(1) labor-intensive enterprises, the benefits are not highBotai technology is the production of DPD, optical data, large size display, outdoor color spray large size printer, carbon film printer, is a typical incoming materials assembly and assembly enterprises. The company is to assemble the way to earn differential profit. 2014 years later, as a result of the domestic real estate market developing, coupled with the refined oil prices rise, power supplies, labor tension, the RMB exchange rate rise, the quota cost factor, has set up a file in the dongguan these companies rapidly increasing cost of the chain effect, as a direct result of Bertrand technology directly, a big drop in profits or even losses. For example, before 2013, the gross profit of the large-sized D16 laser head specially designed by SONY Japan was about 300 yuan per set. After 2014, the cost of gross profit dropped to less than 200 yuan following the price rise of each material in the market.(2) with the arrival of the wave of bankruptcy, the enterprise's ability to resist risks is weakBotai technology has been impacted by the closure of enterprises in dongguan. Since 2015, there have been 2,554 small and medium-sized enterprises closed in humen alone. From the perspective of industry distribution, the closed enterprises are mainly concentrated in traditional, low-tech and energy-consuming industries such as textile and clothing, hardware and plastics, electronic products, ceramic and building materials. Most of the closed enterprises due to small scale, low technology and economic strength is not strong, unable to adapt to the change of the situation, leading to the closure of the enterprise production. Botai technology, like other companies, suffered from the wave of failures, and the burden was increased due to the company's poor management and blind investment in expansion. Take DFNC, the largest enterprise in dongguan, as an example. It declared bankruptcy in 2011. Its products were mainly sold to the United States. The group's internal management is also not standardized, even if not facing this year's economic situation, the company will also be due to the breakdown of the capital chain and failure.(3) weak innovation and lack of brand awarenessBotai technology co., ltd. is a labor-intensive enterprise engaged in processing and assembling with supplied materials. It lacks the capability of technological innovation and brand building. For a long time, most small and medium-sized enterprises in dongguan are mainly engaged in processing trade, that is, OEM production. Their brands are owned by others and their core technologies are also owned by others. Therefore, they can only rely on low labor costs to obtain a small part of the processing costs. Therefore, small and medium-sized enterprises in dongguan largely rely on the low cost of labor to survive, rather than actively carry out technological innovation and brand creation as their own way of survival and development. From today's situation, in processing trade, the added value of products is small, export enterprises can only earn cheap processing fees, meager profits, and bargaining power is extremely limited, under the influence of the rising costs, export enterprises continue to squeeze the profit space is smaller and smaller.