Pang Guiwei, General Manager of Shenzhen Top Technology Co., Ltd., said frankly China’s LED industry has entered into an era of low margin. In Pang’s opinion, the lack of core technology, inferior innovative capacity and disorderly market competition in LED industry have hindered the development of LED display industry. Enterprises have to make a breakthrough in product innovation.
 
Many LED lighting enterprises are at a loss what to make and often follow suit. Actually, only innovative enterprises have the pricing right and in so doing make a profit. However, an enterprise has to apply for patent protection for an innovative technology before marketing it. Generally, it takes one year and a half to complete the application procedure, and during this period, the new products are prone to be pirated by the peers and lose the price competitiveness.
 
In addition, the lack of talents is also an obstacle. China lags behind in setting LED related courses in colleges and universities, which results in the shortage of R&D talents and the high labor cost. Besides, enterprises are nerve rackingby the brain drain.

Insiders noted that LED enterprises should set up their own brands and guide the consumers to use LED lighting products.