As of 2013, some of China's listed companies have made it clear that the electrical performance seen a sharp decline in 2012, including the China Western Electric, Shanghai Electric, Chint Electric and other large enterprises. Which led to decline in corporate earnings or losses are two main reasons are the low prices and rising costs, the two mountains seriously affected the pace of development of the electrical industry.

Champoux consulting energy industry analyst pointed out: in the country is of great concern once the vanguard of high-voltage inverter energy efficiency, in 2012 in the country's performance is not optimistic. Against global electrical production base of Chinese electric aura companies now have in the transformation along the way.

Electrical market performance unsatisfactory, principally for two reasons.

On the one hand is the low price competition led to a decline in the electrical industry profits. Electrical product prices are actually more transparent, especially as similar products cheaper, is nothing more than cutting corners, or shoddy. Electrical market low prices endless troubles, will bring the business unprofitable or squeeze profit margins, then the development of enterprises, research and development of new products can only be empty talk.

On the other hand, the electrical current business models are still in light technology, under the heavy price of the traditional business model, cost pressures severe electrical companies. Consecutive years of rising prices suppress the real disposable income of the channel, the channel becomes higher price sensitivity, many low-voltage electrical business is not only difficult to raise prices, but increased efforts to ensure that the product discount sales, gross margin and therefore enhance The great difficulties.

According to Champoux Consulting released the "2012-2016 China Electric Industry prospects and investment forecast analysis report" shows: the current status quo exists for the electrical industry, electrical industry should change the past, "the share of profits of light," "the pursuit of scale efficiency "concept, the importance of improving corporate profits. Electrical current is the best time for business transformation, if the company does not focus on technological innovation now, the timing of the development of a way to miss the other will also be blocked. Too much competition ordinary electrical products, electrical companies only go this route intelligence to get rid of the current plight of the profits in the longer term to establish a corporate core competitive barriers.