Shuffle Eve: a LED decorative lamp factory helpless

This year the business is not good to do, not warm not fire, not many orders. Zhongshan Ancient Town, a LED Lighting Factory assistant general manager, told reporters. A factory specializing in the manufacture of LED decorative lighting products, in 2009, the factory is only about 40 people hit a record sales of over ten million. In 2010, everything about the economic recovery and growth predictions are cashing, lighting industry upstart - LED illumination is more extraordinary speed in development, however, Azu's factory to share the benefits of growth, does not seem so easy.

Competitive dilemma: vicious competition driven by profiteering

"A few years ago, our profits can reach 50%, or even more. Now can do 30% is very good. A Yuan said. A factory located in 2005, is accompanied by the rise of a group of LED hot, with lights, guardrail tubes and other outdoor decorative LED products. In the LED outbreak, the rapid growth of market demand, so that such a small factory can easily find market space. Driven by profits, a large number of uneven manufacturers began to enter the field nuggets. "You don't see that there are only more than and 40 people in our factory, but it's not too small in this industry. 35 processing workshops are everywhere. A Yuan told reporters.

With the entry of a large number of uneven factories, the market environment began to become bad, the face is the price war. Well known enterprises in the industry, the price is still able to maintain a certain degree of strength, and like a small factory in the abyss, but must face the pressure from two aspects. We offer 40 yuan of products, some manufacturers actually only reported more than 20 yuan. The main customers and look at the price, simply can not do. "In the face of bad competition, the Arab Israeli seems helpless. LED decorative lamp technical content is not high, mostly raw materials assembly based. In order to ensure the competitiveness of the price, in the price war, the Arab Israeli boss had to consider reducing the cost of raw materials. Raw material cost control is caused by the decline in product quality, customer repair rate is getting higher and higher, ah every day to face these complaints.

At present, more and more LED decorative lighting companies are beginning to fall into such a dilemma dilemma.

Development dilemma: embarrassment before the technology, qualification bottlenecks

"We can also do LED light source, but also to do street lamps, but all samples, no one to buy. A Yuan told reporters. When the big orders come, customers will come over to see the factory, doing research, our qualifications are not high, but also the lack of core technology, it is difficult to get such orders. "The pain of small enterprises in the enterprise where the abyss is embodied: not willing to sink in the low-quality competition, and no strength to develop.

In the field of LED, decorative products are only a small part, and the prospects are more promising is to function based LED light source, indoor lighting, commercial lighting and other fields. With the rise of LED lighting, the traditional lighting industry giants have entered the LED, aimed at the main functional areas of light and light. The small and medium-sized enterprises lack the appropriate resources, technology, human resources integration capabilities, facing development difficulties.

Market dawn: prices are no longer the only consideration

With the wide application of LED lighting products, the market for LED products has gradually become more rational. Most of the previous customers only look at the price, regardless of product quality. Presumably some customers have lost the loss of inferior products, and now we become more rational. A Yuan said. At the same time, the last two years, the traditional lighting giant gradually into the LED to allow the industry, the competition will lead to a higher level. In any case, now a lot of money and enterprises to enter the LED industry, and the industry is still huge profits, I believe the future will be a very cruel LED shuffle. "So the prophecy.