Why must the "green profit" in the early stage of the development of green home industry

I often watch stores in home stores and specialty stores, and I see more and more manufacturers playing green concepts such as “green”, “environmental protection”, “low carbon” and “ecology”, and use this as a selling point to promote the terminal. And promotion. Chinese companies have always had a habit of getting together. Under the green trend of the whole society, no one in the home building materials industry dares to fall behind, and they have launched green signs to attract customers and promote sales. It is undeniable that many companies are dressed in fashionable "green skin" - in line with the trend of environmentally friendly low-carbon trend, can truly achieve "green heart" - not only to ensure that the product's health guarantee for the human body can be in the entire research and development, It is estimated that there are only a handful of home building materials enterprises that realize environmentally friendly and low-carbon in the whole industry chain such as design, supply, production and logistics. In the recent Green Forum, in the face of a green home product proposed by a professor host, whether the consumer can make low-cost purchases, the author clearly shows that the truly green home products must be high-priced, high-profit "profiteering" products. . First, the real green home products must be high cost. These costs include the part of the enterprise that incorporates the original social public cost into the cost of the enterprise product. For example, the original enterprise's emissions of waste gas, waste, and wastewater are not included or rarely included in the cost accounting of the enterprise. To be included in the cost component of the business. For companies that are not included in the cost, the product cost of a truly green enterprise must be pushed up. Green homes must be environmentally friendly and low-carbon. They must purchase advanced environmental protection equipment, apply environmentally friendly and low-carbon technologies, and employ high-end professional environmental protection and energy-saving talents. These are costly and even huge investments. Second, true green household products inevitably require high profits. At present, consumers' requirements for green products are limited to the formaldehyde emissions of household building materials that have a direct impact on human health, and whether environmental protection and energy conservation are used in the production process of household building materials. Low carbon is not a concern, because this has no direct interest relationship with consumers, and consumers are not willing to pay for it. Therefore, real green home enterprises have to spend a lot of education costs to guide and persuade consumers to help consumers identify and use products that are truly environmentally friendly and low-carbon. Most of these education costs are borne by enterprises themselves. Without the support of high profits, enterprises have no incentive and ability to educate and popularize consumers. Third, only the average profit of the current home building materials industry can lead to the sustainable development of the green home industry. Business is profit-seeking, and people who are unwilling to do things are not willing to do it. Only high profits can enable enterprises to continuously invest in the research, development, technology and manufacturing of new environmentally friendly low-carbon technologies, in order to attract more social capital into the green and environmentally friendly home industry, and ensure the healthy, healthy and sustainable development of the industry. Fourth, only the “Green Heart” enterprises supported by high profits can gradually remove the “Green Leather” enterprises out of the market, and let the truly green products become the mainstream of consumption. In economics, there is a market phenomenon of "bad money drives out good money." If bad money can be circulated in the market, people will hide good money and use counterfeit money more and more. The bad money in the market will More and more, finally forced the good money to withdraw from circulation. In the same way, if you only want to catch up with the fashionable green slogans that confuse the audience and deceive consumers, and survive in the market and become popular, the truly green enterprises must be hit and squeezed. In the end, they all changed from "green heart" to "green skin". Therefore, the support of high profits can make the "Green Heart" enterprise and the "Green Leather" enterprise confront each other, and can fight a protracted war and persist in the final victory - the final payment and support of consumers. Through the above analysis, the author does not mean that truly green household products are always high-profit and high-profit “profit”, but for a long time, especially in the early stage of industrial development, “profiteering” is indispensable. As for the green home industry to growth and maturity, with the expansion of scale and industrial upgrading, like any mature industry, such as home appliances, IT industry, can not run out of the industry's average profit dilute market rules. Nowadays, every manufacturer of household building materials, especially the home-based building materials enterprises related to the plates, are playing their own plates, which are E1 and E0 environmental protection plates. The E1 level has become the lowest consumer choice threshold. The author predicts that in the future, home building materials manufacturers will mark their carbon emissions in their own products, and when the carbon emissions are clearly indicated to the end consumers, it is the time when green household products are popular. I believe that this day will come sooner or later.

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