[Annual Meeting] Zhongheng Pianwei special round-table dialogue (1): The price quality can not be both?

[Text / high-tech LED Gan Qin] Usually, when purchasing products, consumers will judge and choose the price and quality of the products. Most consumers will think that if a product has a price advantage, it will inevitably sacrifice the product. The quality is premised, and the high quality must be labeled as "high price". In short, "fish and bear's paw can't have both."

"So, in the LED industry, is it really impossible to have both price and quality?" In the round-table dialogue of the Hengfeiwei title in the 2015 Gaogong LED Annual Meeting, Ye Jianbo, Chairman of Zhongheng Paiwei, raised questions and listened. Listen to the views of various companies.

Li Zhaohua, general manager of Mingwei Electronics, believes that in fact, quality and price can be both. A cheaper price does not mean sacrificing quality. "When Mingwei Electronics' products are sold for 1 cent, they must go through a rigorous process to test. Every employee of Microelectronics strictly requires itself to be rigorous in doing things and controlling quality. In addition, the company achieves high cost performance through institutionalization and product standardization."

In fact, the industry regards the pursuit of high cost performance as the ultimate goal. It is the best to advocate good and not expensive. In the domestic market, when the European and American markets start to be price sensitive, it will undoubtedly bring more to domestic enterprises. Obstruction.

“When Osram or Philips launched products that were 2 or 3 times the domestic price, domestic companies have great opportunities because of their price advantage. When their prices start to fall, they will constitute domestic A lot of competition.” Wang Caixiang, general manager of Kegu Power, said that domestic companies must learn to find a balance between price, performance and quality.

Therefore, how to ensure high price ratio under the same quality has become a common goal for domestic enterprises.

In Igor Zhao Nannan's view, the cost reduction cannot be started from the raw materials, but should be directed from the management effect, production efficiency, and supply chain model.

“We reduce costs by increasing production efficiency and reduce prices by large quantity.” Ding Huisheng, executive director of CITIC China, said, “The structure of the company’s price orders is weighed by quantity, and a price standardization and transparency system is established. The greater the amount of orders, the more price advantage."

In fact, the price-performance ratio in the industry is generally based on the comparison of products under the same quality. To truly stand out from the homogenization of products, we must imagine how to add value to customers to find differentiation.

Zhou Shuiming, general manager of Jiamei Lighting, believes that increasing the added value of products must provide competitive solutions and services in combination with the needs of customers, and this has high requirements for the talents of enterprises and the comprehensive strength of enterprises. In the case of bottoming out, by providing customers with quality solutions to increase the added value, it will bring better overall benefits to the company."

From this point of view, standing at the time when the LED industry is about to die and die, it is a foregone conclusion that companies that fight price wars will face elimination. How to make differentiated competition in the future to ensure that both prices and quality are mutually beneficial, perhaps continue to be based on The weight of the industry.

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