"Matthew Effect" previews LED Industry into The "Big Time"

With the continuous development of LED industry , also will intensify competition in the industry , the industry continued to deepen integration . Behind the integration of a variety of phenomena is the industry resources further to competitive enterprises concentrated , and therefore lead to a number of financial strength is not strong but lack the unique advantages of technology companies fell in the competition. Since 2013 , the industry has numerous major collapse incidents involving the three places , mostly for capital fracture , excessive use of financial leverage . Also how the integration of mergers and acquisitions since , combining the strengths and resources to accelerate the industry giants focus speed competition to Hengqiang , the bigger the situation of development, the " Matthew Effect" revealed beyond doubt in the LED industry.

In recent years, due to the influx of funds , LED stage has actually entered the competition heating up , the production capacity has begun to lead to oversupply in most small businesses are not competitive LED began to gradually withdraw from the market , therefore , has a cost-competitive LED industry chain leading enterprises will thus have a greater advantage . Relevant industry believes that , with the gradual deepening of LED industry development , quality, cost , brand, size has become a key LED industry competition. In the wave of LED industry reshuffle , the Chinese LED industry will gradually Hengqiang in the market, while weaker companies in the market will be difficult to get a cup of soup .


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