The "two-eighth law" means that in any group of things, the most important one is only a small part, about 20%, and the remaining 80%, although a majority, is secondary.
This law is particularly evident in the distribution of profits on high-tech products. In the manufacturing process of many commodities, Chinese companies have paid most of their labor, but they have only received a small portion of their profits. Foreign companies have provided advanced technology and have easily earned most of their profits. Liu Deyun, general manager of Nanjing Essen Environmental Technology Co., Ltd., said: "We are trying to break this rule and grab the most profitable part from foreigners!"
From "doing" to "equal cooperation"
Essen, founded in 2003, was originally with Germany E. The ON company cooperates with Emerson, the United States, to provide equipment for each other, and Essen does peripheral support and peripheral support. At that time, environmental monitoring had just started in China, and Europe and the United States had been studying for nearly 30 years. “For example, with a flue gas analyzer, we can only make 20%-30% of the market price, and the big heads are taken away by foreign companies.†Liu Deyun said.
As there were not many competitors in the industry at the time, Essen had made a lot of money, but they knew very well that people who always did “doing odd jobs†would one day be replaced by others. For this reason, Essen has increased investment in R&D every year, and has cooperated actively with Southeast University and Nanjing Information Engineering University. "Largely, we can also do things that foreign companies can do, and the cost is reduced a lot," said Liu Deyun. "There is an accessory in the exhaust gas analysis equipment called peristaltic pump. Our product cost is even less than half of the import, and customers are as good as they are."
This year, Essen re-signed a cooperation agreement with Emerson, which is different from what it used to be. This time it is a reciprocal cooperation and the two parties conduct joint research and development.
From "Acquiring" to "Chinese Characteristics"
Although foreign products have a high level of technology, they sometimes do not meet the domestic situation. It is not advisable to blindly use "adoptionism." For example, China stipulates that the weight of water shall be deducted from the results of the measurement of flue gas, and only the net weight of impurities such as sulfur dioxide and nitrogen oxides shall be calculated. However, there is no such regulation abroad, and the instruments they produce do not have this function. This has also made domestic monitoring agencies guilty. The Ministry of Environmental Protection of the People's Republic of China has provided that the "moisture weight" column in the report data allows manual input.
The smoke gas analyzer developed by Essen after 3 years has completely solved this problem. At present, the market share of this equipment reaches 80%. In the latest regulations of the Ministry of Environmental Protection, the weight of water allowed to be entered manually was also deleted.
From OEM to Reverse OEM
In the past few years, Essen has often made OEMs (for OEMs) for US and German companies. A piece of equipment was sold to foreigners for US$ 100,000. They used to transfer US$ 500,000 in one label. At present, Essen only customizes sensor chips for foreign companies. The rest of the equipment is manufactured by itself. "We are going to do reverse OEM, let them do the OEM for us and paste Essen's trademark."
In recent years, Essen has given up the opportunity of direct cooperation with industrial and mining companies, instead of doing “big and full†system integration, but specializing in R&D and manufacturing of key equipment. At present, the company’s output value has reached about 50 million yuan, compared with 7 Turned 10 times ago, "This road seems to be right. Only by grasping the high value-added link can companies continue to develop in a sustainable manner," said Liu Deyun.
This law is particularly evident in the distribution of profits on high-tech products. In the manufacturing process of many commodities, Chinese companies have paid most of their labor, but they have only received a small portion of their profits. Foreign companies have provided advanced technology and have easily earned most of their profits. Liu Deyun, general manager of Nanjing Essen Environmental Technology Co., Ltd., said: "We are trying to break this rule and grab the most profitable part from foreigners!"
From "doing" to "equal cooperation"
Essen, founded in 2003, was originally with Germany E. The ON company cooperates with Emerson, the United States, to provide equipment for each other, and Essen does peripheral support and peripheral support. At that time, environmental monitoring had just started in China, and Europe and the United States had been studying for nearly 30 years. “For example, with a flue gas analyzer, we can only make 20%-30% of the market price, and the big heads are taken away by foreign companies.†Liu Deyun said.
As there were not many competitors in the industry at the time, Essen had made a lot of money, but they knew very well that people who always did “doing odd jobs†would one day be replaced by others. For this reason, Essen has increased investment in R&D every year, and has cooperated actively with Southeast University and Nanjing Information Engineering University. "Largely, we can also do things that foreign companies can do, and the cost is reduced a lot," said Liu Deyun. "There is an accessory in the exhaust gas analysis equipment called peristaltic pump. Our product cost is even less than half of the import, and customers are as good as they are."
This year, Essen re-signed a cooperation agreement with Emerson, which is different from what it used to be. This time it is a reciprocal cooperation and the two parties conduct joint research and development.
From "Acquiring" to "Chinese Characteristics"
Although foreign products have a high level of technology, they sometimes do not meet the domestic situation. It is not advisable to blindly use "adoptionism." For example, China stipulates that the weight of water shall be deducted from the results of the measurement of flue gas, and only the net weight of impurities such as sulfur dioxide and nitrogen oxides shall be calculated. However, there is no such regulation abroad, and the instruments they produce do not have this function. This has also made domestic monitoring agencies guilty. The Ministry of Environmental Protection of the People's Republic of China has provided that the "moisture weight" column in the report data allows manual input.
The smoke gas analyzer developed by Essen after 3 years has completely solved this problem. At present, the market share of this equipment reaches 80%. In the latest regulations of the Ministry of Environmental Protection, the weight of water allowed to be entered manually was also deleted.
From OEM to Reverse OEM
In the past few years, Essen has often made OEMs (for OEMs) for US and German companies. A piece of equipment was sold to foreigners for US$ 100,000. They used to transfer US$ 500,000 in one label. At present, Essen only customizes sensor chips for foreign companies. The rest of the equipment is manufactured by itself. "We are going to do reverse OEM, let them do the OEM for us and paste Essen's trademark."
In recent years, Essen has given up the opportunity of direct cooperation with industrial and mining companies, instead of doing “big and full†system integration, but specializing in R&D and manufacturing of key equipment. At present, the company’s output value has reached about 50 million yuan, compared with 7 Turned 10 times ago, "This road seems to be right. Only by grasping the high value-added link can companies continue to develop in a sustainable manner," said Liu Deyun.
Eva Tea Set Storage Bag,Tea Cups And Mugs Storage Bag,Travel Tea Set Bag,Tea Set Storage Bag
Dongguan Yuanlai Packaging Products Technology Co., Ltd. , https://www.ylevacase.com