Korean media: 80% of Korean manufacturers say their flagship products have fallen into a "red sea" situation!
On September 13, the Korean newspaper "Korea Economic Daily" published an article stating that the Korea Chamber of Commerce surveyed 2,100 companies and found that about 60% of the companies did not launch new ventures.
Eighty percent of local manufacturers believe that their core product markets are saturated or mature, due to their inability to create a technological gap from rapidly rising Chinese manufacturers and their failure to effectively target growing emerging markets.
Recently, the Korea Chamber of Commerce conducted a survey of 2,186 manufacturing companies nationwide. The survey found that for every 10 manufacturing companies, 8 answered that their main product market has entered the "red sea." 54.5% (1,150 companies) answered that their main product market is currently in the "mature phase" of saturation, 27.8% (586 companies) answered that their main product market is in the "decline phase" of market decline, only 16.1% (340 companies) answered that their main product market is in the "growth phase" of increasing demand, and 1.6% (34 companies) answered that their main product market is in the "introduction phase" of the market's initial stage.
In the non-metallic mineral industry, 95.2% of respondents said that their main products are in the mature or decline phases. The percentages for the refining and petrochemical industry (89.6%) and the steel industry (84.1%) also far exceed 80%. Only 16.1% of respondents said their products are competitive in the global market.
The Korea Chamber of Commerce pointed out that it is a problem for companies to find a way out of the red sea market. When asked whether they had launched or were considering new businesses to replace existing ones, only 42.4% of companies answered "currently advancing or considering." 57.6% of companies answered "currently not launching new businesses." Although manufacturing companies recognize the limitations of their existing businesses, they have given up on launching new businesses due to management and market conditions.
The Korea Chamber of Commerce believes that bold expansion of investment incentive measures, such as introducing a direct investment refund system, should be implemented to foster advanced industries.
Original: www.toutiao.com/article/1843149388672074/
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