Detailed explanation: China's wood flooring industry association development status and future trend

The wood floor industry has to say that it belongs to a relatively late start, but the development rate is very alarming. After just over 20 years, the wood flooring industry has grown from scratch and gradually formed a multi-category, multi-specification and Multi-functional product structure, as well as system supporting system from production, sales, installation and after-sales service. China has become a global production base for wood flooring, with production and sales ranking among the highest in the world.

According to incomplete statistics, there are more than 2,000 wood floor manufacturers in China, mainly in Zhejiang, Jiangsu, Shanghai, Guangdong, Yunnan, Beijing and Northeast China. More than 1 million employees. As of 2010, according to incomplete statistics, China's wood flooring industry has formed a large industry with an annual output of 560 million square meters, annual sales of approximately 60 billion yuan, and an annual growth of 15% to 20%, in the development of the national economy. It occupies an important position and is expected to grow rapidly at a rate of 10% to 15% each year.

With the development and growth of the wood flooring industry in China, the relevant national ministries and commissions, and the more developed areas of the wood flooring industry are the normative and management industries. Several wood flooring associations have been established as the main managers of the industry, and they set industry standards. Regulating market behavior and guiding consumption has played a positive role in promoting.

At present, there are 2 national wood floor industry associations, China Wood and Wood Products Distribution Association Wood Flooring Distribution Professional Committee, China Forest Products Industry Association Floor Committee, Local Association, Shanghai Building Materials Industry Association Flooring Committee, Jiangsu Wood Flooring Association. , Fujian Wood Flooring Association, Zhejiang Flooring Association, Wood Flooring Association of Nanxun District, Huzhou City, Jiangsu Province, Changzhou Flooring Association, Chongqing Flooring Industry Association, Liaoning Province House Association Flooring Professional Committee, Shenyang Flooring Association, Jilin Province Flooring Association, Gansu Province Flooring Association The Hunan Flooring Association, the Yunnan Chamber of Commerce and Industry Flooring Chamber of Commerce, the Hubei Flooring Association, the Shandong Province Forest Products Industry Association Flooring Professional Committee, the Shenzhen Building Materials Industry Association Flooring Professional Committee, and the floor associations established by local cities are no longer mentioned here.

Summing up the development mode of China Wood Flooring Industry Association mainly includes the following two modes:

1. Government Dependency Model In the development and evolution process of China's wood floor industry association, it can be found that wood flooring is a new industry in China. Its history is very short and its scale is small. Therefore, the industry associations during this period have no basis in the system. The China Forest Products Industry Association Flooring Professional Committee was established in 2001. The China Timber Distribution Association's Professional Committee on Flooring Distribution (formerly known as the Floor Circulation Professional Committee of the China Timber and Wood Products Distribution Association) was established in 2000. The establishment time of local wooden floor industry associations later. According to the relevant provisions of China's Regulations on the Administration of Registration of Social Organizations, one of the prerequisites for the establishment of industry associations outside of the system is to affiliate with the competent business departments in government agencies and to conduct business guidance on the activities of industry associations. China National Timber and Wood Products Circulation Association and China Forest Products Industry Association, the two national industry associations, are respectively headed by the SASAC and the State Forestry Administration. Therefore, the competent government departments can directly participate in the management of industry associations, and in a certain degree, the industry associations are controlled by the government and its functional departments in their own will. The government has always played the role of "controller" and "dependent person" during the development of trade associations. An important issue that currently exists in industry associations is that industry associations are more or less affiliated with the government and its functional departments to a degree of autonomy.

2. Market-driven model In recent years, China's wood flooring industry has experienced explosive development. Gradually, in the regions of the Yangtze River Delta and the Pearl River Delta, as well as the wood flooring market, there has been a clustered development of wooden floor companies. Enlightened local government administrators and private entrepreneurs felt that the organization’s organization form was urgently needed to regulate the rapid development of the local wooden floor production model and sales channels, and established local wooden floor associations. This kind of local wooden floor association has a strong folk character and is laissez-faire in terms of management. Its biggest feature is that the company promotes its own initiative. When confronted with the inter-industry pricing and product quality problems of the same industry, wood flooring companies try to regulate the market's industry order by means of industry self-regulation in order to maintain their own interests and market order needs. .

It should be said that with the development of China's wood floor industry association from scratch, from little to more, it gradually developed into an important part of the wood flooring industry, and promoted the development of the industry. In the formulation of standards, economic and trade activities, consumer guidance, market regulations, corporate self-discipline, and talent training, we can all see the busy presence of these floorboard associations. The prosperity of the wood flooring industry in China cannot be separated from the support and hard work of the various wood floor associations.

While the work of the association is developing vigorously, there are also some problems. Due to the existence of phenomena such as division of ownership and division of departments, most wood flooring industry associations have problems in the development process, such as multiple levels, cross-cutting, lack of overall coordination, and so on, so that enterprises have to be long-term to join the meeting, knowing what to do, and the competent authorities as vested interests. Sometimes scramble and sometimes induce. In addition, the competent authorities are in charge of a large number of functions and means to control the development of the industry and to directly regulate the conduct of enterprises. Coupled with the disorderly management of some local governments, the limited space of the industry associations does not help the company’s interest demands, but instead increases the burden on the company. At the same time, it also constrains the development space of the floor industry association. How to take advantage of weaknesses and give play to the positive role of the China Wood Flooring Industry Association in industrial development is a question that must be faced by all floor industry associations in China in the coming period.

In the study of mature markets in foreign countries, depending on the economic model and degree of development, the development and operating models of industry associations are broadly divided into two types: one is the “civilian management” model of the United States and the United States, that is, a purely non-governmental organization. The model is a full demonstration of the freedom of association in constitutional government, but it is based on a solid economic foundation and mature market conditions. It also benefits or depends on the liberal politics and economic traditions of Britain and the United States; the other is the "politics" of Germany and Japan. The "community management" model, which focuses on the management of civil society, is obviously promoted by the government's administrative role and accepts administrative supervision by the government.

In terms of functions and their role in the socio-economic operation, the two major industry association models mentioned above are similar but have similarities. As an important form of economic governance, industry associations serve as a bridge for communication between the government and the market. They are also lubricants and pressure reducing valves for the market, play a role in maintaining fair competition in the market order, and reduce transaction costs among operators. , protect the legitimate rights and interests of market participants, promote the common development of the industry and many other functions, can be summarized in three aspects: First, to provide services for enterprises and industries as the center. The second is to influence, assist the government in legislation and formulate industrial policies. The third is to assist the government in strengthening management and providing necessary services for the government.

China's wood flooring industry is still at the initial stage of rapid growth. Although it can refer to the development model of industrial associations in developed countries, it cannot be completely copied. To go to its dross, take its essence. Based on local conditions, we will develop the development path of the wooden floor industry association with Chinese characteristics.

1. The function of the government assistant and staff of the Wood Flooring Association If there is some kind of administrative affiliation between the company and the government and the department is managed, the company generally does not need an industry association, and the government does not need to hand over the industry management function. Industry Association. Only when the company and the government have no affiliation but also implement industry management in the society, only one company needs an industry association. China's flooring industry is such a situation, due to the short start time, in addition to a small number of state-owned wooden flooring companies are also directly managed by the local government, the vast majority of enterprises are private and collective nature, there is no competent unit. Therefore, the Wood Flooring Industry Association will do much to assist the government in managing the industry.

The Wood Flooring Association is a non-profit corporate legal entity established by law in accordance with the laws and regulations established by wood flooring companies in order to safeguard their own interests. The government and the association are the two main bodies with independent legal persons. How to handle the good partnership between them and achieve a division of labor is the basis and prerequisite for the healthy and orderly development of the industry.

The overall principle of division of labor is that matters related to macroeconomics, decision-making, and planning are to be exercised by the government, while the meso-, micro-, executive, and technical issues are borne by industry associations. Industry associations can participate in government-related industry management. Macroeconomic decision-making and planning matters. The government, as the representative of social public interests and the monitor of the market economic order, regulates and supervises the operation of industry associations to prevent industry monopolies. The government management industry association should be the management of the regulations, the management of the regulations, not the specific business and details of the intervention.

In participating in the government's decision-making process, the wooden floor industry association can give full play to its two basic advantages: information dissemination advantages and action coordination advantages. The association can assist the government in the management of the industry, undertake the tasks entrusted or authorized by the government, and achieve a multiplier effect, so as to maintain the stability and development of the wood flooring industry.

2, to play the wooden floor association for business services function The wooden floor association is a joint venture of wood flooring companies, his main function is to provide member companies with a variety of services that can bring real benefits. This service should not be a general concept. Whether a company accepts industry associations to provide services is an optional process. In the selection process, companies often consider the extent of their own rights and interests. Therefore, based on the degree of acquisition of equity, it can be divided into representative functions, maintenance functions and service functions. Among them, the representative function reflects the integrity of equity and future trends in the struggle for equity; the maintenance of the performance of the protection of rights and interests is not lost; and the service function emphasizes the potential of equity and optional trade-offs.

At present, there are three different understandings of what is inherent in the wood flooring association. The first classifies it into basic functions and specific functions. The basic functions are industry services, industry self-regulation, industry representatives, and industry coordination. Specific functions include industry planning, industry statistics, and domestic and international economic and technological exchanges and cooperation. The second type is based on the role of the relationship in the relationship, and divides it into the intrinsic functions of the industry association, the government commissioning function and the participation of the industry association. The third criterion is based on the degree of "soft" or "hard" functions, and considers that "soft" functions are representative functions, service functions, communication functions, statistical functions, and research functions. The "hard" function is the coordination function, supervision function, and notarization function.

The basic requirement for maintaining a good relationship between a good wood flooring association and a company should be that production, processing, and sales matters are borne by the company itself, that is, profitability is partially performed by the company; the task of the industry association is to assist the company in production, processing, and sales. For businesses to maximize the benefits of providing a variety of services. Of course, industry associations may carry out some activities that may also involve profitable parts. However, this kind of profit cannot compete with enterprises on the one hand, and on the other hand it cannot directly participate in profit-sharing activities for the purpose of making profits. His work is merely to provide services and to safeguard the greater interests of enterprises.

At the same time, the Wood Flooring Association can also achieve corporate protection through participating and filing administrative litigation. According to the "Administrative Procedure Law of the People's Republic of China", industry associations as social organizations can accept commissions from members of society to participate in administrative litigation as agent ad litem; and provide material and legal help to administrative litigation of a victim member unit;

3, to play a role in the consumer market orientation of the Wood Flooring Association, in the final analysis, for the floor companies, sales is the last word. Consumers are the God of the enterprise. The survival and development of the enterprise cannot be separated from consumer support. Wood flooring industry as an emerging industry, especially in recent years, with the increasingly fierce competition in the homogenization of the flooring industry, the manufacturers are making every effort, on the one hand hardware is a new floor color varieties like bamboo shoots On the other hand, various new concepts, new services, and new sales promotion methods in software can also be said to be extremely frequent. Faced with the vagaries of the wooden floor market, as the majority of non-professionals wood flooring consumers can only look at the fog, can not find the doorway, to listen to the seller's gulp.

Among the various functions of the Wood Flooring Association, one important function is to regulate the market, guide the market consumption, and serve consumers. To regulate the market and guide consumption, not to sit on the side of the consumer, use the big stick to hit the business, use the microscope to pick the fault of the company, not simply stand by the company, use carrots to induce consumers, and follow the individual needs of a few companies. ,Sales Products. The Wood Flooring Association should stand at the height of the industry, down-to-earth, seriously analyze and study the objective development laws of the wood floor market, supervise and guide the floor companies to establish a sustainable development of the integrity system and quality system, improve the identification of the entire society consumers The ability of inferiority and authenticity leads consumers to the concept of scientific and rational floor consumption. Only in this way can we promote the healthy and orderly development of the wood flooring industry, and jointly create a win-win situation for wood floor companies and consumers.

The process of marketization of an industry is an important prerequisite for the development of industry associations. At the same time, the development level of the industry association reflects the level of marketization and economic scale of the industry. The main service target of the Wood Flooring Association is first of all wood flooring companies, providing thoughtful services to enterprises participating in associations (including those not participating in associations). This is the work responsibility that the association must fulfill, and it is also the premise and development foundation of the association. The key to solving the problems of survival, development, scope of duties, social status, and working funds of the trade associations is to provide enterprises with services that they cannot obtain from the government and other social sectors. At the same time, another object of the wooden floor association service is the consumer. This is a social responsibility that the floor association must shoulder. Only by serving the people can the consumer recognize the industry and be able to purchase wood floor products rationally. In order to promote the healthy and orderly development of the industry, industry associations have had a strong growth of soil and nutrition. Fairness, fairness, and openness are guidelines that wood flooring industry associations should adhere to. Staff, service, and guidance are the tasks that wood flooring industry associations should do.

It is believed that in the long period of time in the future, with the booming development of the wood floor industry, the globalization of wooden floor products will become increasingly popular, the differentiation will become more complicated, and the civilianization and individualization of the wood floor market will gradually become different. As a result, the wood flooring companies have become increasingly cruel and effective. The mergers and acquisitions, and the Wood Flooring Association as the industry's manager, will also play an increasingly important role.