adapted to entering the 1990s global technology rapid development brings the new competition situation needs.
 
OEM way with its flexible, efficient business characteristics, adapted to the new development of the situation, was thus widely used.
 
 
OEM adapt world-class brands development needs.
 
Economic competition is becoming increasingly to the global scale, brand and channels increasingly reflected in the actual commodity ultimate value the vital role, OEM manufacturer mark terms are way zhongyuan illustrate this point importance.
 
In the economic competition has been increasingly recognized the importance of brand, because only among consumers establish good image, can win more marketing channel partner support to pass with the joint efforts of the channel partners to make products more duane consumption group penetration. Therefore many business performance good multinational company always pay attention to brand image and marketing channel construction.
 
Therefore make full use of OEM way will have been mature product or other enterprise have advantages in production product pushed into their own marketing channel, use oneself in value-added service advantages to win a wider range of consumer, it is also called "lend chicken unripe egg" remedy.

OEM adaptive technology rapid development needs

OEM adaptive technology rapid development needs
 
 
The rapid development of science and technology caused the product life cycle shortens. The enterprise competition strategy is from expand the scale of production, reduce production cost, give priority to heart production-oriented way attention to the new technology application, rapidly introduced new product mainly centers of the market business mode transformation.
 
According to IDC data display, in 50-60's electronic product lifecycle average 10-12 years, while in the 1990s this numerical reduced to 6-18 months. In the new technology of electronic information age emerge in endlessly, business operators to obtain competitive sometimes and unexpectedly phase increased to new product research and development, the huge investment to quickly will study achievements into commodity seizes the market, many large enterprises will critical components own production, and auxiliary parts with OEM way out to contract let other enterprise production, so that can assure already shorten production period, there can be saved from used for production equipment with a lot of money for research and development, enterprise in market response speed aspect maintained a virtuous cycle, the enterprise can also, according to the market situation changes, timely adjust the production scale, which may keep an adapting market developments, the flexible production system.
 
From another Angle, product life cycle shortens, enterprises for the production equipment investment in spirit wear inevitably increase, in order to reduce the opportunity cost of using OEM production, cannot but way that make full use of external resources "grass ship for borrow arrows".

OEM adaptive technology rapid development needs

OEM adaptive technology rapid development needs
 
 
The rapid development of science and technology caused the product life cycle shortens. The enterprise competition strategy is from expand the scale of production, reduce production cost, give priority to heart production-oriented way attention to the new technology application, rapidly introduced new product mainly centers of the market business mode transformation.
 
According to IDC data display, in 50-60's electronic product lifecycle average 10-12 years, while in the 1990s this numerical reduced to 6-18 months. In the new technology of electronic information age emerge in endlessly, business operators to obtain competitive sometimes and unexpectedly phase increased to new product research and development, the huge investment to quickly will study achievements into commodity seizes the market, many large enterprises will critical components own production, and auxiliary parts with OEM way out to contract let other enterprise production, so that can assure already shorten production period, there can be saved from used for production equipment with a lot of money for research and development, enterprise in market response speed aspect maintained a virtuous cycle, the enterprise can also, according to the market situation changes, timely adjust the production scale, which may keep an adapting market developments, the flexible production system.
 
From another Angle, product life cycle shortens, enterprises for the production equipment investment in spirit wear inevitably increase, in order to reduce the opportunity cost of using OEM production, cannot but way that make full use of external resources "grass ship for borrow arrows".

The OEM origin and developme

 OEM is socialized production and large-scale cooperation under the trend of a kind of way is one of the effective ways of resource rationalization, is the result of socialized production.
 
In Europe, in early 1960s has established have OEM properties of industry association, 1998, the OEM production trade has reached 35 billion euros, accounting for European industrial output value of more than 14%, OEM production has become a modern industrial production of important component. With the globalization of economy development trend of the accelerated, OEM requirements traders may in wider range select OEM suppliers, especially to processing manufacturing cost of countries and regions.
 
In Asia, Japan enterprise for rapidly occupation market, reduce production cost, the earliest adopts the international OEM production form of trade. "Asian tigers" takeoff also with OEM have closely linked. Among them, Taiwan has become a global PC's biggest OEM base, India is also through the OEM way to become the world's biggest computer software exporter. In the IT industry, from technology to components to software function modules, who is all-powerful? Compaq President Fidel phil talked about this, said: "with the most direct way of making more money!"
 
And vowed to save those so-called assets (plant, equipment, office buildings, etc.) of the burden of. Even some called: make the whole of IT industry OEM! American Nike, with the annual sales income up to 20 billion dollars, without a production factory, only focus research, design and marketing products all adopt OEM way to become in the world at present OEM business successful model.

The OEM origin and developme

 OEM is socialized production and large-scale cooperation under the trend of a kind of way is one of the effective ways of resource rationalization, is the result of socialized production.
 
In Europe, in early 1960s has established have OEM properties of industry association, 1998, the OEM production trade has reached 35 billion euros, accounting for European industrial output value of more than 14%, OEM production has become a modern industrial production of important component. With the globalization of economy development trend of the accelerated, OEM requirements traders may in wider range select OEM suppliers, especially to processing manufacturing cost of countries and regions.
 
In Asia, Japan enterprise for rapidly occupation market, reduce production cost, the earliest adopts the international OEM production form of trade. "Asian tigers" takeoff also with OEM have closely linked. Among them, Taiwan has become a global PC's biggest OEM base, India is also through the OEM way to become the world's biggest computer software exporter. In the IT industry, from technology to components to software function modules, who is all-powerful? Compaq President Fidel phil talked about this, said: "with the most direct way of making more money!"
 
And vowed to save those so-called assets (plant, equipment, office buildings, etc.) of the burden of. Even some called: make the whole of IT industry OEM! American Nike, with the annual sales income up to 20 billion dollars, without a production factory, only focus research, design and marketing products all adopt OEM way to become in the world at present OEM business successful model.

What is OEM, ODM, OBM?

What is OEM, ODM, OBM?
 
"Original commissioned" OEM (reprographic systems Manufactures) is the Equipment manufacturer according to the Original requirement with the authorization, in accordance with the specific conditions and production. All the drawings are completely in accordance with the manufacturers such as the design for manufacturing processes.
 
"Original Design by reprographic systems Manufactures" ODM (themselves) is in product Design and development activities, via efficient product development speed and competitive manufacturing efficiency, satisfy buyers requirements. After technical ability enough, and then can improve the capacity design start receive case and deal with the design and development of related affairs.
 
"Create Brand" OBM (Manufacture) : next reprographic systems developed their own enterprise image, then obtain the biggest economic benefits. In the industrial society, OEM and ODM is commonplace. Because of manufacturing cost, transportation convenience, save development time etc consideration, well-known brand enterprise will generally find other OEM or ODM manufacturer.
 
Looking for other enterprise OEM or ODM, famous brand enterprise also should assume many responsibilities. After all products of the crown is own brand, if the quality of your products is not beautiful words, little criterion a customer complaints, heavy then may seek to court. So, the brand enterprise in the entrusted during the process will certainly carry out strict quality control. But after OEM quality no promises. Therefore, when some businessmen tell you something product manufacturer is a big brands OEM or ODM products, never believe its quality is synonymous with the brand. The only thing you can believe in, it is the manufacturer has certain production capacity.

What is OEM, ODM, OBM?

What is OEM, ODM, OBM?
 
"Original commissioned" OEM (reprographic systems Manufactures) is the Equipment manufacturer according to the Original requirement with the authorization, in accordance with the specific conditions and production. All the drawings are completely in accordance with the manufacturers such as the design for manufacturing processes.
 
"Original Design by reprographic systems Manufactures" ODM (themselves) is in product Design and development activities, via efficient product development speed and competitive manufacturing efficiency, satisfy buyers requirements. After technical ability enough, and then can improve the capacity design start receive case and deal with the design and development of related affairs.
 
"Create Brand" OBM (Manufacture) : next reprographic systems developed their own enterprise image, then obtain the biggest economic benefits. In the industrial society, OEM and ODM is commonplace. Because of manufacturing cost, transportation convenience, save development time etc consideration, well-known brand enterprise will generally find other OEM or ODM manufacturer.
 
Looking for other enterprise OEM or ODM, famous brand enterprise also should assume many responsibilities. After all products of the crown is own brand, if the quality of your products is not beautiful words, little criterion a customer complaints, heavy then may seek to court. So, the brand enterprise in the entrusted during the process will certainly carry out strict quality control. But after OEM quality no promises. Therefore, when some businessmen tell you something product manufacturer is a big brands OEM or ODM products, never believe its quality is synonymous with the brand. The only thing you can believe in, it is the manufacturer has certain production capacity.

What OEM can do for you?

What OEM can do for you?
 
 
OEM customers means that market, OEM customers more for your product's market share is higher. Some experts believe, OEM integration division of labor in the global economy increasingly refined product. It for business to release energy and financial resources investment in innovation capacity, to minimize investment in fixed assets.
 
 
Currently in China, when a manufacturer to extend its brand, the road before it has three: either their practice; or some of the relevant merger enterprise; or output management, output brands, so the OEM, the so-called "virtual business." In practice, most companies tend to adopt the third approach. enterprises in the grasp core technology and the establishment of a mature marketing network, can not directly invest in production, but on behalf of other companies through to production of their products the way to complete production tasks. so, just pay the cost of materials costs and processing fees, without having to bear the depreciation of equipment, self-built factory and production management of risk, but also flexible according to market changes at any time on demand orders.
 
 
which can promote the formation of new business products business strengths, culture and expansion of the expansion of the internal force companies to improve management capacity and management level, thus to a more high levels of capital operation.

Business friends for you to provide health care products oem

Global oem networks, specialized services in various sectors of professional oem site. Business friends for you to provide health care products oem, great package pharmaceutical distributor, cosmetics oem, electronic appliances oem, oem and other clothing and shoes industries oem information.
 
 1: OEM is Original Equipment Manufacture (OEM) acronym, it refers to a "foundry" approach, which means that brand owners do not directly produce goods, but to use their grasp of the "critical core technology ", responsible for the design and development, control of sales" channels ", the specific processing tasks to the way other companies do. This approach is developed in the electronics industry only after a lot of the progressive in the world, generated a universal phenomenon, Dell, HP, IBM and other major international companies have adopted this approach.
 
 2: ODM in English Original Design Manufacturer (ODM) of the acronym refers to a manufacturer under the requirements of another manufacturer for its production of products and product accessories, also known as OEM or authorized OEM. That Committee on behalf of external processing, but also on behalf of subcontract machining. domestic habits as collaborative production.
 
ODM manufacturers design modes of supply:
 
1. Buyout by: brand owner of the ODM manufacturers buy ready-made product design a model, or brand owner of the separate requirements of ODM manufacturers design products for their own programs.
 
2. Do not buy way: do not buy the brand owner of the ODM manufacturer of a particular model of product design, ODM manufacturers can adopt the same model do not buy the product design approach also sell other brands. When two or more brands that share a design, the main difference between the two brands is the appearance.

Business friends for you to provide health care products oem

Global oem networks, specialized services in various sectors of professional oem site. Business friends for you to provide health care products oem, great package pharmaceutical distributor, cosmetics oem, electronic appliances oem, oem and other clothing and shoes industries oem information.
 
 1: OEM is Original Equipment Manufacture (OEM) acronym, it refers to a "foundry" approach, which means that brand owners do not directly produce goods, but to use their grasp of the "critical core technology ", responsible for the design and development, control of sales" channels ", the specific processing tasks to the way other companies do. This approach is developed in the electronics industry only after a lot of the progressive in the world, generated a universal phenomenon, Dell, HP, IBM and other major international companies have adopted this approach.
 
 2: ODM in English Original Design Manufacturer (ODM) of the acronym refers to a manufacturer under the requirements of another manufacturer for its production of products and product accessories, also known as OEM or authorized OEM. That Committee on behalf of external processing, but also on behalf of subcontract machining. domestic habits as collaborative production.
 
ODM manufacturers design modes of supply:
 
1. Buyout by: brand owner of the ODM manufacturers buy ready-made product design a model, or brand owner of the separate requirements of ODM manufacturers design products for their own programs.
 
2. Do not buy way: do not buy the brand owner of the ODM manufacturer of a particular model of product design, ODM manufacturers can adopt the same model do not buy the product design approach also sell other brands. When two or more brands that share a design, the main difference between the two brands is the appearance.