Export and Domestic Sales of China Lighting Industry
March.18.2011

The industrialization hex bolt tasks of developed countries have been completed, the urbanization process is slowing down GPS Antenna obviously and the demand for lighting products is basically stable. However, the pace of solar water heater developed countries' industrial structure adjustment doesn't stop, some labor-intensive industries continue to transfer to solar panel developing countries, which has made the supply difference degree of developed countries' related industry decrease, and it has created a certain market space for China lighting products to go abroad.

Lighting export: take 2010 Guangdong Zhongshan lighting export as an example

In 2010, the export value of Guangdong Zhongshan lighting up to 1.348 billion U.S. dollars, ranking first in past years, an increase of 37% over the same period of last year. The electric light and lamps of are mainly exported to Europe, America, Middle East, ASEAN and other regions, the European Union is the largest market for Zhongshan lighting export, its export value reaches 325 million U.S. dollars. The growth rate of American market ranks first in four major export markets, in last year, Zhongshan's kitchen utensil exports to America was 300 million U.S. dollars, with an increase of 41.5%. The growth of emerging markets is rapid, the increasing value of lighting exports to Africa and South America was respectively 107.8% and 78.6% in last year, the reborn Russian market came from behind, with an increase of 72.3%.

In the export lighting category, the LED product has increased more than 3 times, in last year, the LED exports is about 42,923,000 U.S. dollars, with an increase of 344% when compared with the same period of last year, it has indicated that the led technology application speed on electric light and lamps has increased, and it has replaced some demands for energy-saving light and incandescent lamps. Currently, nearly 20 large lighting production enterprises with more than 100 million Yuan export sum have formed in Zhongshan District, some of them have gradually opened up the high-end market such as European and American market with their high-quality products, but most of the companies participate in the international division of labor with the form of OEM. Thus, the export situation of the whole lighting industry is showing a rising trend line. It is not difficult for lighting export enterprises to see lamp in 2011.

Domestic sale of lighting: the market prospect is considerable, especially the LED home lighting

The recent two years' real estate regulation is most likely to influence domestic lamps market development. In recent years, the rapid development of the real estate industry has promoted the boom of lighting decoration. Since 2008 the growth trend of the real estate industry all over the country generally slow down or even decline, which has caused some impact on lighting industry, but China's urbanization pace will not stop, the air cleaner demand space of lighting industry will continue to expand.

With the increase of domestic consumption ability, the southwest, northwest, northeast and other places have a lot of demand for modern lamps, local consumers have a lot of attention to lighting match of modern style, which will promote lighting products of new light source, so the future prospect of domestic lighting market is very optimistic. Currently, the LED home lighting accounts for less than 5% of the whole home market. From the point of the product added value, the LED home lighting still belongs to high end, while from the market amount it is low-end.

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China Solid Wood Furniture Still Playing The Leading Role in 2011
February.28.2011

With people's living standards continuous improving, they begin to pursue environmental protecting and healthy furniture, more and more consumers tend to buy solid wood furniture. In 2011, the solar panel household products will more advocate the individuation of humanism, at the same time pursue environmental protection, under the influence of hex bolt busy work, the pace of life accelerating and other factors, the solid wood kitchen utensil will be very popular.

The people-oriented concept will be regarded as the guiding ideology for the design of both decoration materials and garment steam in 2011. People generally start to pursue the comfort of home life, and the human-based design is the solution to meet the GPS Antenna needs. Second, the decoration is keeping up with the pace of international fashion trend closely. Many fashion elements that only appear in clothing, accessories, cars and other fashion consumption will also appear home decoration, the concision style will continue to be popular as the dominant fashion trend of today.

Individuation product design will also be more favored by consumers. In addition, the intelligent home decoration is the important development direction of solar water heater. In order to meet the needs of modern life, corresponding intelligent configuration will be made on home furniture, doors and windows, electrical appliances, kitchen appliances, bathroom products, etc., which is based on different users' different needs at different times. In recent years, the 100% crude wood furniture will no longer only have cheap pine trees, some other tree species such as cherry chairs, ash, walnut begin to get rid of the role of decorative panels and become the base material of furniture. Meanwhile, in order to meet consumer's demand, the design, color and style of pure solid wood furniture is becoming increasingly diverse, except the traditional Chinese style, French Rural, American led Rural, Nordic Concise and Southeast Asia style has become the main style.

Along with consumers' pursuit on environmental protection and nature, in a series of promotional activities in the furniture market in the end of 2010, the high-end solid wood furniture began to become a new bright spot in furnitures industry with strong group buy, alliance and other forms. At the same time, the solid wood flooring brands in major building materials markets also have increased substantially, more environment-friendly solid wood products have obviously become the hotspot of furniture building materials air cleaner industry. In the current furniture market, the situations that the solid wood is not solid or there are a lot of shoddy products are common, some furniture manufacturers put wood-based panels with beautiful decorative veneer on their products and imitate the solid wood furniture, and others use batten board.

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How Many Chinese Lighting Companies Will Escape In The End of 2010?
February.14.2011

It is an indisputable fact that the development of Chinese lighting industry is not booming this year. In the background of macroeconomic policy, the real estate GPS Antenna market cooled rapidly from the first heat, consumers kept wait-and-see attitude and accordingly it cooled suddenly. As household lighting industry, it maintains absolutely close contact with real estate industry, consumers don't buy houses or real estate speculators idle their houses, naturally, not to mention home decoration, it makes furniture, light and other industries suffer erosion by the cold air in different degrees. Coupled with the weak market consumption and the declining purchasing power that caused by the financial crisis after-effects, the RMB appreciation also has weakened the foreign trade market competitive power of led lighting products in different degrees, in the inflationary environment, the social economy also has made consumers' enthusiasm weaken. So since the second half of 2010, many lighting companies expressed in varying degrees that their sales performance have appeared greater decline, and the sales profit also has shrunk. For those small and medium enterprises with weak anti-risk ability, they are lack of strain capacity and measures adjustment in adverse uv light market environment, they are in the wandering state just like have suffered hurricane-ridden, and even bankruptcies.

Of course, we can not rule out some malicious escape phenomenon, because in lighting industry it is common, many non-performing companies default supplier's payment for goods in excuse of the quantity of low-end products is large, or overstock supplier's payment for goods with paying each one month, two months or three months; or produce a lot of junk products, then put on the market quickly and cash out for their escape. From the beginning of this year, there are a lot of escaping garment steam enterprises or rumors in lighting industry, especially after the Shunda Escape incident, during the few months some rumors that kitchen utensil enterprises bankrupt or escape have been come out in succession. Recently, it is said that a lamp company with some scale has closed up, it once known as the enterprise with a hundred million yuan annual sales and it also has escaped, so we really do not know who will follow its footstep next!

For the escape phenomenon in lamps enterprises, the upstream suppliers and related supporting service providers bear the brunt of suffering the greatest harm. Especially those small-scale suppliers, they have to accept manufacturers' unequal conditions for their survival and air cleaner development, such as paying each one month, two months and so on, the loan also is in the form of promissory notes. It has laid mines for production and management, if their service customers escape, by that time, all will suffer great drag jointly. In fact this escape phenomenon will not only hurt those associated supporting service businesses, it is also harm for the whole industry's image and reputation.

From the common escape phenomenon in lighting industry, we can easily see that the industry also exist many root cause of trouble, and it is in sub-health industrial environment state. Many enterprises have a weak basis generally in their development process, they lack adequate immunity and naturally lack anti-risk ability. However, under the overall situation, many corporate executives are mostly the type of carrying coals to Newcastle, their business management is led by so-called experience-style management, but lack scientific and advanced management knowledge and system, as well as process control mode, they easily get in self mud and the deviation of direction in operation and management.

Although from the normal social economic life, the failure or mismanagement is the enterprise's own behavior, but the rise and fall has some specific reasons. However, if such escape phenomenon often happens in an industry, what it reflects is not only the problem of individual enterprise's rise and fall, it also involves the destruction of the entire industry's integrity system, furthermore it is pure fraud. Actually, as for the prevention of lighting enterprises' escape phenomenon, some upstream support services enterprises can be easy to find it supposedly, if they can operate according to scientific process financial system strictly, collect more dynamic customer information, adjust the payment settlement and related warning mechanism with customers in time, they will naturally avoid the risks that brought by the escape phenomenon.

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R & D on Brand Model——The Core of Chinese Furniture Sustainable Development
January.20.2011

The development model of Chinese furniture industry is using the experience of a selected spot to promote the work in the entire area, and therefore, the whole industry has formed certain commonalities, such as: earlier development, powerful manufacturing capacity and perfect industry chain. Chinese furniture industry is similar to other manufacturing industries in China; it depends on cheap labor, processes according to customer's kitchen utensil samples, and rapidly expands. However, just because of this, the industry has developed a common weakness: little originality, fatigue brand and single channel. In addition, under the encirclement of a good many pressures such as upgrading and garment steam transformation, labor shortages, wages rising and RMB appreciation, how can Chinese traditional furniture industry get rid of puzzledom and break through the bottleneck?

First, to strengthen the research and development:
First is the originality of design. We all know that the furniture industry is a typical labor-intensive enterprise, a number of production processes is not high tech, and the appearance design is easy to be copied. Therefore, enterprises are reluctant to invest too much in R & D; they think it is doing wedding dress for others. However, the chairs enterprises that really have insight and far-sight will do original development and they are not afraid of being copied. You do original development, others to copy you, so you will inadvertently become the industry leader and the maker of trend. Second is the R & D on new materials. The rapid development of science and technology has greatly expanded the use of materials, the materials of outdoor furniture are not single timber long ago, stainless steel, aluminum alloy, iron wire, glass, marble, composite rattan and other materials continue to join. It can be predicted that it will develop with science and technology simultaneously, and in the future more new materials will join in the materials chain of furniture. Third is the R & D on new technology.

Second, to focus on brand construction:
What is a brand? Brand is a sort of force, trust, value and an idea. Now even some relatively well-known furniture enterprises in China are still in the primary stage of naming and promoting the name on brand communication, they don't know what kind of culture and ideas will spread to the consumers. The method of brand promotion also is very simple, which is basically confined to television advertising, if for the rural market, they will follow the old way that brush the outer wall in large areas.

Although the furnitures industry is different with others, but it can fully learn from many other promotion tactics. First is to hold the Original New Product Conference, which is eye-catching and also can demonstrate the strength of enterprises and uv light brand influence, as well as spread the brand culture. Second, to actively participate in large public-spirited activity and establish the idea that the brand is used for serving people. Third, to join and be good at borrowing the influential activities that match their own brand culture.

Finally, the changes of production patterns:
The production pattern of furniture industry in the future will have many changes. First is the change of the foreign trade orders. The previous mass production orders of single product is shrinking, while the orders with little quantity but many designs are growing, the situation that one order includes dozens of products, but only one or two pieces (sets) of each product are needed even appeared. Naturally, it will greatly increase the production costs and difficulty for enterprises. The second change is the segmentation of export market. The buyers of rural market will still place large quantities of orders on the same product in a period of time. However, in Europe and other developed countries, as before, the order model with hundreds of thousands pieces (sets) on the same product will gradually shrink and even disappear, even if there is, it must also be extremely low-end products that the enterprises' manufacturing cost can not accept.

Personalization is the direction of future. In the consumer group in city, some categories of furniture have occurred this trend, such as cabinets, which has fully achieved the custom-made, after consumers choosing the right color and style, manufacturers will make cabinets according to the size, then deliver to consumers and be installed by specific person, it has achieved greater personalization. Even some individual enterprises are testing to custom full set of furniture, although the road is long, but some new models and ways can be explored in the process of moving.

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Foreign Enterprises Laying Out Chinese Lighting Equipment Market, The Competition Increasing
December.22.2010

As a complete unit, the current led lighting market has been in a good development space. Chinese enterprises have increased to 10,000 with more than 1,000,000 practitioners, it also has attracted a lot of foreign investment, some well-known international enterprises have entered the field of domestic sales one after another, and the overall layout of foreign superior outdoor furniture enterprises has brought strong competition pressure for domestic lighting equipment.

Mr. He Zaihua, the Senior Research Officer of China Investment Consulting Company, he pointed out that the demand of LED lighting market has begun to emerge in 2010, demand drives market, a large number of skyrunner enterprises of LED industry have entered this industry, and it has brought large impact on the LED lighting industry, which is not stable originally. This kind of upstream and downstream development is very common in the whole LED industry, but the uv light enterprises, which have truly achieved the vertical integration and lateral spread of the industry chain, are very rare. Investigating its cause deeply, the grasping level of core technologies and the progress of brand fitness construction may be the main reasons.

According to the 2010-2015 China's Semiconductor light (LED) Industry's Investment Analysis and Forecast Report released by China Investment Consulting Company, as the prices of LED products are still relative high for Chinese consumers, the sales of Chinese LED application products are mainly in commercial lighting and municipal engineering, general consumer's acceptance is still at a low level, so the export of many LED lamp enterprises in Pearl River Delta region account for more than 50%.

General lamps companies devote to developing lower functional lighting products, of course, the market competition in this part is more intense, in such fierce competition, to get a lot of market share, the brand building is essential, which also is a true portrayal of most current garment steam enterprises in China. Because of the export share is large, so the construction of international brand is crucial for Chinese air cleaner enterprises. For enterprises regarding technology as a breakthrough, if they want to develop high-tech, high added value and intelligent products, continuous technology and capital investment is absolutely necessary, once the technology is lagging behind, the market share will be lost.

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