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Large Profits Thin Supply Chain Costs As Well As The Downside?

Edit:OAK LED Co. Limited      Date:May 11, 2017

  [text / Engineering LED Gan Qin] this year, LED stadium lighting industry as a whole phenomenon is an indisputable fact, sales gratifying at the same time, gross margins declining to let large companies suffered profit thin business cycle. backpfrontp However, there are achieve contrarian growth. backpfrontp Recently, Aihua Group's third quarter report shows that the third quarter, the company achieved total revenue of 344 million yuan, an increase of 21%; net profit of 59.644 million yuan, an increase of 93%. backpfrontp Aihua Group, Yan Baohua, vice president, said in a highly competitive market environment downstream capacitor, double net revenues increase, while the company benefited from leading-edge technology and cost control, on the other hand depends on the demand for LED stadium lights power supply due to growth. backpfrontp cost control, can be said to ensure the profitability of enterprises everlasting topic. Although the whole industry chain profits decline, downstream lighting companies to reduce costs for calls but increasing unabated. backpfrontp sun lighting, general manager of China Chen Yiping at G20 \u0026 mdash; the LED Lighting Summit pointed out that consumers will always prefer inexpensive, so the cost of innovation is still the company has been pursuing the goal. For each industry chain, lowering business costs are still a major issue.High power LED flood lights drive power, Germany Lipu Po Cheng, deputy general manager, said the cost of power does have room to fall, reducing the cost of space power greater than the external power supply built, probably around 8%. But generally speaking, not a way to reduce device cost, but by optimizing technical solutions for customers to make none. Unlike backpfrontp power lamps,1000W LED flood light selling the technology rather than the appearance, particularly valued for stability, so the power companies in the choice of the capacitor element, the value of its applicability and specific parameters. Pu Cheng said different product lines for different capacitance requirements, 3C version consideration high pressure, and pay more attention to the EU regulation of product temperature coefficient. backpfrontp Overall, capacitors need to rely on experience and stable performance to win, so we in the choice of suppliers, more optimistic about the old enterprises, LED tunnel lights Aihua, emeralds are our suppliers. Pu Cheng says. backpfrontp For capacitance is concerned, some lighting companies often configured high or low response situation. backpfrontp Yan Baohua said Aihua practice, holding lighting product lines for detailed analysis, submit an appropriate proposal to the lighting manufacturers, lighting manufacturers do let accreditation and to tell manufacturers how to do lighting product life. backpfrontp lighting manufacturers long life of the product required to tell us, we will assist them from the perspective of the capacitor, to do more to optimize lighting products, lighting manufacturers with the highest price,LED arena lights the most suitable products. Yan Baohua said. backpfrontp cost reduction initiatives to make more than the downstream business. As can be seen from the middle reaches of the packaged device, it allows enterprises to increase in volume and a drop in price is quite helpless, and most companies have chosen the way through expansion to curb costs. backpfrontp where Linsen, LED high bay lights Hongli Opto-electronic opened a base in Jiangxi Province, the country star power also has a corresponding expansion plans. Ismail was Zhang Lu Hua, director of marketing told Engineering LED tennis court lights, the company's production base in Jiangxi Province, will soon put into the ground. backpfrontp expand production capacity, improve economies of scale, can induce decreased in manufacturing and management costs. Zhang Lu-hua. backpfrontp Po Cheng summary, to really reduce costs, companies can not the skunk, more communication and integration between the needs of enterprises for products and enhance the upstream and downstream linkage. backp