China LED Lights: A Threat to South Korea LED Companies?

Now China LED lights, cheap in price but nice in quality, enjoy a hot-selling in many South Korea's shopping malls and supermarkets.

This situation triggers concerns of many Korean LED companies. Director from one LED lighting fixture company(Gyeonggi-do, Korea) said, the selling price of LED lights from small or medium manufacturers is about 7,000 won(about 42 RMB), while it costs less than 5,000 won to buy China LED lights in most giant supermarkets, like EMART and LOTTART. It's really hard for Korea small and medium companies to compete with such a low price.

South Korea Lighting Show

It's reported that some China LED lights in Korea market are now 50% off for promotions. In this situation, many Korea domestic lighting products will probably be withdrew if they could not get out of this dilemma.

South Korea Festival Lighting Show

Besides, some Korea supermarkets even undersell China LED lights with their own labels. It not only increases the profit of Korea distribution companies, but also helps improve market occupation in Korea. However, this will be a great challenge for many small and medium companies. Moreover, except China products, many lighting products from other countries are entering Korea market. If no better countermeasure or strategy is carried out, these companies would probably collapse or go bankrupt in future.

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Bryan JohnsonJune 5, 2014 at 5:05 AM
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