What are the problems in international marketing of LED lighting enterprises in China?

(1) Problems in product strategy

The so-called product strategy means that enterprises should first make clear what products and services they can provide in order to meet the requirements of target consumer groups, that is, when formulating business strategies, they should put the market positioning of products and their corresponding strategies in the first place. With product strategy, there will be marketing strategy, the former is the basis of the latter. To some extent, product strategy directly affects whether the enterprise can succeed in the international market from two aspects, one is whether the product positioning meets and to what extent it meets the needs of end consumers, and the other is whether the strategy formulated around the product is right or wrong. There are two forms of products, one is a material product with certain uses and forms, and the other is an intangible service product with intangible forms.

enterprises have the following problems in the international marketing strategy of LED lighting lamps and lanterns:

1. Product quality problems affect exports

At present, the LED lighting lamps and lanterns industry in China is rather chaotic, with tens of thousands of large and small enterprises. The quality of these enterprises is mixed. Many small family workshops and small enterprises produce three products, and these inferior products compete with large enterprises at low prices. As a result, many small workshops and inferior products compete with large enterprises and high-quality products on the same stage in the market, leading to the Gresham phenomenon (bad money drives out good money) in the whole market. The price of some light bulbs with good quality ranges from 5-6 yuan per bulb, and the best one is 1-2 yuan, and the worst one is not enough in 1 yuan. If foreign businessmen can't fully understand the quality of lamps, they will choose low-priced inferior LED lighting products and give up high-quality products. Guangdong Provincial Bureau of Quality Supervision once conducted a sampling survey on the LED lighting market. The survey results show that in 21, the inspection qualification rate of LED lighting products in Guangdong Province was only about 47%, which increased by 26 percentage points in 21, but it was still only 73.2%. There are many LED enterprises, and there is a lack of sound evaluation criteria. Therefore, many enterprises are cutting corners and lowering prices to win the favor of foreign customers. However, this practice of exporting in large quantities at low prices makes China's lamps vulnerable to anti-dumping in the international market, and inferior products will be completely blocked by a series of technologies. The low-quality products that have been exported by LED will lead to the loss of a large number of customers and even economic disputes.

2. Too much product differentiation affects brand creation

Most enterprises related to LED lighting lamps in China have not achieved standardized production. These enterprises pay attention to the novelty of lamp styles and the speed of launching new products, so the trial workshop of R&D department is extremely busy. Due to excessive attention to the differentiation of LED lighting lamps, each lamp can not be mass-produced, and the production line of the workshop is not fully put into use because of too small output, and it is difficult to truly build an internationally renowned brand. In addition, many LED lighting enterprises are just a concept of shops or firms, and customers in the international market pay more attention to the brand image of enterprises. However, among the well-known brands of LED lighting in the international market, there are only a few enterprises belonging to China, lacking brand influence. In terms of product quality, the product quality of LED lighting enterprises in China is far less than that of international top lighting brand enterprises such as KICHLER in the United States, VIBLA in Spain and FORNZASI-ER in Italy, and the product life of these enterprises is relatively long.

3. The technical wall of products has a full impact on entering the international market

For a long time, most LED lighting related enterprises in China are responsible for the packaging of lamps, which belongs to the downstream of the industrial chain. Compared with the chip manufacturing in the upper and middle reaches, the packaging does not require high technical content. For a long time, China LED lighting packaging enterprises have occupied a place in the export market by virtue of the low price advantage brought by low cost, making China a big exporter of LED lighting packaging. The chip manufacturing in the upstream and midstream has only gradually developed in recent years, and its supply capacity and quality still cannot meet the needs of production. There are only a few prominent enterprises in the research and development and production of chips, and most of them are government-supported enterprises, such as Xiamen Sanan Group and Dalian Lumei Group. In Zhongshan Ancient Town, where LED lighting enterprises gather and attract foreign businessmen to place orders, only a few large-scale enterprises such as Yinyu are well-known chip manufacturing enterprises. Many downstream LED manufacturers still choose to use imported chips with high cost, which greatly affects the profits of exporting LED lighting products, which greatly restricts the development of the LED export market in China.

most of the high-end LED lighting products currently sold in the international market are produced in Taiwan Province, China, Japan, Europe and America. In China, taking the Pearl River Delta as an example, many lamps produced by enterprises can't meet the technical standards set by developed countries such as Europe and America. Most of the medium-sized and small-sized LED lighting enterprises produce products such as rainbow tubes with low technical requirements, and only LEDs can be exported to relatively poor and backward third world countries and developing regions.

with the increasing demand for LED lighting in the international market, major LED exporting countries hope to occupy a place in the international market, and international trade friction is inevitable, and frequent foreign technical barriers have also seriously hindered the export of LED lighting. Japan has patents on nichia and toyodagosei, so it is difficult to export LED lighting lamps produced in China to Japan, while Cree, Philips and Osram in the United States also have many patents, which involve almost all aspects of the industry chain, including packaging, equipment, applications, raw materials and so on. Judging from the development trend of LED export, there will be more and more foreign technology walls.

(2) Problems in price strategy

In the marketing integration strategy of enterprise system, the product strategy should be determined first, and then the product pricing problem should be solved after the product strategy is determined. Enterprise's product pricing is directly oriented to consumers. Reasonable pricing is conducive to attracting consumers' needs, actively expanding their own markets, increasing and maintaining their own profits, and also helping to maintain their good image in the competition. The pricing strategy of an enterprise has a premise that the enterprise should have a reasonable product price target and product positioning. Only when the enterprise determines the product positioning and the target price of wide-range products, can it make a good product price and bring a good profit level. Competition, market, sales volume, survival and profit are five factors that enterprises should consider when setting price targets. When pricing, enterprises should not only see the immediate profits, but also take into account the long-term profits. The key point is to increase market share, expand product sales, and make long-term plans for maximizing corporate profits.

enterprises have the following problems in the international marketing price strategy of LED lighting:

1. Enterprises have launched a "price war" to grab foreign orders

At present, the concentration of enterprises in the LED lighting industry in China is relatively high, and upstream, middle and downstream enterprises gather in the form of industrial parks, so product information is relatively circulating. As the technical conditions of manufacturers of LED lighting accessories become more mature and the competition is relatively reasonable, the cost structure of products becomes more transparent. When experienced foreign customers who are familiar with the domestic market come to China to purchase LED lighting lamps, they often go to some big lamps and accessories markets to find out the bottom price of accessories purchased by LED lighting export enterprises. When purchasing, they repeatedly lower the price with export enterprises, which makes the profit space of enterprises very limited. With such transparent and open prices, it is difficult for LED lighting enterprises to earn high profits and form their own competitive advantages. Many well-known brand LED lighting enterprises in the world pay great attention to the capital investment in the research and development of new technologies and the development and upgrading of new products, so that they can not only produce new styles of products that meet the needs of consumers, but also constantly study the raw material composition of products and seek materials with low cost but good effects, thus making their products more advantageous and competitive.

2. The rising cost of labor and raw materials makes products gradually lose their price advantage.

In recent years, the international community is facing the crisis of inflation, and the prices of domestic goods are also rising rapidly. People's living costs are getting higher and the pressure of life is increasing gradually. The rise of wages is the inevitable requirement of the rising cost of living, and it will eventually lead to the increase of production costs of enterprises. In recent years, the LED lighting industry in China has been particularly affected by the rise.

since 26, urban prices and house prices have been rising continuously, and the cost of living in cities for workers has increased, resulting in the phenomenon of migrant workers returning to their nests. Enterprises are facing a "labor shortage", and they must rely on salary increase to prevent the loss of workers, which directly leads to the increase in the production cost of LED lighting lamps and leads to price increases.

(III) Problems in the channel strategy

The international sales channel in the international marketing strategy refers to the unit or individual that helps the product to complete the process from the production to the final consumers abroad, regardless of whether the ownership of the product has been transferred. As far as LED exports are concerned, international marketing channels generally include three links: the first link is the domestic sales channel of LED exporting countries; The second link is the sales channel between the two countries' trade parties, that is, the LED import and export middlemen in the international market; The third link is the domestic sales channel of the importing country.

enterprises have the following problems in the international marketing channel strategy of LED lighting lamps:

1. "Sitting sales" is still the most important sales method of most enterprises

The so-called "sitting sales" means that enterprises have not established the consciousness of actively exploring the international market, and have not actively established sales channels, but have adopted a very passive way, waiting for foreign customers to place orders.

at present, the sales mode of export products of domestic LED lighting enterprises is mostly "sit-and-sell". The reason why LED lighting enterprises choose the "sit-and-sell" method is because they think that foreign customers can still earn a certain income every year when they place orders at home. It is a matter of why not sell the lamps by "sit-and-sell". The establishment of domestic and overseas sales networks requires not only recruiting professionals to increase sales costs, but also investing management funds. The process is very complicated and difficult.

take Zhongshan ancient town, a well-known lighting sales gathering place, as an example. There are tens of thousands of lighting enterprises in Zhongshan ancient town, including lighting enterprises registered in the industrial and commercial administration department and underground workshops, most of which produce and sell LED lighting lamps. Among these LED lighting enterprises, only a few of them have their own independent marketing networks at home and abroad, and most other lighting enterprises do not have professional sales teams, let alone establish overseas sales networks. At present, these enterprises without marketing team mainly sell products by opening exhibition halls for LED lighting fixtures, hanging LED lighting fixtures in the halls for display, and waiting for foreign customers to come to see, select and place orders, so as to realize LED export of LED lighting fixtures.

although the cost of "sit-and-sell" is low and the operation is simple, its disadvantages are obvious: with the increasingly difficult form of international trade in recent years, the competition among export manufacturers of lamps and LEDs adopting the "sit-and-sell" method is becoming increasingly fierce, and foreign customers often treat them with wine and vegetables when they come to the door in order to get orders, which may easily lead to low-price competition or other unfair competition; Whenever H7N9 and similar special periods come, there are many "sit-and-sell" manufacturers in front of their doors, and the sales under the "sit-and-sell" mode are very unstable; If there are problems during the execution of the sales contract, the "sit-and-sell" manufacturers can't organize teams to solve these problems in time and effectively.

2. The disadvantages of the model are highlighted.

China's manufacturing technology and innovation ability are relatively weak, so the OEM model is widespread in China's manufacturing industry, that is, enterprises produce products according to the processing and production requirements of customers (clients), and mark the customers' brands on the products, and the customers are responsible for sales.

OEM mode has the following advantages: firstly, OEM for multinational companies can help enterprises make use of idle resources, make their production lines run at full capacity, and fully digest their excess productivity; Secondly, enterprises can export their goods by adopting methods, without exploring the international market by themselves, which can reduce business risks and save manpower and funds. For the newly established production enterprises, due to limited funds, they can't cover everything. Enterprises can temporarily solve the limitations of funds by OEM, so that funds can be invested in the most needed and most efficient places, and the efficiency of limited funds can be maximized in a limited time; Finally, the adoption of OEM is also an encouragement for enterprises, because enterprises need to be familiar with internationally accepted quality system certification and technical standards to ensure that the products they produce meet the LED export certification, thus urging enterprises to continuously improve and improve their production technology, thus improving the production technology level, and at the same time cooperating with multinational companies to facilitate enterprises to learn and introduce foreign advanced technologies, thus saving the expenses required for independent innovation.

However, although enterprises can obtain the above benefits through ways, with the development of international trade, the disadvantages become more and more prominent:

(1) The profits from processing and manufacturing are meager.

Multinational companies place orders in China LED lighting manufacturers by OEM, and Chinese companies can only get meager processing fees for manufacturing products according to the requirements of multinational companies. After the products are labeled by multinational companies, they are sold at high prices in the international market.

(2) Malicious competition in the same industry

China LED lighting manufacturers have similar production capacity and strength. In order to grab OEM orders from multinational companies, they have adopted low-price competition, which has led to even lower profits and finally threatened the interests of the whole industry.

(3) Unable to grasp the sales channels and market separation

China LED lighting manufacturers export lighting lamps in OEM mode, with the purpose of reducing business risks and saving the expenses needed for market opening, technology research and development, and advertising. However, this model also has great disadvantages, that is, enterprises rely too much on OEM and do not explore foreign markets on their own. When foreign customers stop OEM orders, enterprises will lose their sales channels, leading to paralysis or even bankruptcy of the whole enterprise.

(4) It is not conducive for enterprises to develop core technologies and establish their own brands

If China LED lighting manufacturers only hope for OEM mode, only pay attention to immediate interests, do not pay attention to the cultivation and improvement of technology, do not try new product development and innovation, and do not establish brand awareness, then the company can only be a product processing production of multinational brand enterprises, or a sweatshop.

3. There are problems in the implementation of EMC channel.

EMC means energy management by contract. This model came into being in the 197s. At that time, with the rapid development of industry, energy prices rose sharply, and the development of industry also caused pollution and damage to the environment. In order to reverse this situation, on the basis of market-oriented operation, this new model of energy-saving technological transformation emerged in developed countries. Refers to the willingness to carry out energy-saving technology in the market.