The paper making industry is one of traditional industries. Previously, we think that 80% paper product is used to productive consumption, 20% is used to living consumption. With the approach of internet economy, the proportion bound is becoming vague. The main characteristics of paper making industry are capital and technology intensive that have the characteristic of modernization large scale production.
The main characteristics of paper making industry:
Firstly, technology intensive, 60% is the equipment investment in the investment of paper making industry. The automatic degree of paper equipment is higher than common manufacturing industry.
Secondly, scale benefit, paper making industry has large investment in toilet tissue making machine and high fixed cost. In order to increase competitive capacity, paper making enterprise should expand its scale continuously. Only this, you can get discourse and initiative power from market competition and purchasing of all kinds of raw material. Expanding scale is the most effective way to enhance competitive capacity.
Thirdly, resource constraint, paper making industry belongs to raw material industry that has high dependency on fibre. Some countries have abundant wood resource, such as America, Canada, Finland, etc. While, many countries have insufficient wood resource.
Fourthly, the industry has the same develop speed with national economic development.
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