On the surface, the low price of PCB proofing does not seem to hurt the enterprise so much, and even can help the enterprise to attract more customers for one-stop service. But this only applies to those large enterprises. For small manufacturers, lower prices will further squeeze their profit margins, and may also lead to bad money driving out good money in the market. There is even talk in the market that this could lead to a shakeout of the industry.
"Industry reshuffling is ridiculous," Yuan said. "It's not the same poker table, who has the ability and right to reshuffle the cards, or customize the rules of the game. It's nothing more than scratching the bottom of the market. The success or failure of an enterprise is not due to competitors, but to a failure to recognize oneself."
An industry insider also said: "The industry reshuffle is untenable, PCB proofing market belongs to the traditional manufacturing industry, the entry threshold is low, even if the use of price war will be small manufacturers crowded out, there will be many new players have poured in."
Yuan Wengui added: "Vicious price competition ultimately leads to the loss of all, we should rationally face these, rather than participate in price reduction, cost compression, should respond to the national policy call, efforts to innovate, open up the mind, improve their own value ability. Occupy market share with innovation strength and convince customers with technology."
An industry insider said: "Normal business competition will promote the healthy development of the market, but today's PCB price war, the market has been damaged, want to return to the original ecology needs to pay more price. PCB alleto board manufacturers should optimize their own management, reduce production costs, internal digestion of cost pressure, reduce surcharges or even remove surcharges, so that users get real benefits, do not let 'stunt' price, destroy the trust of users on PCB small batch manufacturers."
Wu Qingxian thinks: "If the production enterprises have no profit space, they will be forced to cut corners, break the bottom line, safety accidents caused by product quality is not uncommon. In the engineering industry, the phenomenon of low price competition is called "starving the peers, exhausting oneself, and killing the owners." Fortunately, the market has been gradually standardized, and eventually enterprises will return to quality. From a personal point of view, I am optimistic about the future of PCB. Of course, if it is a simple PCB manufacturer, it will be difficult to survive in the future. So many powerful manufacturers have begun to design their own related software, some schools and engineers for PCB design and related electronic product development.
The current global PCB output value reached $60 billion in 2018, is expected to reach $66 billion in 2019, and will exceed $70 billion in 2020. In the face of such a huge market, there are more than 1,300 Chinese enterprises engaged in PCB field in 2017, which means the competition will be extremely fierce. For large manufacturers, the most important thing is to grab the entrance. In the face of numerous orders, they can effectively draw them into their own industry services and make up for the loss of PCB proofing through follow-up services. With large investment and greater return, these large manufacturers can also bear it due to their size. However, for small manufacturers, it will be difficult to guarantee delivery on time and with good quality due to the large number of orders attracted by low prices. Meanwhile, various charges and quality defects will be inevitable, which will ultimately damage the reputation of customers and small batch PCB manufacturers.
Returning to the PCB proofing market, price is the first indicator for customers to choose products, but in the future, with the gradual standardization of PCB industry standards, it will be difficult to attract repeat customers by relying on low price and low quality, and it will be difficult for enterprises to continue to operate. Ultimately, to win customers depends on quality. If big manufacturers want to seize the entrance, they will inevitably attract more customers with low prices. But if small manufacturers want to grab market share, they need to convince customers of quality and technology.