Three 'hidden wounds' in the development of LED lighting enterprises'

2014 is destined to be an extraordinary year for the LED industry. After undertaking the great momentum of 2013, the LED lighting market has ushered in gold for three years. However, enterprises in the industry should pay attention to the three major hidden injuries. The competition in the industry is intensifying. At present, LED display screen and lighting have broad prospects in the application field, and have been attracting much attention in the process of rapid development. However, the concentration of the industry is still not high, the market share is relatively scattered, and the competition is fierce. Driven by industrial policies, under the background of expanding market demand, more capital may enter the LED industry in the future, and enterprises will face more fierce market competition. However, South China is currently a region where the domestic LED industry is concentrated and highly competitive. Compared with many foreign competitors, domestic enterprises have comprehensive advantages in manufacturing, sales channels, brands, costs, etc. , and the product quality has reached the international advanced level. However, with the increasing competition in the industry, if an enterprise cannot maintain its advantages in technology, management, scale, brand and technology research and development, it may face the risk of being surpassed by competitors, so as to have a certain adverse impact on the business performance of the enterprise. The price war is increasingly fierce. According to the understanding of industry organizations, the LED industry has made rapid technological progress and the products have been updated rapidly. While the production cost is gradually decreasing, the product price is also on a downward trend. At the same time, driven by national policies, more capital has entered the LED industry and new production capacity has been gradually released, resulting in intensified market competition and a decline in product prices. Through technological innovation and management innovation, the Enterprise maintains the competitive advantage of the company's LED products, continuously increases the research and development efforts of new products, adjusts the product structure, focuses on market segments, and maintains the stability of the company's main business Gross profit. At the same time, the company fully implemented Lean production management and integrated the supply chain system, effectively reducing the cost of raw material procurement and product production. However, the rapid expansion of market size and increased competition are still likely to further reduce product prices, making some companies face the risk of declining profitability. The expansion of production is coming into a hidden injury. Since the lighting market has warmed up, the asset scale, production and sales scale and personnel scale of some well-known lighting enterprises have continued to expand. However, the rapid development of enterprises requires higher and higher management requirements for the development of business decisions and management activities, human resources management, risk control and other aspects. If enterprises cannot improve their management ability and level in time, to reserve and manage talents, enterprises will face challenges in management mode, talent reserve, technological innovation, market development and other aspects, making enterprises face certain management risks. Therefore, enterprises should attach great importance to the changes in the internal and external market environment and industry policies, and closely focus on the established strategic principles, adhere to pioneering and innovation, and be brave in innovation in the face of internal shortcomings, on the basis of fully studying all factors, we will strive to realize forward-looking arrangements in research and development, production, marketing and other business systems, grasp changes and realize leapfrog development.