Hangzhou Zhongce Rubber: Tires that are not afraid of black heart nails sell fire

Faced with the sudden global financial turmoil, many Chinese companies have faced a crisis. How to turn the crisis into a machine? Hangzhou Zhongce Rubber Co., Ltd., with its “Chaoyang” brand tires as its leading domestic leader, is presented with a beautiful quarterly report. The answer: Under the situation that the sales revenue of the entire industry dropped by 13%, China Steering Group’s sales revenue was basically flat, with sales revenue exceeding RMB 3.4 billion, of which the highest record was also recorded in March. In the first quarter, profits and taxes reached 308 million yuan, a year-on-year increase of nearly 90%. Industrial added value increased by 30% year-on-year, and profits increased by 34% year-on-year.

One-year research funding 400 million

Research and development of tires against "black heart nails"

“The best product we are selling now is the newly developed product.” Shen Jinrong, general manager of the company, told reporters that each year the company has to invest large sums of money for scientific research. Last year it cost 400 million yuan. The company also tasted the sweetness of research and development. It completed the development of new products last year and put into production to 180 specifications, which is almost every two days. It can be said that it has led the development direction of the Chinese tire market. “We developed tires suitable for heavy trucks that can both load and open on highways. The gross profit of this series of products is twice that of traditional products.” According to reports, in the first quarter, companies invested 110 million yuan in completing technological reforms.

At the company's research center, the reporter saw that more than 60 high-speed machine tools were operating at rapid speed. The staff member said: "This is equivalent to 60 cars running constantly." According to reports, China Strategic also plans to build a base in Xiasha. The Center Research Building is expected to have an area of ​​20,000 square meters. In the fierce market competition, we must stabilize the market and only grasp new demands.

"Our new products contain high technology. Have you seen tires that specifically deal with "black hearts"? We have tires that don't have to pump for six months and that won't leak." Shen Jinrong told reporters, like this year's launch The new "Invincible Veyron" tires were developed by the company after several years. It is often heard that some citizens have said that their electric bicycle tires have been punctured by black hearts. The leaders of China Strategic Management have keenly captured the business opportunities here: “If you develop a tire that is not afraid of black screws, it will certainly be very popular.”

They found the material of the body armor, but how can this material be combined with rubber? How can the life of the tire be extended? Each problem is blocked by the R&D team. After numerous tests, the nails have collapsed, and the tires' undamaged products have finally been successfully launched. "Now this product is selling very hot, we sometimes do not dare to accept the list, afraid to produce too late." The company responsible person said.

Caravan "sweeping street", zero distance from driver

The biggest impact of the financial crisis on domestic companies is the sharp drop in demand in foreign markets. “We have also been affected in some ways. In the first quarter, exports fell by 28%, but we immediately adjusted the internal and external sales structure.” Shen Jinrong told reporters that in fact, from the beginning of last year, they thought that foreign markets appeared to be shrinking. Start adjusting the product. After conducting a subdivision study on the domestic market, it was found that there was a lot of articles in the domestic market, such as heavy-duty tires. After research and subdivision, specialized guide tires and drive tires were developed.

In terms of procurement strategy, China Strategic also actively adjusted. “Last year last year, we had already judged the decline in raw material demand. At the time when prices were higher, we took strict measures to control procurement and did not sign long-term contracts.” Shen Jinrong said that when raw material prices plummeted in October, the company’s stock Is the lowest. Now the company's procurement costs are lower than other companies in the industry and maintain its advantage in the market. Also won a good reputation. "Now, with good sources of supply, suppliers will first ask us if we want to."

The wine also needs diligence. This year, China Strategic has added a team that is known by the factory as the “Street Sweeping Branch”. It is equipped with a truck with a 20-ton load and it will be rotated every year to large parking lots throughout the country. "It's like a Transformer inside. It has a stage, audio, video, and samples of new products." The staff introduced, went to the market, talked with the product, and let the drivers feel their experience The effect of "sweeping the street" was achieved.

Under the crisis, promised not to lay off staff and not reduce pay

In addition to creating wealth, businesses should also assume social responsibility. Under the financial crisis, China Strategic Corporation made a commitment to its employees for the first time: "No layoffs or no pay cuts."

“Last year last year, the company’s operating rate was less than 70%. What did it do in empty time? We used to train employees.” Shen Jinrong told reporters that this is actually a good opportunity to upgrade the employees’ production skills and quality training. In three months, each employee had two or three rounds of training. Later, many employees wrote to the company’s leadership: “In this difficult situation, the company will not only not reduce their pay, but also give us training opportunities, we will work hard.”

Sometimes it may only be a small matter for the company, but a little care will increase the cohesion of the staff. Before the Spring Festival this year, the company also packaged more than 50 vehicles to send employees from Anhui and Henan to their hometown for the New Year. “At the time, when they got home, they sent me a text message or gave the company office a report.”

Shen Jinrong said that when they were brought back, they returned more than they sent.

In the interview, the reporter deeply felt that the Chinese policy makers have always demonstrated a belief that the market economy is a typical confidence economy and that confidence is more important than gold. The most difficult and crises, and also the time when the opportunities are the greatest, as long as the rational face of the crisis, through the crisis, see the opportunities, seize the opportunities, make good use of opportunities, companies can survive and develop.

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