Eighty-Five Foshan Traditional Enterprise Transformation LEDs suffer from falling demand

As Guangdong Province and Foshan City pay attention to the LED lighting industry and have introduced various support policies, more than 80% of Foshan's traditional lighting companies have turned to LED products.

“These traditional lighting companies have not conducted specific investigations on the market capacity and product characteristics of LEDs. The homogenization of the products produced is relatively serious. When the mall needs to be reduced, the competition is very intense.” Foshan Lighting (000541) Lighting Professional Zhang Hua, secretary general of the association, said.

After the transformation of the 80% lighting company group, LED has become a typical model of overdraft funding, and is now suffering from the decline in orders. The 4 trillion policy impact under the financial crisis once became a stimulant for professional self-rescue. When the boom retreated in 2011, is there more “excess” industry “streaking”?

Terminal stores do not recognize LEDs, and LEDs have no viable business model that is the primary cause of the current industry. According to industry insiders, when they investigated the terminal store, they found that the terminal did not know about the LED. In addition to government engineering and EMC, LED has not found an independent business model independent of the government.

It is feasible for lighting companies to turn to efficient LED lighting products, but they should also take their own roads in transition. They should not blindly rely on industry attention and policy support. Doing their own products is the development direction of transformation manufacturers.

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