Is it more difficult to become wealthy nowadays?

The market winds are constantly changing

Times are moving on and so is the market, no industry can stand in the market. In the previous twenty years, our country was in the developing stage, like manufacturing, real estate and internet industries were emerging, and these industries had a good space for development in the market. Twenty years have passed and some industries have developed so well that there is not much room for development. If you want the economy to develop rapidly, you must develop other areas such as new energy, chips and other technological products. These industries will be a thing of the past for another decade or so. Some companies are finding it hard to make money now because there is no more room for development in this sector and consumers are feeling numb.

New energy

Consumers' high incomes are decreasing

With prices now rising and our cost of living increasing, it is natural that the pressure will increase quite a bit. All commodities have risen compared to a decade or so ago, and these commodities involve all aspects of our lives, spending more with less left over we also get the idea that it is more difficult to make money. At present, people's standard of living has generally improved, but the masses' spending power is transparent.

As our economy has been growing at a high rate, the population is also increasing, people's lives have also undergone qualitative changes, many people buy houses and cars, which makes people's life pressure increase. With the pressure, people are naturally afraid to spend money recklessly and their spending power has decreased. Those who pursue a high quality of life will only see their wallets grow thinner and thinner if they do not have sufficient financial strength as a bottom line.

Rising prices

Competition in the market is fierce

The third social problem is that the market is very competitive. Every industry has a leader, and when an industry takes off, other people will see the development of the industry and will start or invest in it. In this situation there is less and less room for companies to seek a breakthrough and the development of the industry will gradually become slower. Many companies will also go out of business because they do not have a very high level of competition, so the money is hard to make.

The market is much more competitive.

In the 1990s, many people went into business, and even if they were just selling small goods, they could make hundreds of thousands of dollars or millions.

But now there is a big difference from a few decades ago, the market is now very competitive, as long as there is some profit in any industry, there will be a large number of people entering, so in the short term will not only lead to a diversion of customers, but also lead to a decline in the profitability of the industry, so the difficulty of making money will certainly increase.

Second, the increase in the cost of production factors.

With the continuous development of our economy, the cost of various factors of production, including labor, rent, transportation, materials and other costs are rising, in this context everyone's profit margins will be compressed, so it will certainly be more and more difficult to make money.

Third, the impact of industrial restructuring and upgrading.

Since 2008, many provinces in China have started to upgrade their industrial structure, gradually eliminating backward production capacity, and then focusing on the development of some high-tech industries and modern manufacturing.

In the industrial restructuring, many enterprises have moved to other places, or even moved abroad, correspondingly, around these enterprises to expand some of the upstream and downstream enterprises will be affected, or even appear to close down, so many enterprises orders are much less than usual.

Fourth, the impact of consumer upgrading.

In the past, the main focus of China's consumption is food, drink, housing and transportation, so around food, drink, housing and transportation to develop a lot of industries are able to earn money.

But in recent years, as the income level of China's residents continues to rise and the standard of living continues to improve, people's consumption has had some obvious changes, for example, in the past, when people had money, they might spend a large part of it on food, but now many families have money, they will spend more on some cultural entertainment or other aspects.

In the background of the continuous upgrading of consumption, those traditional industries are certainly much harder to make money than before, but corresponding to some new industries, such as the Internet, new media, cultural entertainment and other aspects of making money is obviously better than before.