Is there a wave of business failures now? What caused it?

The current difficulties of small and medium-sized enterprises are mainly the sharp rise in the prices of energy and raw materials, the continuous rise in labor costs, the heavy burden of taxes and fees, and the continuous appreciation of the renminbi. Various factors have led to a sharp increase in the production and operation costs of enterprises and a serious squeeze on profit margins. Among them, the profits of many small and micro enterprises have fallen sharply, and a considerable number of enterprises are on the verge of loss.

The external reality is that the financing problem of small and medium-sized enterprises has never been effectively alleviated, especially when the government is implementing a prudent monetary policy to cope with inflationary pressure and the bank funds are tightened in an all-round way, the financing situation of small and medium-sized enterprises, especially small and medium-sized enterprises, is even more embarrassing.

Difficulties in financing, high loan cost and high risk of private lending have become the main factors that plague the development of small and medium-sized private enterprises. Upstream costs and labor costs are high, and export orders can't go up, which leads to operational difficulties. In addition, the recent macro-control and the deterioration of the credit environment have made it difficult for small and medium-sized enterprises to borrow money in the short term, and many enterprises have encountered great difficulties in their operations.

Only loss-making enterprises, no loss-making industries.

The tide of enterprise closure has a certain relationship with the outside world, but the external cause always works through the internal cause. If an enterprise can't keep up with the development of the times and can't adapt to the changes in the business environment, it is inevitable to be eliminated.

There is no way for us to avoid the survival of the fittest and natural selection.