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The LED industry has entered the traditional off-season Q4, and the embarrassing environment faced by LED companies can be described as a few happy ones. The market is sluggish, costs are rising, orders are scarce, capital turnover is not working, and employees are recovering from pay and complaints. It is observed that due to the persistence of the off-season siege and the oversupply pressure of the LED industry, many manufacturers have broken through the hibernation and exchanged for longer-term development opportunities through strategic alliances, mutual ownership and patent licensing.
Take a closer look at the LED market's off-season decision-making, reduce losses, and plan for the long-term development:
Accelerating strategic alliance card position, more market competitiveness Recently, with the alliance of LED giants Yuanyuan Optoelectronics and Sanan Optoelectronics, the merger of Taiwan LED factory has also surfaced. Guangjia will officially become Crystal Electronics Co., Ltd. after December 28th. Lunda will also be officially merged into Power League on February 1, 2013. Faced with fierce price competition and oversupply, various manufacturers have sought strategic alliances. Even in the past, Japan’s more conservative and conservative Japan’s Japaneseization, it has to adopt a different business strategy than the past, and it has come out to seek strategic partners in Taiwanese factories. The industry believes that Hon Hai Group, which has close ties with the Japan Yahua Group, and Jingdian, which has a supply chain relationship with Japan, have a high probability of cooperation with Japan and Asia in the future. Recently, it has also been reported that the Japanese company has been invested in Hon Hai. The LED factory of the group is a pioneer in energy.
Under the predicament of market downturn, limited patents, and blocked research and development, alliance cooperation will be the best development strategy for enterprises to break through. For example, the cooperation between Sanan and Yuyuan is a good complement of advantages. Because the two businesses do not conflict with each other, the cooperation between the two parties can make up for their respective needs and enhance their competitiveness in the international market. Both are beneficial.
Patent licensing has added a boost to the expansion of the market. Since the LED companies in China, Ford, Myers, Shanghai Qiyi, and Leike have been involved in patent disputes, LED patents have increasingly attracted industry attention. Recently, Jingdian and Toshiba have authorized AlGaInPLED technology patents, and the cooperation advantage with Toyota Synthetic itself has added a boost to the supply of chip supplies to the Japanese lighting market supply chain. In the early days, Philips launched the LED and SSL patent portfolio licensing program, and resorted to the law to convince other companies to join its program.
Whether it is the international giant cross-licensing patents, alliances; or the industry's latecomers, through patent litigation, the ultimate goal is to use patents to strengthen market share. LED enterprises should attach importance to strengthening the research and development of technologies with independent intellectual property rights and create competitive products. They should also pay attention to patent layout, actively carry out patent early warning and risk prevention work, and effectively use the special nature of patents to develop rapidly.
The use of off-season: corporate relocation, internal integration observed from the recent visits to the manufacturers, many companies use the Q4 off-season, internal rectification, such as plant relocation, company personnel changes, conditioning authority and other decision-making adjustments.
Previously, Lehman Optoelectronics moved to Huizhou base due to an urgent decision, and some employees wanted to leave the company and caused compensation disputes. According to informed sources, the reason why Lehman is eager to move the factory to expand its scale is that its profitability continues to deteriorate. Due to the dual pressure of small scale and low gross profit, it must be expanded.
In terms of personnel changes, NVC Lighting recently changed its mandate most frequently. From Zhang Kaipeng, he resigned as CEO of NVC Lighting, and then appointed Li Gangwei as an independent non-executive director.
The transfer of business rights that have received much attention: Taiwanese Taigu was officially taken over by Ye Haofu, the chairman of Everlight Electronics, and its shipments and revenues were stabilized under the support of Everlight.
LED companies choose to make important corporate decisions such as relocation and personnel adjustment in the off-season. In fact, it is a development mode of change. On the one hand, internal rectification can be carried out without affecting production and sales volume. On the other hand, there are more Time to effectively sort out the problems of the enterprise, such as: the strategy, development, products, customer group positioning and so on. In order to prepare for the outbreak of next year, companies will be better prepared to face opportunities and challenges.
In addition, the topic discussion on the BBS, the netizens also gave their own views, the following is the view of some LED practitioners on the situation of the low season orders:
Caicyd: On the one hand, it develops emerging markets, especially in countries and regions where LEDs are just beginning to be used. On the other hand, R&D, innovation, new products drive new demand, and even create demand.
Yinnian: This winter is a bit cold, but if the entire LED practitioner can have a correct attitude, actively optimize LED products, segment the market, carry out accurate market positioning, and quickly establish a sound sales channel, this winter may soon pass. . On the contrary, it is always winter.
Qqyjxk: There is no order to sort out the customer information of the exhibition. On the one hand, it develops emerging markets, especially in countries and regions where LEDs are just beginning to be used. On the other hand, R&D, innovation, new products drive new demand, and even create demand.
Kinson: As far as LED companies are concerned, they focus on long-term product planning and insist on practicing internal strength. From the perspective of domestic LED companies, it is not necessarily good to do early in the industry. market. Adhere to the long-term planning and channel construction for lighting and application products, and improve the process performance of LED performance.
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