Thailand floods can cause hard drive prices really do?

drive prices recently soared. After the Chinese people, “the garlic you hard,” “teasing you”, “salt princes”, the price is now the wind has swept into the DIY industry is depressed, then the hard drive prices What’s hidden behind those subtleties, and whether, as we have seen the like, the hard disk prices in Thailand floods forced it? With the above questions, following the above problems this paper will make a brief analysis.

Thailand is the world’s second largest producer of hard drives, the world’s four major hard drive manufacturers Western Digital, Seagate, Toshiba and Hitachi have established plants in Thailand. In the flood damage, the Western was forced to close two plants, it takes four to six months to resume normal production. Although Seagate and Hitachi plants a lucky escape this flood, but because of the power supply and road traffic recovery will take time, the two companies produce the same hard drive be affected. It is reported that Seagate has the fourth quarter of global hard drive shipments are expected from the previous 55 million down to 40 to 50 million. In addition, most of the hard disk drive component manufacturers did not survive in the floods, in the next six weeks supply is difficult to return to normal levels.

hard behind the price increases have a kind of insider

in accordance with principles of economics, when a commodity in short supply commodity prices will deviate from the value of the ups and downs there are two cases, and the floods in Thailand, resulting in a number of hard disk manufacturers stop production, leading to hard disk in short supply, and ultimately lead to price increases, the surface is in line with supply and demand, but hard for this round prices skyrocketing, some people questioned that in order to drive inventory point of view, the prices of the sales cycle seems too fast action. Behind what drives prices, as well as what kind of insider?

most affected by floods in western Thailand data, due to Thailand’s Ayudhya (Ayutthaya) and Navanakorn (Na Wana Kang) and two plants were soaked in the flood may cut 60%. In contrast, Hitachi (been acquired by Western Digital) is located in Prachinburi (Pakistani true House) built in a factory located in hilly areas, overwhelmed by the flood did not affect the plant and other facilities, the production can be restored after the flood. While Seagate has plants in Thailand, but the impact is negligible. Seagate building in China, Suzhou and Wuxi, two large hard disk factory, more than 90% of its global production capacity, and can produce notebook and desktop hard disk drives. In addition to 3, Samsung, Fujitsu, Toshiba and other hard not manufacture in Thailand.

before the flood, the hard disk market demand is low, the major brand hard drives actually have a lot of inventory accumulation, even in the full stock of the situation, it is also can be maintained for about four weeks. Floods in Thailand only 1-week period, China’s hard on the result of “out” causing prices to rise exponentially, not common sense. Moreover, Thailand in this flood, and only the most affected Western Digital, Seagate 90% of production capacity in China, the impact is very small, others such as Samsung, Fujitsu brand never even set up factories in Thailand, price is clearly unreasonable.

hard drive manufacturers to profit from price increases together

Through the above analysis we can see that the by the worst floods in Thailand is Western Digital. But the other hard drive companies like Seagate, Samsung, Fujitsu and other brands affected by flooding is very small, but our current hard market is Zhangshengyipian. Careful friends may find price increases hard disk Western Digital is not the only one brand. Why this picture?

fact, the most simple reason is driven by the interests, imagine crazy overnight to gain 60% of the profits, there would be any hard drive manufacturers will easily let go of this block fat it? Therefore, the “we” were feeling malicious raise prices, when prices rose to a certain level, then a substantial sell-off.

OEM manufacturers from the madness sweeping through the flood of goods

So what exactly is the reason this price is hard what? After floods in Thailand, PC computer manufacturers, mobile hard drive manufacturers drive prices foreseen in the first group of people, they are most worried about the hard disk off for so frantically sweep from low-priced consumer goods market, and even more shipments sent to the Commissioner purchased a large hard mass market.

hard disk drive manufacturer giant consumer market aware of a problem, without any intent to indicate the upper reaches of the most obedient agent put the amount of overall contraction of the market, raise prices and prevent computer OEM manufacturers, mobile hard drive manufacturers hard drive purchased from the consumer market, these companies will be forced to use high-priced back to the negotiating table, while a lower contract price increase or encourage them to sign a supply contract.

However, this situation have on the cause, in the DIY market rally in the price of hard drives fierce, but the whole trend of price increases is not obvious. The current hard disk giant’s strategy is to give priority to keep or to seek to meet the OEM computer manufacturers, the demand for mobile hard disk manufacturers, and for the retail market, the performance slightly lukewarm attitude, because the retail market share is very small compared with the OEM manufacturers, So there we see today, DIY industry’s high-priced hard disk.

part of the powerful agents hoarding

In addition, as before the flood, due to sluggish market demand for hard disk, part of the hard drive manufacturers and suppliers have the capacity to inventory level from 20-25 days down to 10-15 days, and now floods market reversal, stocks began to cause contention. “Hard goods store! This is a new business opportunity. “This is a hard face of sharp price increases, many businesses in a timely manner to respond to market changes.

early evening of 16, the domestic part of the agents from a variety of sources that” by the floods in Thailand, the recent sharp price increases will drive prices & rdquo ; the news, some of the strength of the agents immediately start hoarding hard drive. In Thailand the day before the flood, 500G hard drive price is 260 yuan, did not expect the flood occurred just one day drive the price rose to $ 320 to the next day at noon rose to $ 380, even after a week rose to 500 yuan . Through the accumulation of hard part of the agents in just one weeks time, will be able to earn hundreds of thousands or even hundreds of million. In addition a large number of small agents, installed store owner to be outdone, have a large stockpile. Installed a shop owner told the author, most recently, he has been hoarding for nearly 50 500G hard drive, the purchase price from 260 yuan to 450 yuan per month.

major B2C mall uniform pricing

In addition to the hard drive prices prompted a storm reasons, not limited to the OEM market as well as individual dealers hoarding, there is a reason for this is B2C mall suspected malicious manipulation of prices. On I learned that the hard drive prices on the first day out on the collective major B2C mall.

Taobao hard price

after a brief period of free goods, the major B2C Web site has returned to normal supply, but the price is neat “uniform pricing.” All of a sudden major price B2C Online Shop Hard Qi Zhang, fierce rally of some people Cuoshou no hurry. Taobao business at a time when the price is also not hard to adjust, in the shop to see major price increases after major B2C, Taobao is also added to the retail prices of the tide, bringing up the hard drive after the sound resounded through the vast land.

the root cause of the hard disk industry monopoly price of highlights

past prices of pork, salt prices rise, we are able in a short time the introduction of ZF favorable remediation measures, and in the price of this hard tide, I even surprised to find that “macro-control failure,” and what causes this phenomenon is it?

in the hardware industry self-regulation and the lack of strict regulatory mechanisms. Second, look at the hard drive the whole industry chain, from technology development to mass production factories, even the hard drive motors, disc these things are all controlled by one of the few foreign hands. What really belongs to our own little or none at all. Although Shenzhen has a Seagate OEM factory, but all we do is simple assembly and processing, the ultimate consumer in the market, we simply do not priced right to speak. The hard disk prices, the author seems to Thailand’s flood is a simple incentive, while the real thing is the industry’s deep-seated problems in the hard drive market monopoly highlights!