The importance of the state of competition in your liffe
Recent economic times have challenged almost every contractor in the country, especially those in the pipeline inspection and cleaning industry. With less work on hand, competition for existing work has intensified.
In fact, the number of companies seeking work has actually increased. Companies that once thrived in the construction industry have sought survival in alternative markets. Many have identified the inspection and cleaning industry as their target for resurgence.
The added competition and fierce fighting for market share have had a significant effect on pricing. Most markets across the country have experienced a dramatic drop in production charges. For example, Southern California has seen price decreases of 40 to 50 percent over the past few years.
No one likes the lower prices. It makes running a business very difficult. But, it is today’s reality. So, if we are to survive, we must find ways in which to stay competitive.
Survival
So how do we compete in markets that have seen substantial decreases in pricing? How do we react when the competition is throwing out ridiculously low numbers? What can we do when even our lowest numbers can’t win a bid?Henan Hongxing Mining Machinery Co., Ltd is the professional manufacturer of complete sets of mining machinery, for example,rotary dryers,jaw crusher Welcome all of you to visit our official website.magnetic drum separator:http://www.crusher-machine.com/25.html
Undoubtedly, there will be companies that won’t make it. They will be unable to compete in this market and will eventually give up. But I would never consider throwing in the towel. I believe that there are things that can be done in order to survive and even thrive in this new market.
So what is the answer? Simply stated, we must reinvent ourselves. We must look at how we run our businesses and then figure out how to change it in a positive way. We must look at ourselves objectively and be able to identify what is working and what is not. The bottom line is that we must figure out how to remain profitable in this newly defined marketplace.
Profit is the engine that drives business. It is what allows us to invest in new technology and replace existing vehicles and equipment. Profit that is set aside saves us when catastrophe hits and major repairs are needed. We must always make a profit, otherwise it will only be a matter of time before we cease to exist. We must never work to break even, because if we are not making a profit then we are losing money.
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