Although the wire and cable industry is only a supporting industry, it accounts for 1/4 of the output value of China's electrical industry. It has a wide variety of products and a wide range of applications, involving industries such as electricity, construction, communication, and manufacturing, and is closely related to various sectors of the national economy. Wire and cable are also known as the "arteries" and "nerves" of the national economy. They are essential basic equipment for transmitting electrical energy, transmitting information, manufacturing various motors, instruments, and meters, and achieving electromagnetic energy conversion. They are necessary basic products in the future electrification and information society.
Although the wire and cable industry is only a supporting industry, it accounts for 1/4 of the output value of China's electrical industry. It has a wide variety of products and a wide range of applications, involving industries such as electricity, construction, communication, and manufacturing, and is closely related to various sectors of the national economy. Wire and cable are also known as the "arteries" and "nerves" of the national economy. They are essential basic equipment for transmitting electrical energy, transmitting information, manufacturing various motors, instruments, and meters, and achieving electromagnetic energy conversion. They are necessary basic products in the future electrification and information society.
The wire and cable industry is the second largest industry in China, second only to the automotive industry, with product variety satisfaction rates and domestic market share exceeding 90%. On a global scale, China's total output value of wires and cables has surpassed that of the United States, becoming the world's largest producer of wires and cables. With the rapid development of China's wire and cable industry, the number of new enterprises continues to rise, and the overall technical level of the industry has been greatly improved.
The sustained and rapid growth of the Chinese economy has provided a huge market space for cable products. The strong temptation of the Chinese market has made the world focus on the Chinese market. In the short decades of reform and opening up, the huge production capacity formed by the Chinese cable manufacturing industry has impressed the world. With the continuous expansion of China's power industry, data communication industry, urban rail transit industry, automotive industry, and shipbuilding industry, the demand for wires and cables will also grow rapidly. There is still huge development potential for the wire and cable industry in the future.
In the process of promoting the cross-border business strategy, implementing strategic management and control of wire and cable enterprises, the following principles should be followed: balancing domestic and international business, seeking the connection between resources and industrial layout, aligning scale and efficiency, matching ownership and control rights, coordinating the business of parent and subsidiary companies, and adapting the organizational form of production to the organizational structure and management system of business management. Wire and cable enterprises should follow these principles.
It should be pointed out that the cross-border operation of wire and cable enterprises is a requirement and objective result of the expansion of enterprise productivity, rather than a subjective and artificial intention. Not all wire and cable companies must engage in cross-border operations. Due to differences in enterprise scale and business nature, a considerable number of wire and cable companies are only suitable for conducting business in the domestic market. Wire and cable enterprises with cross-border business conditions still need to handle the relationship between domestic and international business correctly. The domestic market is the stronghold for the survival and development of enterprises. Wire and cable enterprises can occupy favorable conditions of timing, location, and human resources when conducting business in China, while exploring international markets requires bearing certain risks in these aspects; However, the development of Chinese wire and cable enterprises also needs to focus on the long-term, expanding their business scope from the perspective of optimizing the allocation of production factors, in order to improve market share and competitiveness.
