After China enters a life, enterprise of domestic low-pressure electric equipment no matter size is inevitable face economic globalization, be being told from trend of progress of economy of entire ball complement is one is helpful for the process with global promotional economy. Make the amplification of world market dimensions through economic globalization, more promoted international division of labor and international competition to make all countries that participate in economic globalization and industry can be in thereby more large-scale international divides the work and gain profit in commerce. Drive in corresponding benefit below, abroad is famous and electric industry in succession market of electric equipment of race to control, if the international such as Shi Naide, Fuji, Xi Menzi, ABB is famous,the enterprise lands our country in succession. Besides the high-end market that whacks home, they carry out mainland to change again " the strategy, the plant is set in Chinese mainland with solely invested or joint-stock means, cause in home in market of upright electric equipment also owns larger and larger market share, return the low end in electric equipment of home of be covetous on even the market. This is undoubted low-pressure to home electric equipment " low price advantage " it is a deadly concussion. If Shi Naide electric equipment is on Chinese market annual sale increases by degrees with the speed of 20 ％ , the existing market that this is sure to make its Lai Yisheng keeps domestic electric equipment is fast and atrophic, can force an enterprise finally to be begged in crack of market of low administrative levels only live.

In industry of domestic low-pressure electric equipment, the rule of average profit margin that follows in market economy, can say the incisively and vividly that reflects in this industry. Electric equipment manufacturing industry is in start first level, be faced with giant market vacuum, and right now the profit of the industry far the average gain rule that tower above market agrees with. The result causes electric equipment industry to produce what say on economics to call: "Cobweb effect " , the demand of the market is exuberant, of the product rise in price, this kind of tremendous temptation, make investor is swarmed into in succession. Its can cause this industry to attract more capital than other industry only as a result, bring about an industry to had developed fast, cause product price fall, overproduction. The enterprise is not washed out to be able to continue to live in this brutal market, great majority enterprise selects depress price, market of race to control is in with adding a product the portion in the market, borrow this to make up for or suit to create the difficult position with too meager gain because of product value element. But of things go contrary to one's wishes is, enterprise not only not from inside predicament be able to break out of an encirclement, and contrary is the enterprise is entered again new round price war, then enters the strange ring of vicious circle another time afresh. Of course this kind of awkwardness can make the enterprise is immersed in unending price only in competition, and corresponding profit from scanty again scanty, the technical innovation of the enterprise also is mentioned with respect to have no way.
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