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The "one-meter cabinet" in Shenzhen Huaqiangbei has grown taller

2024-08-10

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The "One-meter Cabinet" records the development footprints of Shenzhen, Guangdong, the forefront of reform and opening up, and also witnesses the accelerated rise of Huaqiangbei, Shenzhen's "China's No. 1 Electronics Street."
Recently, when the reporter was interviewing in Huaqiangbei, he found that the "one-meter cabinet" had grown taller.
At 9 a.m., Huaqiangbei was already bustling with people transporting goods, purchasing, and asking for prices. Lu Dongli, who was over 40 years old, walked through the crowd and entered the Zhifangzhou International Intelligent Hardware Innovation Center located in the Electronic Technology Building.
In 2006, Lu Dongli came to Huaqiangbei to start semiconductor trading. Five years later, he had his own "one-meter cabinet" - he founded Jibairui Technology Co., Ltd. in a cubicle in SEG Science Park.
"Over the years, relying on Huaqiangbei's complete industrial chain and strong agglomeration effect, small orders have accumulated into a large number, and the company has gradually grown." In October 2022, Lu Dongli's company moved into an office building in the central area, and the "one-meter cabinet" was transformed into a startup company of more than 300 square meters.
There are countless entrepreneurs like Lu Dongli in Huaqiangbei. Before the reform and opening up, Huaqiangbei was just a paddy field. With the establishment of Shenzhen Special Economic Zone, major companies have successively settled in and built factories. Huaqiangbei's electronic industry has gradually grown in scale and has become one of the areas with the highest entrepreneurial density in Shenzhen.
Just one month ago, Lu Dongli's company received an order for 40,000 power chips per year. The previous morning, the customer suddenly called to confirm the order, so he immediately contacted the supplier for purchase, but received feedback: the market price had risen and the original price was invalid.
"We can't do business at a loss, and we can't give up potential customers." Lu Dongli made a prompt decision: change suppliers.
"In Huaqiangbei, there is nothing you cannot buy, only things you cannot imagine." This business district, which covers only 1.45 square kilometers, is home to about 110,000 businesses of all sizes. Behind each small store are factories from all over the country, forming the world's largest electronic components trading distribution center.
After nearly two hours and more than a dozen phone calls, Lu Dongli's frown gradually relaxed after inquiring one by one. He found the source of goods, which was in the next building. He would go to inspect the goods in the afternoon!
At 2 pm, Lu Dongli walked from his company to the Baohua Building in SEG Communication Market where the supplier was located in less than 10 minutes. He got the sample, checked the packaging, model, and label, and found that it was basically correct. After sending it to a third-party agency for testing, he received a certificate of conformity and the order was finalized.
Shops selling electronic components must also provide good technical services. Since 2018, Jibairui has expanded its product agency business to provide customers with technical support from solution selection to product mass production.
Behind the business transformation is a change in development ideas. "Doing a single trade makes money quickly but also carries a high risk, while doing diversified services is more stable and long-term." By expanding its technical service business, Jibairui has added nearly 900 new customers in the Yangtze River Delta, Pearl River Delta and Northeast China, supporting the company's average annual revenue growth of about 15%.
Reviewing the accounts: In the first half of the year, the company's sales increased by more than 10% year-on-year, with technical services contributing nearly 40%.
Huaqiangbei, which has created countless "one-meter cabinets", is making great strides on the road to transformation. Last year, Huaqiangbei added 100,000 square meters of industrial space, and the occupancy rate of the 13 newly renovated electronic markets exceeded 80%. Since the beginning of this year, 14 incubators have settled in more than 400 innovative companies, and the average daily traffic in the business district has exceeded one million people.
Seize new opportunities and rejuvenate. Huaqiangbei has proposed a new positioning of "global electronic device trade center, global hardware innovation and entrepreneurship center and international fashion electronic consumption center", and an international innovation and entrepreneurship district is thriving.
"The 'one-meter cabinet' will grow even taller!" Lian Jiaqi, secretary of the Party Working Committee of Huaqiangbei Street, said that in the future, they will focus on promoting the transformation and upgrading of the block and planning reforms, carry out in-depth actions such as improving the quality of the electronics industry and optimizing industrial space, continuously enhance "hard investment" and optimize the "soft environment", and help Huaqiangbei move towards high-quality development.
Reporter Han Xin Cheng Yuanzhou
Source: People's Daily
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