Cases of bankruptcy frequently out of Ruigu Technology

Recently, the LED industry has frequently experienced corporate closures. LED has entered the era of low profit, domestic overcapacity, the price has been almost transparent, companies can not escape the low-cost vortex. The inherent vicious competition is engulfing the development prospects of the LED industry. Then the wave of LED closures in 2016 is coming. Can SMEs only extract surplus profits in the cracks, or can't escape the crisis?

Following the explosion of the product, Zhongzhou Optoelectronics, Zhongshan Tongji Lighting Bankruptcy Liquidation and Delipu Optoelectronics have been suspended from the business of the triangular debt vortex, and now it is exposed to Ruigu Technology (Shenzhen) Co., Ltd., which was the largest supplier of Huawei communication power. On July 22, an announcement was issued that the company was facing bankruptcy due to operational difficulties.

Ruigu Technology has long been in crisis. In 2014, Huawei became the world's number one communications power supplier with a market share of 24.7%. Due to the excessive dependence on Huawei, it does not pay attention to its own product innovation and is blindly pursuing enterprise transformation.

Can SMEs only extract surplus profits from the cracks, or can't escape the crisis?

In the next 2-3 years, the LED power supply market will grow by at least 30%. The future growth of LED power supply is still due to the market expansion of the LED lighting industry.

As Li Bin, vice president of sales for Mingwei Power China, said, companies need to continuously innovate products, improve production efficiency and improve product quality, reduce failure costs, and maintain product differentiation and long-term competitive advantage. space.

The LED collapse in 2016 is coming?

There is no tide of closure, just a big shuffle. The future LED market order will be more standardized. In fact, Zhongzhou Optoelectronics should have an accident in the second half of 2014. The bankruptcy of Zhongzhou Optoelectronics was not the result of the feedback from the LED market in 2016; Pinyi Lighting was in danger at the beginning of 2016, and it was only the aftermath of the LED price war in 2015.

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