The development of OEM enterprises in LED industry

Abstract: at present, OEM enterprise's survival and development space, but also gradually exposed some problems, which makes OEM manufacturers saying "want to say I love you, is not easy".

In the network is popular with such a saying: "the cat likes to eat fish, but the cat can not swim, fish like to eat earthworms, fish can not be ashore. God has given you a lot of temptations, but you will not easily get". This sentence seems to laugh but it makes sense, the same applies to the development of OEM. At present, OEM enterprise's survival and development space, but also gradually exposed some problems, which makes OEM manufacturers saying "want to say I love you, is not easy".

First of all, the brand enterprise OEM enterprise "chop and change, not a sense of security". For OEM companies, in addition to the desire to speak, the initiative, but also a special desire to give the brand a certain sense of security. "Of OEM enterprises, enterprises' brand '," comparison of OEM enterprises sometimes in order to get more orders, to achieve long-term cooperation, will be forced to retreat, even so, it is difficult to make the brand enterprises' hearts ". OEM a person in charge of the company quite helpless emotion.

Indeed, for most OEM enterprises, due to capital, technology, channels and other core resources advantages are very obvious, therefore, in the foundry process, making product design and the standard by the brand enterprises, its space was severely inhibited, once the brand enterprises to find another "new", "out of favor" the OEM enterprise has become "the chrysanthemums after the Double Ninth Festival". Secondly, brand enterprises to reduce costs, OEM enterprises suffer hunger and cold". Although the OEM enterprise compromise accepted brand enterprises put forward "unequal treaties", in exchange for some orders, but with the enterprise brand is no limit in the cost control, also let a lot of OEM injured by manufacturers.

The development of OEM enterprises in LED industry

The OEM based enterprise, because of its special brand enterprises for OEM production, therefore, more in the LED industry chain has no independent brands, no core technology, no marketing channels, there are only a meager profit of processing. No initiative and discourse situation make it easy for OEM companies into the "human Daozu, I fish" embarrassing situation. Industry sources said that in the product development, production and sales of all aspects of the production process is the lowest profit. With the increasingly fierce competition in the market, many brands in the next order, will be again, again and three down prices. Although OEM companies can take a large number of orders, but the actual profit is not high.

At the same time, with the continuous rise of labor costs, OEM companies rely solely on the amount to win this model is difficult to obtain higher profits. In addition, frequent quality problems, OEM enterprise "nanbian". The national quality inspection administration released the January 24, 2014 2013 LED lighting product quality supervision and inspection results of special, the total sample of Beijing, Shanxi, Liaoning, Shanghai and other 10 provinces, municipalities and 82 production of 108 batches of LED lighting products, the 21 production of 22 batches of the product does not meet the standard requirements. Brand enterprises are afraid of sampling, OEM companies are afraid.

Not to mention that a series of quality inspection report and the "black list", let OEM enterprise has become the brand of "scapegoat" is beyond dispute. In fact, think carefully, brand enterprises should bear more responsibility, is not it? As the rules of the game makers, brand enterprises in the selection of raw materials, the establishment of inspection standards, the development process, the selection of OEM enterprises and other aspects can not be careless. Some brands until deep quality gates to accountability, OEM enterprises will become the scapegoat". Finally, the self brand has become a way out, OEM companies worry about risk".