LED companies must stick to the bottom line to win the Spring1

Although the industry reshuffle is coming to an end, the situation of Evergrande, the largest LED industry pattern, has been established, and large enterprises are investing in mergers and acquisitions. However, the news that several LED enterprises have closed down one after another between January is still regrettable. This also exposes the fact that behind the LED industry, profits are hard to earn. The sunny July seems to have become the curse of LED people. After Pinyi lighting and Zhongzhou Optoelectronics were exposed to bankruptcy, July 11 Ruigu Technology (Shenzhen)The company also announced bankruptcy liquidation. On July 19 and 20, delipu optoelectronics and Zhongshan Tongji Science and Technology lighting successively reported the news of bankruptcy liquidation. Although the industry reshuffle is coming to an end, the situation of Evergrande, the largest LED industry pattern, has been established, and large enterprises are investing in mergers and acquisitions. However, the news that several LED enterprises have closed down one after another between January is still regrettable. This also exposes the fact that behind the LED industry, profits are hard to earn. In summary, the reasons for the bankruptcy of several companies are mostly due to the break of the capital chain. The reason for the bankruptcy given by Ruigu Technology is the economic downturn, the manufacturing industry is difficult to operate, and it is helpless to get involved in the tide of bankruptcy. Due to poor management, Zhongshan Tongji Science and Technology lighting is unable to pay more than six hundred yuan due to the supplier's payment, and the company's employees' wages cannot be paid. Delipu Optoelectronics said that due to overcapacity and industry triangular debt, the company's capital turnover was difficult, and it was decided to clean up and convene suppliers to declare and liquidate. In the past few years, with the influx of a large amount of capital, the LED industry has been in oversupply. The gold content of industry technology is relatively low, and the industry has entered an era of low price and scale. However, the development mode of fighting for low prices and scale needs huge and lasting financial support. Once there is a slight blockage at a certain point of capital, the whole development mode will fall apart. enterprises will be in danger. In particular, small and medium-sized enterprises, without good capital reserves and business strategies, are more likely to encounter the risk of bankruptcy. Through large-scale cost reduction and brand effect, large enterprises are compatible with mergers and acquisitions to expand industrial layout, and can still occupy the market and obtain profits. However, if small and medium-sized enterprises cannot base on the product itself, grasp the quality and establish their own core values, they will easily be eliminated by the market. After several years of rapid development, the LED industry has entered the post-reshuffle stage. It is expected that more LED enterprises will have no choice but to withdraw from the market this year. The reason is that the key links and core technologies are not mastered. Blindly invest in price wars and vicious competition; The company's decision-making mistakes and blind expansion; Rising operating costs, etc. , are likely to become the latter straw that has crushed LED enterprises. Looking back at the current LED industry, the big waves started to get gold. What can still stand steadily in this industry is a conscientious enterprise that insists on quality and reputation. As the saying goes, people have no faith and no faith. Today, when the high growth tide of the LED industry is declining, LED enterprises must stick to the bottom line and work together to create a benign ecological environment in order to usher in the spring of the industry and the spring of themselves. I hope that the industry will be less impetuous and more persistent. Here, I would like to praise those LED enterprises that still adhere to the industrial manufacturing industry! Especially those LED small and medium-sized enterprises are more worthy of respect!