Duoyuan Printing inc. is a corporation based in China with its headquarters in Beijing. It deals in production of offset printing equipments. At the moment it stands as the biggest company that is privately owned and deals with offset printing equipment production in China.
It also has two other establishment factories in Langfang and Hunan. The company combines the low cost of production in China with great technical innovation to sell its range of products cheaply compared to the same products produced in the western countries.
The company has an established distribution network with coordinated efforts towards the market. To expand their brand name in the market, the company participates a lot in trade shows for industries and holding seminars. It also offers free training to customers who show interest in their products.
This has enabled the company to maintain its network of business for a long time. Duoyuan Printing inc. has a better advantage over its small competitors since it is the leading company in this field. It has a monopoly control of the market since it has the resources to advance research in the technology of offset printing equipment.
With this in mind it can roll out a new product or a more improved product very fast. Coupling this with the fact that it controls the market, it is able to streamline the efforts made over the market. It has systems in place to control its sales and collection and its payments.
The main focus of the company, Duoyuan Printing inc., is on its customers and staying ahead in the market. This has enabled the company to reach great success and profitability over the previous two fiscal years. Duoyuan Printing inc. has also maintained production of quality offset printing equipments making their customers satisfied and wanting to continue dealing with them.
With each product comes a one year warranty where they also provide training support for operating the equipments. Besides this, the warranty covers repairs that are genuinely a result of the equipment malfunctioning.
Looking at the origin of the company, it traces back in 1994. This was when the company began small with just one product, a format offset press that is singled colored. It has now moved from that humble beginning to having a range of wonderful products.
Their products include: Single Color Small Format Press, singled colored large format press, multicolored small format press, and lastly multicolored large format press. Besides this the company has future plans to begin making post press products.
This involves making a paper machine that can actually corrugate a strong printing paper such as cardboard paper. It has also grown from having one production plant to two production plant in strategic locations of China. The other two production plants are located in Langfang and Hunan. In 2006, it merged with a Wyoming co and in 2009 it got listed in the New York Stock Exchange and managed to raise over 40 million dollars.
An overview of the corporate itself shows that the company has been making good profit since 2004. Their growth in terms of revenue has been on the increase steadily for the last 5 years. In the fiscal year of 2004, its overall revenue stood at approximately 13 million dollars and by 2007 its revenue had shot to approximately 50 million dollars.
The main reason for this overwhelming growth in revenue can be attributed to one of its range of products that has found use in the current market. This product is the multicolored large format press. This growth is still continuing at the moment since as stated earlier, the company has risen above its national competitors in China which are owned by the government.
The company moved their focus to selling products of higher margins. One of these products that the company produces is the multicolored large format press. Over recent past this product has shot up in terms of pricing.
This increase is attributed to the labor cost of production since to produce the equipment; the company spends an increased amount to pay the workers. Producing the product requires laborers who are highly skilled implying that more money will be used to pay them. Even with this increase marginal cost, the company has still been able to stay above its competitors.
It is projected that the company will continue to rise and stay in business because of its strategic location. The company is right at the center of a market that is continuing to grow. By last year, 2010, China became the biggest market globally in the field of commercial printing and publishing.
The company relies on low operation, labor and raw material cost that is the advantageous with China. Besides this, the company has an efficient process of production while offering their products at low prices. This makes them competitive and attractive to the customer. Projecting the future of the company using these facts, then the company will soon be a multinational company with several subsidiaries in different parts of the world.
Works Cited
Duoyuan Printing Inc. Duoyuan. 2009. Web.
Financial 8. Latest Duoyuan Printing (DYP) Stock Research, Analysis and News. 2011. Web.
Scribd. “Duoyuan Printing, Inc. Profile.” 2011. Scribd. Web.
SEC. Investigating Duoyuan Printing over allegations of fraud. 2010. Web.