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LED industry competition is still concentrated in the low end of the link

2016-01-06 838

Guangdong LED many enterprises basically still in low-end links such as packaging, research and development to do very little. In fact, research and development is the most profitable LED industry, but the research and development will take a longer time, cannot return rapidly in a short time, and the success rate is not high, so many companies prefer to preempt the low-end market rather than development. Therefore, more and more enterprises in the low-end market repeated investment, are fighting for the government's special allowance funds, formed the vicious competition on price.


The government should be encouraged to upstream and downstream enterprises through some special funds of the government encourages enterprises operating in relatively good condition to the transformation and upgrading of high-end products, and at the same time, encourage low-end assembly factory merger, through the integration of the way to realize industry, such as mergers or acquisitions, enhance competitiveness, to achieve resource sharing, to avoid vicious competition.


On the one hand, to encourage technological innovation, strengthen the property right cooperation, the university resources and enterprise docking, a breakthrough in technology research and development; on the other hand is to encourage system innovation, the government can direct subsidy, encourage the manufacturer launching products with lower prices, so that companies can cut down the cost, but also set a let consumers can accept the price, and the government through the financial aid also can achieve the purpose of energy conservation and environmental protection, the realization of the government, enterprises and consumers win-win situation.


70% of its manufacturing from China LED lighting industry, many companies are export-oriented, affected by the debt crisis this year, falling foreign demand. However, he predicts that this year his company in the proportion of domestic sales will be increased from 10% to 20%, is expected next year in the domestic market sales may be better than foreign markets, and next year he will put the focus to the domestic market.


LED industry developing fast in recent years, there is no time to accumulate, enterprise's management level is generally lower. Future excess production capacity will be quit, ease the contradiction between supply and demand, industry concentration will increase, one of the few big MAC type LED enterprises will form.


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