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LED market competition intensifies the closure of lighting companies
Recently, the LED industry has heard that Shenzhen Lights Lighting owner Qiu Huarong has run away. The factory has been shut down on the 21st, owing nearly 400 employees three months salary totaling about 4 million yuan, and suppliers more than 20 million in payment. This is followed by the explosion of a lighting, Zhongzhou Optoelectronics, Zhongshan Tongji Lighting, Delipu Optoelectronics and Ruigu Technology, another LED business face recently, the LED industry passed the Shenzhen light son lighting owner Qiu Huarong running, the factory is in 21 The work has been suspended around the day, owing nearly 400 employees three months salary totaling about 4 million yuan, and suppliers more than 20 million in payment. This is followed by the explosion of a lighting, Zhongzhou Optoelectronics, Zhongshan Tongji Lighting, Delip Optoelectronics and Ruigu Technology, another LED company faces bankruptcy. Since the beginning of this year, the LED industry has closed down, shut down, bankruptcy, wage arrears, performance decline, and losses have shaken people's hearts. Due to the serious overcapacity in the country, many companies either have no business or rely on low profits to survive. In addition to the external environment, the inherent vicious competition is also engulfing the development prospects of the LED industry. In order to have a business to do, some LED companies will not hesitate to compete in a guaranteed position. There is no minimum product price in the industry, only a lower phenomenon, which inevitably increases the risk of more small and medium-sized LED enterprises failing. It now appears that what is more terrible than the tide of closure is low-price competition. The most taboo competition in any industry is the price war, which will not only lower the profit level of the entire industry, but also make the whole industry appear chaotic and disorderly. LED market competition has intensified, lighting companies have closed down frequently. Market competition has intensified, and corporate closures have been frequent. In the past few years, with the influx of capital, the LED industry has been oversupply. The industry's technology has a relatively low gold content, and the industry has entered an era of low prices and scale. However, the development model of fighting low prices and scaling requires huge and sustained financial support. Once a certain block of funds is blocked, the entire development model will fall apart and enterprises will be in danger. In particular, small and medium-sized enterprises, without good financial reserves and business strategies, are more likely to face the risk of bankruptcy. Large enterprises reduce costs through scale, coupled with brand effects, compatible with mergers and acquisitions to expand the industrial layout, can still occupy the market and gain profits. However, if SMEs cannot stand on the product itself, grasp the quality, and establish their own core values, they will be easily eliminated by the market. This year, due to the global economic downturn and the decline in product prices, the development of most SMEs is very difficult. As LED listed companies accelerate the pace of mergers and acquisitions and expand the market scale, the time and space left for small and medium-sized lighting companies will be less and less. At present, the LED industry has entered the final stage of reshuffle, and it is expected that more LED companies will withdraw from the market in the future. Enterprises need to talk about conscience to develop in the long run. In fact, many times when companies run, it is not necessarily related to the time period, and it is not necessarily related to the situation. Because LED companies run a variety of reasons, some can not continue to run, and some do not want to do business at all, the long-planned road to scam money, and some habitual running - see others ran He also ran! It’s a big forest, what birds are there! I think that no matter what kind of situation, you can’t forgive, and you can’t forgive! Because you not only ran away the confidence of the industry, but also I ran away from the conscience of the company! It is absolutely unforgivable to do business without conscience, as with cadres without responsibility and charity! The facts also prove that no one has had good results in recent years, basically not I can't wait until the end of the day, that is, I am regretting the day and night in the big prison! The times are different, and the mistakes are not as good as before, so the result of running is really sad! The times have developed to this day, if you can't support it, you can choose to apply. Bankruptcy, processed according to procedures. This world allows you to pursue success and allows you to fail after the failure. Failed, although very sad, it is very frustrating, but at least you are still a warrior, it is a shameful coward to run the road! The long-awaited running for the purpose of illegally possessing other people’s property is a scam, which is the most need to be severely punished. . Such people must let them fall into the French Open, they must spit out their illegal income, and they must pay a huge price for their behavior! Enterprises that are habitually running have a tendency to follow the trend, and have suffered a little loss. The retaliatory rebound, but also feel that they can not stand, such companies need to be guided and alert, let them break the road to think! For most people who do LED companies, their most real desire is to think Do business well, not to run the business. But doing business has never been smooth sailing. At all stages of enterprise development, there will always be problems and difficulties like this. We cannot retreat as soon as we encounter problems and difficulties, but we should do everything possible to find a solution. A lot of times we will find that although it seems that the front is already desperate, it will be clear when we bite our teeth. Many very good companies and entrepreneurs have encountered enormous difficulties: Ma Yun and his Alibaba have experienced a shortage of funds. In Ma Yun’s own words, if there is no more money for a week, they may go bankrupt. Panasonic, Huawei, and NVC have all encountered similar problems. Today, the LED giant Mulinsen has encountered great difficulties in 2011. However, after that year, the industry situation began to improve and the difficulties were solved. Therefore, the success of a company is often not how much better than who wins in technology, but how much stronger than others in belief. It can be said that success is a belief, and unsuccessful is often a kind of mourning. Successful companies are winning, and unsuccessful companies are often giving up. Therefore, when enterprises are extremely difficult, confidence is more important than gold, and belief is more important than strength. Editing point of view Business owners run, this is in every industry, but it seems that the LED industry has a lot of roads. In recent years, the word running has gradually become a hot word in the LED industry. Running the road not only reflects the integrity of the LED industry, but also requires all companies in the industry to pay attention to their own integrity issues and jointly establish a good business environment. At the same time, it also reflects the degree of chaos in the industry. This requires LED companies to pay more attention to their product development and avoidance. Bad price wars, leading the healthy development of the industry with technological innovation.