There must be many reasons behind the "price war". For example, some enterprises use the strategy of "taking doctrine" to omit the R & D cost, and the total cost of their products is naturally lower than that of their peers. Therefore, selling at a low price may cause a "price war"; Secondly, most small and medium-sized enterprises compete in the "Red Sea" field, and the homogenization of products is serious; Thirdly, due to the lack of supervision of enterprises in the industry, infringing enterprises make profits through the "price war" and live a prosperous life, which is bound to contribute to the arrogance of the "price war". Finally, considering the market share, big brands must also contribute to it.

  In fact, benign price competition will stimulate consumption to a certain extent, but the disadvantages of malicious "price war" are also very obvious. First of all, from the perspective of enterprises, some small and medium-sized tricycle enterprises do not have in-depth analysis of their own capital chain and budget, which leads to the rupture of capital chain in the process of "price war", so the enterprise bosses are overwhelmed and run away one after another. However, for those enterprises that lack independent intellectual property rights and core competitiveness, fighting a "price war" is equivalent to drinking poison to quench thirst, which may solve problems in the short term, but it will undoubtedly attack the innovation consciousness and subjective initiative of enterprises in the long term. Secondly, in terms of products, small and medium-sized tricycle enterprises have insufficient profits due to the long-term price war and lack of financial support to maintain product quality and after-sales service, which has a considerable impact on the quality of products, which undoubtedly overdraw consumers' trust in products, which has a great damage to the image of product brands.

  However, in terms of the current market situation of frequent "price wars" in the tricycle industry, in order to avoid getting involved in the "price war" and adhere to its own positioning, the tricycle enterprise must keep a cool and clear mind on its own positioning, avoid the price war as much as possible, and do not let the short-term profits brought by the "price war" become the focus of enterprise economic growth. Understand, The reputation gained by the whole enterprise since its establishment is the most important. It can not join it due to the rampant "price war" in the market, so as to lose its long-term brand and affect the long-term development of the enterprise.