In recent years, with the rapid development of the power industry, my country's wire and cable industry has also continued to grow. At present, the scale of China's wire and cable enterprises reaches nearly 10,000, of which 97% are small and medium-sized enterprises, and the average equipment utilization rate is 30%-40%, which is far lower than the international level of equipment utilization rate of more than 70%. There are still many problems in the industry Therefore, the development trend of the wire and cable industry has attracted much attention from the industry.

Brands and marketing networks become key factors in competition

At present, there are a large number of enterprises in my country's wire and cable industry, and market competition is still dominated by price competition. Some leading companies in the industry have gradually got rid of low-end price competition and participated in the mid-to-high-end market competition by continuously strengthening brand effects and expanding marketing channels. With the continuous advancement of industry structure adjustment and the upgrade of market segmentation needs, brands and marketing networks will become a key factor for competition among enterprises in the industry. Industry superior companies will also rely on their competitive advantages in brand, capital, scale, marketing, R&D, etc. to gain greater market share and broader development space, and industry concentration will be further improved.

At present, my country's wire and cable production and sales volume ranks first in the world, but the industry concentration is low. Enterprises have serious homogeneity in product varieties and technology selection, lack of core competitiveness, and have formed a trend of homogeneous competition in the industry. By the end of 2014, my country's wire and cable industry had reached 3,863 enterprises above designated size, most of which were relatively small and weak SMEs. The industry's low concentration and highly decentralized structure are not conducive to the sustainable development of the industry, and structural adjustment has become a development trend. In recent years, leading companies in the industry have further expanded their scale and improved their competitiveness through mergers and acquisitions, which has promoted industry restructuring to a certain extent. With the escalation of competition in the industry, industry concentration will further increase in the future.

Transformation and upgrading make quality the protagonist of competition

Transformation and upgrading are key measures to improve quality competitiveness. According to the development history of various countries in the world, when economic growth slows or even declines, the development of various industries must inevitably increase the concentration of the industry through mergers, acquisitions, upgrades, and transformations. China's cable industry is no exception . In recent years, experts have also emphasized the transformation and upgrading of the wire and cable industry. The transformation and upgrading they emphasized is the integration and upgrading guided by market demand.