How do LED display manufacturers stand out in the industrial Matthew effect

Publisher: Supplier of LED Display Time: 2018-08-21 15:02 Views: 2117

         The so-called "Matthew Effect" can be summarized as the phenomenon of "the strong get stronger and the weak weaker" in market economic activities. It reflects a common phenomenon in today's society, that is, the winner takes all.

 

In the LED display industry, two years ago, it could be said that the phenomenon of “the stronger the stronger and the weaker the weaker” was very obvious. Now, the industry is accelerating the process of transformation and upgrading. With increasing market saturation, increasing industrial competition and increasing pressure on manufacturing costs, the survival and development of many manufacturers are increasingly difficult, especially some small and medium-sized screen companies that are already at a competitive disadvantage. Turn to seek short-term survival and stop loss...


 
  Large, medium, small and micro companies in the LED display industry have begun to find their own way. Large screen companies are rushing to attack the channel market. The game has become more and more intense, the "Matthew effect" of the entire industry has further intensified, and it has quickly entered the "survival of the fittest" lane. So, what changes have taken place for many LED display manufacturers?

 

   As we all know, the Matthew effect of "the strong always keep strong and the weak always weak" is very obvious in China's LED display market. In recent years, the industry's brand and market structure have been relatively stable. Even if some "dark horses" in the sub-sectors have broken out, on the whole, they have failed to change the current industry's brand competition structure. After years of market ups and downs, China’s leading LED display companies have become relatively stable and mature in industry competition.

 


 
  At the same time, this also fully shows that China's LED display industry has established a relatively complete commercial competition system after decades of development and precipitation. Two of them are impossible to surpass by any innovation. One is a supply chain innovation system with products as the core; the other is a fast distribution system with channels as the core.

 

   But in the face of the current more complex and volatile market competition environment, these are not enough to fully support future challenges. For all LED display manufacturers, it is necessary to reconstruct a set of new systems and new paths that are more suitable for the current industry's research and development, manufacturing and even the market, so as to strive to recreate new business methods and concepts.

 

   Looking at the transformation and upgrading of LED display manufacturers in recent years, although they also recognize their own problems and shortcomings. However, the impetuous and speculative old problems have not been corrected. The most intuitive feeling is that the low-price war has a tendency to spread from the low-end market to the mid-to-high-end market. Fundamentally, many LED screen companies have insufficient confidence and unsatisfactory attitudes in the investment of product and technology innovation, showing repeated and hesitating In addition to the small pitch, there are not many other breakthroughs, which is also the root cause of the proliferation of homogeneous competition in the entire terminal product market.

 

According to the current industry trends, the "Matthew effect" will certainly continue to spread in the LED display industry, especially at the time when cost pressures are increasing. "Survival of the fittest" will become the next major trend in the industry. If you want to go further, you can only seize the opportunity, quickly complete the transformation and upgrade, and make yourself a winner in the future.