LED wash or is a foregone conclusion

The overcapacity of the LED lighting industry that entered the outbreak period is not a single element that causes the company to mourn the complaints, and is specifically expressed in the following aspects:

First, people do not know enough about LED. LED as a model of new energy-saving and environmental protection lighting equipment and government advocate lighting products, although it has many advantages, but in a short time to replace fluorescent energy-saving lamps, it is still very difficult. Fluorescent energy-saving lamps have a good performance in lighting effects and performance, coupled with its long-term market precipitation, laid the dominance of its market. Therefore, LED is still in a relatively "unfamiliar" run-in period in the Chinese market, and the people's awareness of LED is still far from enough.

Second, the development of LED bottlenecks. LED development time is short and product maturity is not stable enough. There is no LED lighting company in the world that can achieve stable performance like a fluorescent lamp. Although we do all sorts of comparisons one at a time, the unstable performance of LED lighting is manifested in the consumer market. Therefore, the ideal data is no different from paper. Unstable performance is the fatal weakness of the product market.

Third, lack of convincing leading brands. China's LED companies lack a benchmark brand, resulting in a lack of credibility of the entire industry. The main reason that led to the lack of credibility of LED lighting is that after-sales service is not well improved: after-sales service is not guaranteed, it is very tedious. LED products that are not mature enough to sell after sale are relatively frequent and do not have a good after-sales service system. Talking about a brand is simply a castle in the air. After all, the main reason is that there are too few LED professionals in China. If LED repair points and technologies can be as common and popular as ordinary home appliance repair points and technologies, sales of LED lighting products will not be as difficult as a tug-of-war competition. Fortunately, at present, many LED companies in China have realized the importance of after-sales services, such as Qinshang Optoelectronics, rectangular lighting, etc., have increased the construction of after-sales service system.

Fourth, foreign customers did not play a mainstream role in China's LED market. At present, many of China's LED products are mainly export-oriented, and the discerning eyes of foreign customers have caused the sales of LED products to behave insignificantly. This directly affects the LED auxiliary industry. Therefore, a large number of domestic LED peripheral enterprises have excess production capacity and fierce competition. In order to ensure the normal operation of the company, only the price will be fought. In the oversupply situation, the price of LED and related peripheral products declined. While foreign customers see this situation, they are still in a wait-and-see period. This situation has accelerated the Chinese LED market's washup.

Fifth, light source sales followed by shrinking. Taking the light sources 3528 and 5050 as examples, sales of finished lamp tubes have shrunk, and sales of the 3528 light sources that make up the lamp tubes have been squeezed. Several rounds of round-by-round, most LED companies began to consider the production of 5050 in order to take into account the survival of the enterprise. Relatively speaking, the application of the 5050 is broad, but when most of the companies turn around to produce the 5050 light source, the 5050 is facing the same problems as the 3528. As a result, companies in such situations are indecisive, swinging around, and in a state of weakness. As for those speculators in the field of LED lighting will likely be eliminated.

The LED wash is almost a foregone conclusion, and the revolutionary “battlefield” retains the elite.

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