A Competitive Mold Maker

A Competitive Mold Maker

In recent years, the Chinese mold industry has witnessed rapid growth. Along with the development of experience, introduction of cutting-edge technologies, as well as the hiring of well-trained specialists from all around the world, both the design and manufacturing of injection molds in China have been improving substantially. Nevertheless, as with any other industries, the Chinese mold industry is faced with great challenges in its development course. As affected by the past recession, Chinese economy is experiencing many problems and issues, including not only the automotive industry, but also many other industries, among which, the mold industry is one of the most affected, though everything is getting better as the economy is recovering.

In addition to that, the labor cost in China is also keeping rising in recent years – another factor that affects the healthy growth of the mold industry. According to the latest statistics, the cost of molds produced in some developed countries like America and Japan is not much higher than the ones made in China. This presents another challenge to all Chinese mold manufacturers.

And though the overall competition has been as tough as always, today’s competition from both within and outside China is exceptionally fierce. These are just some examples of the many huge challenges mold makers in China have to face. Most of them are trying to figure out what to do until things change for the better. But who knows what the future holds for them? So, what do they need to do to respond to the challenges and thrive?

Keep in mind that times have changed, and what was working in the past may not be working for now. This is an opportunity for you, because you can make use of the changes to provide the creative tension that keeps you moving ahead. New ways of doing business may be explored during the relatively tough times. Undoubtedly, each mold maker may have its own unique problems and issues, but here’s what you may want to do now to help drive healthy business development:

Take Full Advantage of Market Competition

Speedy execution is the key to taking advantage of new markets.  Businesses in the mold-making sector that make timely efforts to respond to the emerging situations will be the most competitive ones. It will be particularly true if business growth speeds up and a company finds it hard to meet demands with the current capacity. Far-sighted mold makers will be moving forward aggressively with regards to emerging markets, new development sectors and product opportunities through strategic collaboration on a global basis.

Most of all, we must be open to searching for innovative new products and technologies that will considerably strengthen our existing product lines and promote business growth.  Try hard to find out what kind of new products and new technologies are available that can help your business grow. It is suggested that you find products from overseas markets, to supplement your existing products or expand your product portfolio. The key is to extensively explore the alternatives. There are mold makers that have already found critical new products and technologies from both within and outside China. If we are not open enough to accept new technologies and products from the outside, we may soon find ourselves in a surviving mode.

Vigorously Develop New Technologies

New technologies are able to help reduce your operational cost, enhance product quality and improve customer experience. New advanced technologies are being created every day. Why not make use of this as the driver and the enabler for your business growth. Place particular focus on customer relationship management irrespective of your company size and scale.

Get the Most Out of Your Business Strategy

Take the changes in market as a good opportunity to re-consider your core business values. This initiative will help you get input from the employees through engaging them on a daily basis. If you can ask them for their extra efforts, you will get the chance to cross-train your team members in various positions. Be sure to let them know that they are playing a critical role in building brand reputation and creating customer loyalty. As time goes, you will gain a competitive edge because the cultural shift allows your team members to be more supportive and look at the big picture with a better understanding.

Sustainment and development of a strong business relationship is a very good starting point to work hard on. Frequently interact with your customers to learn about their business development trend and then find out how you can help them sell more of their products and services. The importance of customer service should never be underestimated, but it always necessitates fortification. As long as you wish to create customer loyalty and sustain a competitive edge, your service level must stand out from the competition by differentiating your approach to sales and marketing. Put innovation at the heart of your strategy, and be willing to take risks. By offering what the customer really needs and wants, you will build a beneficial customer relationship that brings enduring profitability.

Take another look at your overall business strategy, embrace changes, seek for opportunities to expand your services and try to penetrate new markets. This way, you will stand out as a leading Chinese mold manufacturer who is able to determine its own future and potential.

In recent years, the Chinese mold industry has witnessed rapid growth. Along with the development of experience, introduction of cutting-edge technologies, as well as the hiring of well-trained specialists from all around the world, both the design and manufacturing of injection molds in China have been improving substantially. Nevertheless, as with any other industries, the Chinese mold industry is faced with great challenges in its development course. As affected by the past recession, Chinese economy is experiencing many problems and issues, including not only the automotive industry, but also many other industries, among which, the mold industry is one of the most affected, though everything is getting better as the economy is recovering.

In addition to that, the labor cost in China is also keeping rising in recent years – another factor that affects the healthy growth of the mold industry. According to the latest statistics, the cost of molds produced in some developed countries like America and Japan is not much higher than the ones made in China. This presents another challenge to all Chinese mold manufacturers.

And though the overall competition has been as tough as always, today’s competition from both within and outside China is exceptionally fierce. These are just some examples of the many huge challenges mold makers in China have to face. Most of them are trying to figure out what to do until things change for the better. But who knows what the future holds for them? So, what do they need to do to respond to the challenges and thrive?

Keep in mind that times have changed, and what was working in the past may not be working for now. This is an opportunity for you, because you can make use of the changes to provide the creative tension that keeps you moving ahead. New ways of doing business may be explored during the relatively tough times. Undoubtedly, each mold maker may have its own unique problems and issues, but here’s what you may want to do now to help drive healthy business development:

Take Full Advantage of Market Competition

Speedy execution is the key to taking advantage of new markets.  Businesses in the mold-making sector that make timely efforts to respond to the emerging situations will be the most competitive ones. It will be particularly true if business growth speeds up and a company finds it hard to meet demands with the current capacity. Far-sighted mold makers will be moving forward aggressively with regards to emerging markets, new development sectors and product opportunities through strategic collaboration on a global basis.

Most of all, we must be open to searching for innovative new products and technologies that will considerably strengthen our existing product lines and promote business growth.  Try hard to find out what kind of new products and new technologies are available that can help your business grow. It is suggested that you find products from overseas markets, to supplement your existing products or expand your product portfolio. The key is to extensively explore the alternatives. There are mold makers that have already found critical new products and technologies from both within and outside China. If we are not open enough to accept new technologies and products from the outside, we may soon find ourselves in a surviving mode.

Vigorously Develop New Technologies

New technologies are able to help reduce your operational cost, enhance product quality and improve customer experience. New advanced technologies are being created every day. Why not make use of this as the driver and the enabler for your business growth. Place particular focus on customer relationship management irrespective of your company size and scale.

Get the Most Out of Your Business Strategy

Take the changes in market as a good opportunity to re-consider your core business values. This initiative will help you get input from the employees through engaging them on a daily basis. If you can ask them for their extra efforts, you will get the chance to cross-train your team members in various positions. Be sure to let them know that they are playing a critical role in building brand reputation and creating customer loyalty. As time goes, you will gain a competitive edge because the cultural shift allows your team members to be more supportive and look at the big picture with a better understanding.

Sustainment and development of a strong business relationship is a very good starting point to work hard on. Frequently interact with your customers to learn about their business development trend and then find out how you can help them sell more of their products and services. The importance of customer service should never be underestimated, but it always necessitates fortification. As long as you wish to create customer loyalty and sustain a competitive edge, your service level must stand out from the competition by differentiating your approach to sales and marketing. Put innovation at the heart of your strategy, and be willing to take risks. By offering what the customer really needs and wants, you will build a beneficial customer relationship that brings enduring profitability.

Take another look at your overall business strategy, embrace changes, seek for opportunities to expand your services and try to penetrate new markets. This way, you will stand out as a leading Chinese mold manufacturer who is able to determine its own future and potential.

The injection molding production process

The injection molding process is usually comprised of 6 steps:

  1. The clamping: An injection machine contains 3 parts – the injection mold, the clamp and the injection unit, among which, the clamping unit keeps the mold at a certain pressure, so as to ensure the consistency of the outputs.

A mold is usually made up of 2 parts.

  1. The injection unit: It refers to the part where the plastic pellets are fed into the hopper located at the top end of the injection unit. These pellets will be loaded into the main cylinder, where they are heated at a high temperature until they are melted into liquids. Then, inside the injection unit, a screw will turn and mix the already liquefied plastic. Once this liquid plastic has reached the ideal condition for the product, the injection process will start. The plastic liquid is forced through a running gate, of which the speed and pressure are controlled by a screw or sometimes a ram dependingon what kind of machine you are using.
  2. The dwelling: It represents a pause in the process when certain pressure is applied to guarantee that each of the mold cavities has been filled thoroughly. It is such an important step within the process that if the mold cavities are not filled properly, it will lead to scrap of the units.
  3. The cooling: This process step allows the mold to cool off for a required period of time. If this step is performed too hastily, the units will probably stick together or get deformed when it is taken out of the machine.
  4. Mold opens: The clamping unit will open to separate the mold. The molds which are often the most important individual part during the entire process are used over and over again, and the tooling of them can be very costly.
  5. The ejection: The finished product is ejected from the injection mold machine in the end. Generally speaking, a finished product will continue to be on a production line or be packed and delivered to a production line as a component of a larger product, e.g. the steering wheel of a car.

In daily life, the products that involve the application of injection molding are used every day by each of us. If it were not for injection molding, many cars would not be sold at such an affordable price. However, this process also has some disadvantages. The machines are very costly and therefore involves a lot of capital investment. When designing the parts, we must keep the production process in mind, because the process is not deemed economical for short-run productions.

Nevertheless, the disadvantages are outweighed by the greater benefits, which include the speed at which the parts are produced, the relatively low labor costs and minimal material waste. Even, the finished parts usually require no more finishing.

If you are interested in our service or in need of any technical support, please feel free to let us know. We would be happy to share what we know about plastic injection molding with you and provide the exact economical plastic injection molding solution you are looking for.

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Chinese Mold MakersTake Up More Than Half of Global Mold Business

Once the consulting service provider KPMG conducted a study which showed that with a total sales revenue of 5.7 billion USD in 2002, China had already overtaken Germany and the US to become the biggest machine tool maker in the whole world, making it a viable base for mold sourcing and manufacturing thanks to its skilled labor force and the relatively low cost level.

The study which is entitled China Machine Tools Market, aims to get a deeper insight into the market and the greatest issues of concern to the market players in the moldmaking industry. During the study,the consulting firm KPMG has referred to a quantity of authoritative sources of information and spoken to market players from both home and abroad. In addition, it also performed an investigation into leading machine equipment manufacturers in Germany to find out how they are responding to the opportunities and challenges in the Chinese market. Since most respondents had already made their presence here, they were able to offer first-hand views on the greatest concerns to their business in China.

As the result of the study indicates, though the local firms are gradually closing the technological gap and improving product quality and performance, there will still be a sizeable market for importing high-end machine tools into China. However, transnational players will need to proceedcautiously as how to effectively engage in the Chinese market, considering the fact that the competitions and marketing situations are witnessing fast changes.

In recent years, half of the machine tool production has been consumed by the automotive sector, while the aircraft sector, aircraft maintenance and repair in particular, is expected to become another predominant market in China.

Along with China’s gradual integration into the world economy, competition in the country has been intensifying. Local machine tool makers have become increasingly experienced when choosing theirmachine tools, leading to the increasing demand for NC tools. And yet, the low-end market is overcrowded with domestic players, which has created great pressure on prices. On the other hand, foreign products still dominates the mid- to high-end markets with cutting-edge technologies and superior quality.

To sustain their competitive edge, Chinese domestic manufacturers are involved more actively in R&D of new products and more acceptive to taking advantage of joint ventures and mutual cooperation to leverage new technologies.

Since Germany is one of the leading machine tool consumers as well as exporters in the whole world, KPMG also performed a survey of German machine toolmakersfrom August to November 2003. Amongall the respondents surveyed, 98% of them were currently doing business with Chinese partners either via export (52%), established production facilities (36%) or licensed production (15%).

The study also found that most of the respondents attached greatimportance to the Chinese market and would like to expand their businesses here.And, all the surveyed considered IP as one of the most critical business factors.

Lastly,more than half of the respondents thought that when doing business in China, the two major business issues to be solved were recruitment and the regulatory environment in the market.