Lithium Battery Raw Material Butterfly Effect

- Nov 11, 2016-

To raw material impact on the whole industry chain, forced technological innovation, from raw material source reproduction of a butterfly effect, will be how to force the industry to optimize and upgrade, forced industrial chain extension development?          

Raw materials skyrocketing of lithium battery business and industry is both opportunities and challenges, the future of the industry will be more and more concentrated, from the enterprise level, the raw material of "sober", for those management more scientific and more lean and more efficient enterprises, has more advantages in product prices more competitive it can be said that raw material prices "skyrocketing" may be a chance for this type of enterprise; on the contrary, the management is still extensive enterprise is a nightmare, for those products are technical barriers, not easy to copy, the uniqueness of the enterprise to say prices have little effect.          

For raw material prices skyrocketing, caused by rising costs, is likely to impact the firm's expected profit of lithium, cut their profit margins. So in the industry level, the short term is indeed a challenge.          

But in the long term, prices will likely contribute to differences in management of lithium battery enterprises at the same time promote product innovation, and pay more attention to product quality, this is not an opportunity. The skyrocketing prices of raw materials, could lead the industry reshuffle, forced the optimization and upgrading of the industrial chain.

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