KI in the News

  September 8, the 36th China International Furniture Fair had its grand opening in National Exhibition and Convention Center (Shanghai). During the exhibition, Sina Home reporters represent highlights all-round for CIFF 2015 (Shanghai) home and dialogue with domestic industry's top business executives to take a closer look at today's home furniture industry. How has the social media affected the industry and how to view these changes? Here is the live interview:

  Interview guests: Beijing Kang Ai Healthcare Furniture Co.,Ltd. CEO Mr.Guo Xiaofei

  Date: September 8, 2015

  Location: National Exhibition and Convention Center (Shanghai)

  Reporter: Pan Xiaorong

Beijing Kang Ai Healthcare Furniture Co.,Ltd. CEO Mr.Guo Xiaofei

  [Sina Home] This autumn, exhibits have undergone some changes, what is your criteria for choosing exhibitions?

  [KI Furniture Guo Xiaofei] We certainly are looking for the market influence of exhibition organizers.We have invested so much this time and I feel this home show is much better than before.

  [Sina Home] This autumn, exhibits have undergone some changes, what is your criteria for choosing exhibitions?

  [KI Furniture Guo Xiaofei] We certainly are looking for the market influence of exhibition organizers.We have invested so much this time and I feel this home show is much better than before.

  [Sina Home] What is the main idea that you want to promote in this show and what signal do you want to pass to the dealers?

  [KI Furniture Guo Xiaofei] Presently, the industry has entered into a period of change, so our main focus is to shift to education, health care and elderly care sector.

  [Sina Home] Last year, Chairman Xi Jinping proposed a concept called "new normal", and Li Keqiang mentioned "Made in China 2025" in the government report, how do you see the impact of national policies on the furniture industry?

  [KI Furniture Guo Xiaofei] Because China is undergoing deep reform now, so the after effects are still there. Therefore, the domestic economy is still gloomy. The main points in fact are whether products meet the market need, if the product value meets the market and if the promotion meets everyone's needs and expectations. Now, the mode of operation and the way of thinking is completely different, so that the "Internet +" combination of entities, together with the new platform, the whole market promotion will yield good results, but we still have to work hard.

  [Sina Home] What are the major difficulties for the future progress from your point of view?

  [KI Furniture Guo Xiaofei] For manufacturing, the rising labor costs is the major difficulty. Another is that the homogeneous competition in the entire market industry is more intense than expected, so that is why we should keep introducing new products and constantly innovate.

  [Sina Home] There have been a number of enterprise bankruptcies, including some of the larger enterprises during the latter part of last year to the first half of this year, how do you evaluate this phenomenon? Whether the situation of KI furniture’s market this year, is it in line with your expectations?

  [KI Furniture Guo Xiaofei] I think it is mainly because of homogeneous competition led to the sharp decline in profit. Secondly, because their products haven’t its own characteristics, unable to innovate and re-invent, led the ones with excess capacity to elimination.

  This year KI’s performance has been increasing at about 30%, so far, we have completed the full-year sales target.

  And for KI, our breakthrough point has several aspects, one is the introduction of new international brand, plus the establishment of independent technical patent development team, and Internet access for our IT systems. Coupled with future fixed assets capitalization combined with the capital market, in the near future, we will also consider listing in Hong Kong.