1. Many online retailers fail to make a profit despite the high transaction volume, as escalating price wars caused by similar business models cut into profit margins.
2. The Chinese government has closed many smaller coal mines to cap supply growth, helping existing market leaders in the coal industry increase profit margins.
3. The huge growth potential and high profit margins in China's wine market have lured more and more capital investment into the industry.
4. Lower property prices and sales volumes are hurting profit margins and cash flow.
5. The squeeze in downstream producers'profit margins may act as a catalyst for further consolidations and structural reforms.
6. Soaring oil prices have squeezed the profit margins of Chinese oil companies as domestic refined oil prices are controlled by the government.
7. The manager of the salon explained that counterfeit shampoo improves profit margins, adding that using fake shampoo is a widespread industry practice.
8. Soaring coal and shipping costs have combined to push up the raw material cost and squeeze steel makers'profit margins.
9. Another problem is that Beijing's bicycle rental scheme is to be operated by a company where profit margins come into play.
10. Chinese companies dominate production of commercial vehicles, where profit margins are thin.