With the development of technology and market, China's LED display industry will gradually improve and have a reasonable division of labor in the adjustment, forming a new industrial structure. In the overall industrial chain, the formation of leading enterprises in LED device production and key enterprises in the production of display products will redefine the division of labor between upstream and downstream industries, highlighting the specialized division of labor and collaboration. In 2014, it was an extremely strong year for LED displays. How to avoid risks and establish a long-term foothold in the market. By the end of August, the LED display listed companies have successively completed the first half of 2014 performance report. The report shows that the relevant companies are all in a profitable state, and some of them even achieved double-fold performance growth, ending the LED display market in the past two years. The slowdown in growth. Despite the overall improvement in the LED screen market, many potential risks remain objective. How to avoid risks, companies have their own tricks. The bigger cake means more opponents enter 2014. Driven by large-scale events such as the World Cup, the global LED display market is picking up rapidly. LED companies have not only captured many domestic big orders, but also represented overseas in Europe and America. The market has set off a wave of LED screens. In addition, driven by the small-pitch LED screen, the large-scale application of the indoor industry has also succeeded in helping related companies to make profits. But a good market prospect will also attract more competitors. Coupled with the promotion of industrial policies, more capital will enter the LED industry in the future. However, at present, the concentration of LED screen industry in China is not high, the market share is relatively scattered, and the problem of product homogeneity is outstanding, and the ability of enterprises to resist risks is worrying. Once a large amount of external capital is injected, the current loose brand pattern will be easily disintegrated, and industry reshuffle is inevitable. Falling profits or jeopardizing the survival of enterprises It is well known that the technology in the LED industry is rapidly updated, and the prices of raw materials are continuously lowered, resulting in a downward trend in product prices. In the future, with the injection of more capital, more capacity will be released and will form a more intense competition. The domestic market environment with price war practices will eventually lead to the decline of corporate profitability and even threaten the survival of enterprises. Differentiated development and improved risk resistance In the face of homogenization and low-margin market risks, LED display companies are actively exploring new profit growth points and profit models. Enterprises represented by Eliad and Chau Ming tried to carry out technological innovation to the end. In view of the current low-gloss LED display with the highest thermal efficiency and high profit margin, all enterprises continue to increase R&D investment. After the introduction of Zhouming 0.8mm small-pitch LED display, at the end of August, Liard introduced 0.7mm small. The spacing product effectively improves the resistance of high-density and small-pitch products to technologies such as DLP and LCD splicing, and promotes the advancement of small-pitch LED screens into indoor applications. The enterprises represented by Lianjian Optoelectronics have transformed their development ideas and actively explored the integrated media network management strategy of LED display hardware media advertising software. In the first half of the profit of Lianjian Optoelectronics, the newly acquired time-sharing media and its own linked culture realized the net profit of nearly 30 million yuan with the media business as the main enterprise, and became the carriage that drove the company's profits. The company also regards product service as a differentiated competitive strategy, integrates high-quality media resources with a group-based business model, and builds the nation's leading outdoor communication preferred brand. The LED display market continues to heat up, bringing both opportunities and challenges. In the face of increasingly fierce market competition, LED display companies have made every move to explore the way for enterprises to survive and develop. At the same time, it also brings a signal to the market: industry reshuffle is inevitable, and enterprises need to be far-sighted and accurate in order to effectively cope with the upcoming industry tide.
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