Three Disadvantages Of LED Display
1, R & D and technical barriers
LED display and lighting industry as a high-tech industry, involving optical, thermal, materials science, electronics, computer, software, automation, mechanical engineering, decorative arts and other disciplines, and the need to integrate the above disciplines system, with high Technical barriers. At the same time, due to LED products and more use of customized, personalized production, and thus the production process, quality control level and stability and other technical requirements higher. Problems in any part of the production, may affect the quality of products, life expectancy and performance.
2, financial barriers
LED display and lighting industry are capital-intensive industries. Small-scale enterprises with low degree of automation can not guarantee product quality and production capacity, so they can only conduct simple price competition in the low-end market. Under the current market environment, to participate in bidding for large-scale projects, we must invest in advanced machinery and equipment to enhance the production capacity and technological level. In addition, the industry's general mode of production for the installation of production and processing installation, engineering and installation lead to a long cycle of capital withdrawals, asset turnover inefficient, high-capital size requirements
3, market and brand barriers
Into the LED display and lighting industry to be faced with a range of market and brand barriers. First of all, LED display and other major projects on the production company's qualification, size and other high strength requirements, already have a brand awareness and have success stories of large-scale project manufacturers, easier access to orders. Without the success of large-scale projects and brand awareness of the general business, it is difficult to participate in the mainstream product market competition. Brand-owned enterprises have strong technology, advanced equipment, rich experience in the project, a sound service system and a good reputation, the typical project sample screen persuasion, and ultimately win customers.
