How Severe Competition is between European and Asian PT Manufacturers?
Since I entered the door into my firm in year 1992 this is an ongoing question for us, a highly globalized niche company manufacturing special quality PT components and exporting 94% of products to all over the world.
23 years passed and now the firm is strengthen, brand has been created and as a niche company enjoys the advantage to be firemly set among great timing belt and coupling firms serving their special and small volume needs of their customes as well as customersof our own in demand of PT curiosities.
The quiestion is still open should we feel threated by cheap and acceptable PT products made in Asian countries or should we feel safe bearing in mind that our capabilites and capacitiy will always be needed by both distributors, fellow manufactureres, OEMs and after market ont he long run.
The aswer is no we should not be felt threatened because we do own our stable marketing share. Let me tell you one conversation we had with a mayor European distributor some days ago. When the came to visit us I asked them a strange question. Why don’t yout go to Asia to find a supplier there.? Sometimes they can offer you a very low price?
The of course appreciated my delicate sense of humor and said their business strategy is that they want to be supplied my a European quality manufacturer due to the following reasons:
- They think on the long run
- They know that wages are significantly raising in that region
- It is the distance
- Cultural differences
- Duty fee to be paid
- Extra transportation price
- Long delivery time
- Advance paying conditions
All these facts are pro procurement within Europe. What do you think? What are your points of view regarding this very important issue?