Rising international oil prices bring new opportunities for lubricating oil dealers
Recent international oil prices has been in the near future continues to rise, a new round of lubricating oil in substantial prices, some of the agents in the stocking always consult, oil prices in the end to bring them the chance it or risk, a unified analysis of lubricating oil market conditions and prices will bring opportunities for dealers exactly where?
Current oil prices and international situation, from a global point of view are faced with serious inflation, the depreciation of the dollar and the European debt crisis spread around, not only from Greece and Portugal, this small country in Spain and Italy that of moderately developed countries, plus in the northeast of non continuous unrest, as well as some speculative hot money mischief, the international oil price has been going strong, resulting in the whole lubricating oil of a new round of large amplitude increases.
Prices objectively speaking to the agent is not necessarily a bad thing, especially for those more mind and thinking of the agents are more market opportunities, because lubricating oil has yet to find a suitable substitute, the characteristics of the resource is non renewable is oil resources and energy properties, prices start from the birth of the industry, regardless of in the middle of several times down, but the overall price trend of lubricating oil or have been rising, with the vehicle capacity continues to expand, machinery and equipment constantly add and update all this change can not be used lubricating oil, besides the market size and growth. So whether it is the dealer or production enterprises, to adapt to the mentality of price increases should be the industry must have the quality of the business.
How to face the price and reasonable use of price fluctuation is dealers to do bigger and stronger one of necessary factor. Now the dealers have not in the traditional sense of the man in the middle role, jumped out of the simple delivery money that simple transaction way and mode of operation, modern new dealers need to have strategic vision, is not only a product sales service, more important is a long-term channel development and business ideas, now total dealers complained that the oil market is not very good, profit space is thin and so on, but in fact is not so.
Not lubricating oil and difficult than before, lubricating oil market gradually moving towards a more benign market competition, industry in the continuous shuffling, market in the continuous specification. This means that those who rely on speculation become rich in a short time the form does not already exist, which requires you to have a good competitive state of mind, after the competition lubricants will get rid of low-end of the concept of speculation, the price war, gradually transformed into products brand quality competition, enterprise competition scale, operation mode aspects of competition.
Furthermore there are of great concern to many agents is a single product gross margin above, we can imagine, if you have more money, you continue to inbound shipments, improve product turnover rate estimated you are the maximum benefit of the industry and your profits certainly than the daily vast mediocre make single product profit good.