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Under the economic downturn LED attack enterprise market segment is workable?

Known as 'the queen of vc' capital founder and President of China today, once threw netease, jingdong, Vipshop, such as public comment on ideas. In the recently held 2015 netease future technology summit, she mentioned products to focus on a particular segment of the market, considering the niche differentiation, do category killers, 'also make the cake, for example, have put forward I am durian cake, the first category to finer became the first, is promising. 'This sentence in the LED lighting industry, is expected to make a lot of enterprises feel reluctant. Now there are few companies declared that their products do NO market segment. 1, as measured by the above view, many enterprises focus on the LED lighting market segment, can't 'promising'. Hold good market segment of the three principles to explain the problem, from the definition of market segments. Niche market is the enterprise according to the different consumer demand, a product of the market as a whole is divided into several consumer group of market classification. Difference in geographical location, population groups, such as classification, often say to the lighting market segment often refers to the classification of products on the market. In recent years, the LED lighting industry fast development, the market space is large, but at the same time, industry competition is intense, in order to obtain profit space, many enterprises have been trying to survive in the niche breakthrough. On the classification, for example in the intelligent lighting, automotive lighting, agriculture, hospital lighting lighting, building lighting, the classification of the museum lighting market, and on the basis of the classification of further market segmentation. At present, achieve good benefit in the subdivided market and enterprise with continuous developing and progressing, or that a certain extent, also reflects the development potential of the LED lighting industry. But on the other hand, although a vast market segment, but the number is big, the competition area wide, companies also focus on niche market in every field, even get into a particular niche, also face a lot of peer companies are added to compete for market share. And different product areas, has a different application environment, technical conditions and other features, is not suitable for every enterprise, such as try to blindly, will only waste a lot of human resources, make whole enterprise functioning system into confusion, seemingly busy scene is heralding the survival pressure and unsustainable, plus if not the very good sales channels and capital chain support, is equal to the enterprise at risk. Let alone to business opportunities in market segments, often need to product technology and channel layout aspects such as increasing investment, but this is virtually increased the cost of the product, then affects the competitive advantage cost and the price is too high. If the space is not large enough market segment, demand is not prosperous, so blindly expand investment development, also face risks and pressures. Market segmentation, therefore, must grasp the following principles: 1, measurable principle means to segment the market on the consumer demand for goods need to be able to clearly reflect the difference of the and instructions, clearly defined; Subdivided market scope also, capacity and potential to be quantitative. 2, can occupy the principle should make each segment of the market scale, development potential, such as purchasing power is enough big, to ensure the enterprise to enter the market have a certain sales companies at the same time also can make use of existing conditions to occupy. 3, relative stability after the occupation of target market to ensure business in quite a long period of stability, avoid the risk of target market changes too fast brings to the enterprise and losses, to ensure the long-term stability of the enterprise profits. Focus on niche market, thus it can be seen that enterprises must have the premise: one is the market capacity is large enough; The second is the product of marketing channel accessibility; Three is subdivided product difference is obvious, such as in technology innovation, category, function, design, etc have obvious difference. The economic environment is poor, developing market segment is workable? However, the current as the change of economic environment, the overall economic slowdown, the market downturn, demand is weak, coupled with the LED lighting industry competition is fierce, especially on price, the product prices, almost was dip, excess production capacity, supply exceeds demand in the industry. Product market demand, the market space and capacity relative to contract, such situation to expand the market, especially to develop market segment and adverse, helpless, enterprise development will bring to enterprise risk and pressure. Under this situation, not to mention how firms to be niche market first, how to better survival, keep good development advantage is the key problem. But now there are two different points of view, the spread between each enterprise managers, some think it is because the economic situation is bad, industry competition, companies face a dilemma, so to walk in the way of market segment, another new market, can make enterprise in trouble to break, fight our way out. But some people think that the economic environment is bad, the whole industry market business is not good, first when the sky is often focus on niche market of small and medium-sized enterprises, is a 'solitary throw a note', once the niche market prices fall, or falling demand, shrinkage, unprofitable market space, directly endanger the enterprise survival, rather than product diversification, scale development, reduce operating risk.

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