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LED display enterprises in 2019 what are the potential crisis

Time:2018-12-28 Views:248
LED industry development has presented a new development trend: LED chip supply is in short supply, leading upstream LED chip enterprises are busy increasing production and prices;Midstream LED packaging capacity increased, from semi-automation to automation trend is obvious;The downstream LED display market has a broad prospect, and the annual growth rate will exceed 20%. China will become the most important production base of LED display in the world.From the overall perspective, LED industry trend is very optimistic, LED display industry development is also in a good situation.
However, in the manufacturing industry, LED display enterprises still have many indelible problems, some of which are caused by the manufacturing industry itself, and some of which are the long-term existence of enterprises‘ bad operations.However, these problems are deeply troubling the development of LED display enterprises. Without a clear understanding of these crises, LED display enterprises, even with a good industrial development situation, will still be complacent and miss opportunities for enterprise development.So, what are the potential risks for LED display companies?

LED display enterprise potential crisis, LED display manufacturers, LED enterprise upgrade

1. Rising labor costs cannot keep up with automated production
Previously, "made in China" may have been a synonym for cheap products, supporting its position as the "factory of the world" through the advantages of low labor costs. However, with the rapid development of domestic economy in recent years, China has gradually overturned the impression of "cheap" created by people around the world.
It is also because of the rise in "made in China" wages that people‘s living standards have been greatly improved.However, this is a huge disaster for China‘s manufacturing industry, which outshines global manufacturing at the cost of labor, and the rising labor cost is also a problem that LED screen manufacturers must face up to.
2. Go into the big mistake of sacrificing quality to reduce cost
At present, China‘s manufacturing industry shows the overall characteristics of "moderate to moderate stability and limited recovery".In this situation, LED display enterprises need to carry out some substantive reforms to improve production quality, effectively reduce labor costs, enhance enterprise independent innovation, and achieve further development under the dual drive of cost and technology.
As for the LED display industry, under the favorable conditions of the industry, the market demand has soared. Since the end of 2016, many manufacturers have increased production investment, expanded production capacity, and been on the road of increasing production and income.Although the overall situation is good, but can‘t ignore the earlier part of LED display, small and medium enterprises to expand capacity on the limited cost, do not hesitate to lower the quality of products, reduce production inspection link, lead to industry product quality the good and bad are intermingled, engineering frequent accidents, if not eliminate this phenomenon, the LED display enterprise calculated to achieve cost savings, reduce investment, nor seek greater profits for the enterprise, but also caused the survival crisis to the enterprise.
3. Non-standard production management results in waste of resources
At present, only a part of China‘s manufacturing industry is a large foreign-funded enterprises and state-owned enterprises, or a large proportion of private enterprises.Relatively, the LED display industry, large and small enterprises is very much, in the face of fierce market competition, they also have to consider in the production of non-standard serious consequences brought by the management and operation, the increase of production resources waste and cost, remind you LED display business owner constantly thinking about how well the production management, let the enterprise operate more smoothly, costs more clearly.
In order to adapt to the rapid changes in the market and environment, enterprises must strive to improve the flexibility of the production system, in order to constantly launch new products according to market demand, and make the production system adapt to diversified production, so as to quickly adjust production, variety replacement.Therefore, to improve the demand for more urgent enterprises, the improvement of production management is imperative.
4. Ignored the competition in brand building industry and was eliminated
China is a big manufacturing country, but not a big brand country. The current manufacturing crisis in China has once again triggered people‘s debate on corporate brands.According to statistics, the average life span of Chinese private enterprises is only 2.9 years, and that of large enterprises is only 7-8 years. The short life cycle of Chinese local brands is deplorable, which is also a prominent manifestation of the weakness of Chinese brand competitiveness.If the enterprise does not pay attention to brand building, even their own trademarks do not have, how to say brand competitiveness?Therefore, to be successful, enterprises must improve their brand competitiveness. If they do not pay attention to brand strategy, enterprises will be out of the future competition.
China is an important production base of LED screen in the world, and China‘s LED screen industry plays an important role in the world. However, among the large number of Chinese LED screen enterprises, only a handful of well-known listed companies can be found, and even fewer enterprises can enjoy a high reputation in the world.As the competition in LED display industry gradually intensifies, the competition between LED display enterprises is more about brand and strength. Enterprise brand building, LED display enterprises cannot be ignored!
This shows, the industry situation LED display positive cases still faces all sorts of enterprise management, crisis management, these problems are many LED display enterprise survival and development are the existing problems, and also in the fierce market competition, often need to face, with its long-standing stranded for a long time, it is better to take industry good opportunity, the enterprise internal adjustments, with the right way to achieve innovation enterprise transformation, with a better attitude to meet greater market opportunities.
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