Seven factors make the lighting industry collectively winter


China has become the world's largest producer and exporter of lighting appliances. Currently, it produces 4 billion lighting products per year globally, while China manufactures 90% of the total. However, since 2008, due to the influence of national macro-control, real estate, building materials and other industries have been subject to certain restrictions, as the lighting industry in these industries upstream and downstream has also been affected. Entering mid-October, the lighting industry will also usher in a severe winter. What factors are currently affecting the development of the lighting industry?

Summary: The road to rise is mixed

This year's lighting industry is in a tough situation, and some small enterprises, mainly processing, have become difficult to survive this year. Even a larger company will fall into a difficult situation if it expands blindly. In such a difficult period of development, the lighting industry is facing a severe winter. Because the basic environment of the lighting industry is that the industry is more dispersed, each company only occupies a small share of the industry. In such a difficult period of development, the lighting industry is facing a pattern of reshuffle. This year, the government introduced various policies and finances to support and subsidize energy-saving lamp technology. The government invested ample funds, and at the same time, customer demand also turned to energy-saving and environmentally friendly products. All lighting companies spontaneously and consciously shift their research and development focus to energy-saving technologies. For enterprises that have an environmentally friendly product line, it has brought about greater development opportunities.

However, due to the characteristics of the industry, the Chinese lighting industry has to enter a new period of prosperity and needs to go a long way.

First, it requires the guidance, supervision and management of the government. Secondly, accelerate the pace of survival of the fittest and gradually create a good industrial ecological environment. Third, we must rise up a group of leading enterprises in the industry, backed by its own powerful strength, and advocate orderly competition. Oppose disorderly competition and strengthen horizontal cooperation while vertical competition. Fourth, manufacturers take the lead in regulating the terminal market, prompting dealers to comprehensively improve service quality and improve the quality of the seller's market.

It can be affirmed that China's lighting industry must rise from small to small, to large-scale development, from extensive development to intensive development, from traditional production and management to brand development. In fact, China's lighting industry has a solid foundation for scale, intensification and brand development. As the two bases of China's lighting industry, the Pearl River Delta and the Yangtze River Delta region account for 70% of the total industry, and the industry chain is relatively mature. .

Factor 1: Export frustrated domestic sales forced

Since 2008, due to factors such as rising raw material prices and increased labor costs, coupled with the impact of the US subprime mortgage crisis, the export market of the lighting industry has shrunk rapidly, and many companies have turned to domestic sales, further exacerbating industry competition.

In recent years, China's lighting industry has grown at an average rate of 20% every year, but many Guangdong lighting companies have said that business is getting harder and harder. In addition to the difficulties faced by various industries, such as rising raw material prices and increased labor costs, in the first half of the year, due to the impact of national macro-control, real estate, building materials and other industries have been subject to certain restrictions, as the lighting industry downstream of these industries, Also affected.

Especially for export enterprises, the export of lighting products has been greatly reduced due to the impact of the US sub-commodity. In particular, the enterprises exporting to the North American market have a low operating rate this year. Many lighting companies have turned to domestic sales, further increasing the domestic market. pressure. According to industry analysts, half of Guangdong's lighting companies are exporting. In such an environment, many small enterprises in the lighting industry will be difficult to survive, especially in processing-oriented enterprises, including some large processing enterprises. If blindly expanding at this time, it will also encounter great development problems. .

Factor 2: High cost era

The increase in raw material prices and labor costs, combined with the appreciation of the RMB exchange rate and the adjustment of the export tax rebate policy, have affected the sales cost of lighting products to varying degrees, making the profit margin of the product further reduced while the cost is high. On the other hand, it is a large-scale enterprise. Intention to use the price cut to accelerate the industry reshuffle, which forced small and medium-sized lighting companies to upgrade and hedge, and a small and medium-sized lighting company has begun to plan the transformation from OEM to independent research and development.

At present, most of the SMEs in the country are concentrated in the traditional tertiary industry and processing industry. The development model of high input, high consumption, high pollution and low efficiency has not been fundamentally changed.

Factor 3: Three-stream confusion

China's small and medium-sized lighting enterprises have been plagued by the three problems of information flow, capital flow and logistics for a long time. Especially after many unfavorable factors this year, the difficulties encountered by SMEs in funding have attracted much attention. At present, bank loans are one of the most important sources of funding for SMEs, but now there is a lack of outlets at the grassroots level, and banks are hard to declare. In the case that the financing curse of SMEs cannot be eliminated, if enterprises want to have sufficient capital flow, they must have diversified sales channels in order to quickly return funds and speed up the circulation of corporate capital. In this way, we can win the battle and stand in an invincible position.

In recent years, some lighting companies have further enhanced the market share and influence of lighting products by strengthening cooperation with logistics companies. Especially for engineering-type enterprises, engineering urgently requires goods, production is fast, delivery is fast, time is fetched, convenient, safe and fast, forming a high-speed turnover of capital flow, and establishing a rapid dissemination of information flow.


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