At the beginning of the New Year in 2020, the novel coronavirus seems to have pressed the pause button for the whole of China, and an invisible war has officially started. The epidemic has had a huge impact on China's economy. The traditional economy has not yet emerged from the cold winter, but the epidemic has hit China again.
In the real estate regulation and other macro-economic environment in the face of tight reality, economic growth slowed down, the market environment is depressed. In particular, small and medium-sized enterprises, which suffered Waterloo in 2019, are even worse after the impact of this epidemic, and may experience a reshuffle.
Compared with transportation, catering, tourism, hotel and other industries, the epidemic has not caused irreversible losses to our construction, air conditioning and hVAC industries in the short term, but a large number of project delays, factory shutdown, income stagnation, cash flow tension and even fracture. If this epidemic continues for another two or three months, many companies will face bankruptcy.
Due to the collapse of the first quarter of the year, the following period of time, many companies will be "survival" as the only goal. "Give up profit", "fight for sales", "protect cash", "seize market share", which is bound to bring a lot of pressure to high-quality, high-tech content, high cost operation of the enterprise, our market environment is more severe.
Misery is more hopeful than misery
The development of the Chinese nation has never been smooth sailing. We have suffered numerous natural disasters, wars, plagues and other disasters. Through five thousand years of wind and rain, the Chinese nation has gone through many twists and turns, and created many miracles that shook the world!
Back in 2003, when SARS broke out, China achieved a miracle that its economic growth rate exceeded that of the previous year and started a decade of super-fast economic growth while fighting the epidemic. (China's real GDP grew 10.0 per cent in 2003, up from 9.1 per cent in 2002, the first year of formal accession.) Taking into account the characteristics of the outbreak and the recent performance of key industries, we can safely judge that the outbreak will not reverse the trend of China's sustained economic growth or affect the overall situation of development.
In addition, the epidemic has aroused the strong cohesion of the Chinese people, and the whole country is united like never before. We should be confident that the epidemic will be contained as soon as possible and that normal economic activities will basically resume within the first quarter. We have enough time left in the year to catch up and make up for lost time. With the gradual recovery of production capacity and the delayed release of social demand, most industries will recover steadily or even rebound quickly.
In crisis there is opportunity
"Misfortune depends on fortune, fortune lies in misfortune", crisis also contains opportunities. We must be good at seeking and seizing opportunities in a crisis, turning pressure into motivation and obstacles into breakthroughs.
◈ first, in terms of construction, air conditioning and the hvac industry, although a large amount of project delay during outbreaks, temporarily at a standstill, but not cancelled, we still have the market, project is still there, after the outbreak of the project will start. Many enterprises are forced by the pressure of project delivery, especially the national key project, to catch up with the schedule, accelerate the speed of production, construction, construction, will put forward higher requirements for the market. Therefore, in the next three quarters of this year, there will be more new opportunities for strong, operational, service and emergency response companies.
◈ second, after every hardship, people will become more rational and get further sublimation ideology and pattern, will be more cherish life. The past month or so has been the most profound collective practice of the Chinese people. The epidemic has not only changed the society, but also changed many people's attitude towards the world and their understanding of life.
◈, moreover, the outbreak, once again let people deeply realize the importance of health, pay more attention to health of body and mind and the ascension of their own immunity, also pay more attention to create a comfortable and healthy indoor environment; More people have formed the habit of paying attention to indoor temperature and humidity and air quality. Meanwhile, hospitals, schools, shopping malls, offices and other public places will also pay attention to maintaining appropriate temperatures and healthy air quality. Therefore, both the construction industry and the intelligent building technology field will usher in greater development opportunities.
Enterprises should get through the "two lines of supervision" to achieve new breakthroughs
First, get through the "reserve" pulse. Do a good job of cash flow and cash reserves, firmly grasp the lifeline of the enterprise
Under the epidemic, the importance of cash flow is more prominent, and even the next two to three months of life and death of small and medium-sized enterprises. And our current situation of most small and medium-sized enterprises is: under normal circumstances, cash flow and reserves can meet the basic operation; Once you encounter risks and difficulties, you will be short of money. During the epidemic period, even if the business is suspended, they have to continue to bear various costs. This phenomenon of "only out, but not in" makes it more difficult for small and medium-sized enterprises with little cash reserves to support their cash flow.
The biggest lesson from this outbreak is to do whatever it takes to ensure cash flow and cash reserves. For example, when open source is in serious difficulties, we should try our best to reduce expenditure, control costs and reduce costs.
Secondly, to open up the "layout" this pulse. Focus on core advantages, improve the competitiveness of enterprises
"To strike iron, one must be hard." Whether it is to overcome difficulties at the present stage or the next strategic restart, enterprises need to have the "physical quality" to fight hard. This requires companies to focus on the core business, master the core technology, and have high-quality products.
Focusing can make enterprises form local advantages, more able to resist risks and win in the market competition. Hailin has been focusing on the core business of HVAC automation, sticking to the original idea of "making good products", putting limited energy and resources on the core point, always maintaining excellent product quality and lean user experience, and creating core competitiveness.
After the outbreak of the epidemic, we have shown the stability and responsibility of a mature national enterprise. On January 25 (the day of the Spring Festival), we urgently set up an epidemic prevention and control committee to work out epidemic prevention and control work plans, emergency plans and measures. We actively respond to the national policy, factory delay, Hailin headquarters staff telecommuting, we do our best to provide solid support and service for our customers.
At the same time, we have drawn up a number of plans and implementation plans for the safe resumption of work, from personnel status checks to daily elimination, employee protection measures, to production safety, precise control and strict implementation. On February 10th, we started work smoothly. Now we are racing against the clock to produce for customers' orders and ensure the timely delivery of each order. Everyone in Hailin has contributed to the fight against the epidemic.
We believe that there are no insurmountable obstacles at Hering; More firmly believe that China has no unconquerable tribulation!
In 1998, together we overcame the flood;
In 2003, we defeated SARS with one heart.
In 2008, we came together to overcome the earthquake.
The Chinese people are never afraid of disasters. The more challenges we face, the more capable we will be. The more difficulties we overcome, the better we can work together!
In 2020, the country has stronger overall strength, better epidemic prevention and emergency conditions, higher medical standards and richer material reserves. Under the leadership of the Party and the state, there are countless rebels fighting hard on the front line. With the joint efforts of the whole society, everyone is holding their own positions. We are confident and capable of responding calmly and scientifically to win the battle against the epidemic.
I wish you all health and safety! Come on Wuhan! The motherland come on!
