Computer Accessories Collective Price Increases: The Upstream Manufacturing Waste May Be The Main

In fact, the upstream raw material shortages and price increases due to manufacturing plant, had not news. Last year, there have been two waves of the computer out of the market trend, namely, the beginning of February and in the middle of July. It’s that time of the survey, resulting in shortage of the computer market last year because a large number of upstream manufacturing plant closures in the financial crisis, or suspend or reduce production, leading to a shortage of raw material supply.

“Last year, out of the computer market surge was mainly due to the financial crisis on the upper reaches of the impact of manufacturing, then in order to achieve salvation, the major manufacturers have not only layoffs, but also to reduce the original production targets.” Meaningful electronic factory Guangzhou Baiyun District, a is responsible for claims, “the entire first half of 2009, many factories have cut production in the contract to address unexpected financial crisis.”

In the visit, the number of upstream manufacturing sector have indicated that the financial crisis last year because of shortages caused by drought this year, compared prices of raw materials, the source of collective shortage is spreading from the beginning of the year and has been the lack of manufacturing facilities in the upstream labor shortage.

“Although the second half of 2009, a strong recovery in domestic and international economic trend, overseas orders and increasing demand for domestic consumption, however, from the beginning of the year, many have trouble processing plant upstream raw materials shortage of workers.” Meaningful electronics factory is responsible for claims “This may lead to computer accessories are now the main reason for the collective price increases.”

Looking at the entire IT industry chain, from upstream manufacturing to end sales, divided into several major components: upstream suppliers of raw materials?? Accessory factory?? Computer shipment?? Brands?? Downstream channels?? End market. Now, because of shortages and price increases concentrated in the most upstream raw material processing and manufacturing of this part.

“No person engaged in production, you said that rising raw material prices can not you?” Dongguan, a factory’s raw materials supply for the computer speaker to the press, complain, because the factory did not reserve enough materials, combined with facing labor shortage, only bear to see the loss of orders.

Computer accessories from the Pearl River Delta’s more than aware of raw material processing plants, nearly 3 percent of the plant more or less facing the shortage of labor shortage, labor shortage caused by the lack of increase in labor costs also make these plants in a vicious circle, even a small number of manufacturing plants still in the semi-cut-off or shutdown state.

IT industry chain link problems, a direct result of a ripple effect throughout the industry chain. With raw material prices and labor costs increase, many upstream and downstream processing of raw materials on behalf of the factory have become “powerless.”

“Despite the financial crisis has past, the economic rebound, the orders did increase, but the plant still could not take too many orders. The cost of large, low profits, the more it also mean more orders for a loss.” Chassis, a power plant upstream to the reporter responsible for said.

Brand of tumbling price increase

Computer accessories collective rise in general price increases DIY installed capacity market, the industry believes that a wave of brand computer market prices will surge, compared to before, the magnitude of price increases may be more widespread.

Brand computer really prices? In an interview, many brands to deny the person in charge. A well-known PC brand in South China official said the short term, brand of parts do not follow this wave of price increases and price increases. He believes that the current global financial crisis has not dissipated, the computer brand in the market is still very fierce battle, in this context, no brand will be the first price increase and find yourself in a disadvantageous competitive situation.

Point to the left with brand manufacturers, channel operators do not think so. Many sources say, than in the DIY market, brand machine will lag a number of significant price increases. “Currently in the DIY market, installed a similar configuration of desktop computer 200 yuan higher than the beginning of the year over.” Of Guangzhou, a channel for business, said, “are more sensitive than the DIY market, brand machine for the production cycle restrictions on price hikes will not so quickly. ” SABUNG AYAM