Excessive investment led to LED price chaos

Insiders said that the main reason for the price of more than LED products led to chaos. Zheng Tiemin, general manager of Shandong wave Huaguang Limited by Share Ltd believes that a lot of companies on the LED market is expected to be too large, flocked, blind transformation of the LED industry, the reason for the price war is greater than the truth. He believes that the price war to stop production, limited production, after converting and bankruptcy, merger and integration process, the rest of the enterprises will gradually to the normal development of the road, with the upgrading of product performance, the price of LED product will tend to be reasonable.

"The future of LED industry will shift from technology intensive industries to labor-intensive industries. "With the Limited by Share Ltd vice president Wang Lianghai said that in recent years, the upstream LED chip prices have dropped to 30% in 2010, the price of the product packaging field compared with 2010 down 40%, terminal application products prices also fell, the original 200 yuan to 300 yuan now products of LED products is consistent with basic performance.

Traditional retail channels are burning, brands, products and services are not ready, but the electricity supplier channel investment is hidden, the cost is relatively low, the future is still a greater feasibility. Sichuan Sony light Limited by Share Ltd chairman Zhang Ming believes that due to high prices, the domestic retail channel cost is large, Home Furnishing lighting retail channels come true is required for a period of time, but the electronic commerce platform is a new channel is very good.

In his view, LED lighting only to achieve a real market development power, and its market must return to the real needs of customers, the implementation of differentiated innovation, in order to explore the potential of the market.