Analysis of the development status and characteristics of China's LED lighting industry

In the LED industry with the theme of environmental protection and energy conservation, LED lighting companies can be said to be flooding, a new technological breakthrough, and lighting companies that invest in LED technology have sprung up everywhere. According to statistics, the annual output value of China's LED industry has exceeded 140. There are so many brands, but the leading companies are lacking.

Analyze the development of China's LED industry

From a market perspective, Chinese LED companies have the following characteristics:

The LED lighting industry is growing rapidly. In 2010, LED lighting has begun to ferment. Compared with 2009, the market demand has increased greatly. Enterprises that do LED packaging and LED display have also entered the field of LED lighting. At present, the number of companies that only do LED packaging in the Chinese market is very small, and most of the packaging companies have begun to develop and produce LED lighting products. The enterprise boundaries in the field of LED applications have become increasingly blurred, and the LED product lines of various companies have become longer and longer. Although the technical level of LED products has been greatly improved compared with previous years, most companies have led the market with price, but at the expense of the quality of products, it has also led to a gradual decline in product profit margins. However, many LED companies have begun to increase their R&D investment and move toward high-tech, high value-added, and intelligent products. In the packaging and application side, some products of individual companies can already compete with international LED manufacturers. Even so, the overall profitability of LED chip companies is low. LED chip companies are currently investing a lot in the overall, but in 2009 LED chip industry sales of only more than 2 billion yuan, and most LED chip companies are negative profits or no profits. LED chip companies reached 62 at the end of 2009. With the large-scale investment of LED chip companies and the introduction of technology in Taiwan and other places, it is expected that China's LED chips will have a very large development in the next few years.

Exports occupy an important position, and the domestic market is weak, especially for LED companies in the Pearl River Delta region. Many enterprises account for more than 50% of exports. Mainly because the price of LED products is still relatively high compared to Chinese consumers. The sales of LED application products in China are mainly concentrated in commercial lighting and municipal engineering, and the acceptance level of ordinary consumers is still at a low level. There are few mergers between LED companies. At present, there are few LED companies in the market, and each company relies on its own strength to expand its scale. Compared to the thousands of companies on the market, the ratio of the ratio between enterprises is negligible. The main reason is that the LED market is still immature and fully competitive, and most companies can find their own living space. However, compared with the case of a small number of reorganizations, there are many companies entering and exiting the LED industry in China every year.

Brand construction lag

Undoubtedly, the brand is the steel armor that the enterprise overcomes the crisis. Therefore, to enhance the anti-risk ability of the lighting industry in the face of crisis, we must work hard to develop the brand and create a unique development path of the lighting brand.

The implementation of multi-brand strategy, many companies implement this, in the multi-brand operation process, the sales and market between multiple brands are completely separate, but its R & D and organization management is resource sharing, which is undoubtedly optimized Resources enable enterprise resources to be fully utilized. Use differently positioned products to compete for a larger market and subdivide the cakes in the lighting industry, thus increasing the market share. It not only expands the influence of the company in the industry, but also maximizes the benefits for the enterprise.

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