Japan and South Korea Department of home appliance companies are showing signs of ebb: the recent fear of recovery

Recently, the news of Samsung's air conditioner withdrawing from the Chinese market has spread like wildfire. The source also claimed that Samsung’s production base in Suzhou has been suspended for a long time. This has caused Samsung to fall into rumors. Although the relevant person in charge of Samsung made a sneak peek, industry sources said that Samsung's white-electricity market share is indeed low. At the same time, Matsushita and other Japanese household electrical appliance companies also suffered heavy losses and the market was in the doldrums. Industry insiders believe that the Japanese and Korean household appliances are showing signs of retreat in the Chinese market.

Status Quo: Japanese and Korean Household Appliances Survived Questioned

In the 90s of last century, Panasonic and other Japanese companies produced household appliances that captured many Chinese markets and seized the hearts and minds of many consumers. In recent years, strong attacks from Korean companies such as Samsung and LG have also made Chinese consumers aware of it. The power of Korean electronics. However, after entering 2012, which has long been dubbed as "the end of the world," these appliances can't escape the curse of Doomsday.

Recently, Samsung's air-conditioner was blown out of the Chinese market, attracting a lot of onlookers, many of whom are insiders. According to informed sources, Samsung’s sole production base in China is in Suzhou, and it is currently in a state of production suspension. Staff members are seeking alternative solutions. This can not help but think of this as the portrayal of the downturn of the air conditioner market in the first half of this year. However, for the delisting of air conditioners, Samsung Ma’s marketing director Ma Shun told reporters that the outside rumor was completely inaccurate. “The Samsung production base in Suzhou is still in normal operation. With the new energy conservation policy, we will also have more than a dozen new energy-saving products on the market, and we will continue to study better air solutions in 2012." South Korea's LG Electronics, which shares the same business with Samsung, has also become an attractive company. According to the news, LG had already withdrawn from China's air-conditioning market as early as last year.

Unlike Samsung, Panasonic and other Japanese electrical appliances suffered heavy losses, and the electrical appliance business suffered a significant setback. According to data from industry organizations, the market share of Japanese brand air conditioners is very small, and Daikin’s market share only reaches 1%, while Toshiba and Hitachi’s market share cannot even reach 1%. Panasonic’s 2011 earnings report announced that it would have a huge loss of 780 billion yen. This serious loss has also caused its senior management to mobilize. Recently, Matsushita said that it has completed the reorganization and will resume its already severely damaged TV business within two years. However, a store worker stated that Panasonic's plasma TVs are lagging behind current LED and OLED TVs that will be listed in the future. Because no one cares, the manufacturers do not have shopping guides in the store.

Hitachi, which was known in the 1990s, has almost disappeared from the eyes of Chinese consumers. There are few news about Hitachi Air Conditioning on the web page, and other business such as excavators are often used as search keywords. Earlier, Hitachi's air-conditioning compressors have always been favored by other companies, but with the continuous development of technology and the continuous division of the market, Hitachi compressors have gradually become a substitute, and all companies are developing their own technologies, currently only in the Chinese market. The remaining 1% of the market is difficult to stop the tragedy.

Market: Quality "Waterloo" market is sluggish

The quality of Japanese and Korean companies' products has become a worrying aspect in recent years. Mr. Li who lives in Chaoyang District, Beijing, claimed that the quality of Panasonic products purchased at home in the 1990s was very good, and some of them are still in use. However, the new products purchased in recent years are prone to failure, which makes him dare not to Panasonic reached out. Like Mr. Li, many consumers visiting the stores who plan to buy electrical appliances do not want to spend more time on Japanese and Korean products. “I always feel that it is a delicate appearance and it is too easy to fail.” said Ms. Wen, a consumer, she even worried that this was a quality decline caused by the foundry in various companies in recent years.

After observing the store, the reporter discovered that as the front store staff said, Panasonic TV counters had no one to care about. Due to frequent quality accidents, Sanyo washing machines also deterred many consumers. Under severe losses, Japanese companies have been challenged by the Chinese market. For the sharp decline in the share of Japan-Korea air-conditioning companies, many people believe that "there is a collective defeat in foreign air-conditioning in China." As of the end of 2010, the market share of foreign-invested air conditioners in China shrank by half during the five years.

While answering a reporter’s question, Ma Shun, the sales director of Samsung Air Conditioning China, is steadfast, but people in the industry still have different opinions. According to Liu Buchen, chief consultant of Kuafu Enterprise Management Consultancy, Samsung's ability to adapt to the Chinese market in recent years is not as good as it was in previous years. This is Samsung's need for review and reflection. Zhang Shi, deputy director of the Consumer Electronics Survey Office of the China Electronics Chamber of Commerce, also believes Samsung’s air-conditioner share in the market is very low. Due to its electronic origin, there are still various shortcomings in the development of white electricity. Regarding the situation of the TV market, he said that due to the limitations of technological development, Samsung Smart TV also needs to progress to stay at the forefront of the market.

Cause: Internal and external problems and no core technology

The reporter learned that the reason for the collective ebbing of Japanese and Korean household appliances is that there are many factors. "For Japanese companies, the impact of the environment is the main reason." Zhang Shi told reporters that many Japanese companies in the electric apparatus factory headquarters, the earthquake has caused them not small losses, the yen's appreciation also caused the company's overall losses, And its Chinese market is also affected invisibly. According to its introduction, Japan's Sanyo and other electrical companies have production bases in Thailand, but the Thai floods that occurred earlier this year at the beginning of this year have caused huge losses to them, and the supply chain of Japanese companies has been seriously affected.

"We often say that dissatisfaction also appears in these companies." Zhang Shi continued to introduce that, in the absence of performance, these companies will frequently change senior leaders, which makes them unable to understand the Chinese market, corporate culture has also become a cause One reason for the low tide in the Chinese market. "Panasonic is not affected by various factors as a whole." Talking about specific companies, Zhang Shi said that Panasonic started early air conditioners and refrigerators, but not on the scale can not be a bottleneck to its development, the current electrical appliances rely on small appliances to maintain. Samsung started as an electronic product. After that, it only took into consideration household appliances. The development of white electricity is not an advantage project. Therefore, the failure to make breakthroughs in development also makes it not dominant in the Chinese market.

"One of the reasons is the competition from China's white companies." Zhang Shi told reporters that China, Haier, Hisense, Gree and other electrical companies already have a number of core technologies, and leading the international level, reducing dependence on external forces, Because it is domestically produced, it is easy to gain people's hearts, which virtually increases its advantages. According to its introduction, compared with Chinese companies, Japanese and Korean companies have slow product updates and short product lines. After encountering problems, companies often choose to abandon the strategy of a single product, which often leads to the loss of their original market competition. force.

Prediction: It is premature to define decline but it is difficult to recover in the near future

Japanese electrical companies are still losing money. In the face of many external challenges, Korean appliances are not easy. Can it be defined that Japanese and Korean electrical appliances are gradually declining in the Chinese market? For this view, Liu Buying does not agree, he believes that the resumption of The reasons for this lack of recovery are not sufficient. The root cause of Japanese household electrical appliance companies is their thinking and concepts. Japanese companies have rigid thinking and the ability to adapt to the global situation is declining. For Korean-based electronics companies such as Samsung, he said that the overall situation is still on the rise, but internal issues still need strategic adjustment.

"The majority of these electrical companies are declining, but there are also some individual items still occupy most of the market, but Japan and South Korea Department of electrical appliances in the Chinese market is declining significantly." Zhang Shi said that many factors make it difficult for enterprises to recover in the near future, and For Japanese and Korean companies that change their top leaders after a problem, it is most important to understand and understand the Chinese market.

Extended reading

Chinese Electric Enterprises Need to Focus on the Development of Color TV Business

Recently, it was reported that Samsung and LG have jointly developed OLED TVs. Sony and Panasonic have also started cooperation in research and development. This combination can not help but think of the development of many electrical companies in China, in the case of Japanese and Korean companies in the Chinese market setbacks How can China's home appliance companies sit on the market's dragon chair? Industry experts Liu Buying and Zhang Shi gave advice.

Lau Buchen, the chief consultant of Kuafu Business Management Consultation Agency, said that China’s home appliances have been relatively strong in the local market. From a global point of view, there is still a little distance between desire and reality. He hopes that Chinese companies can also make more efforts on OLED TVs and be more excellent. Zhang Shi, deputy director of the Consumer Electronics Product Survey Office of the China Electronic Chamber of Commerce, said that this is a game between each other. China's household electrical appliance companies have already had a leading international level of core technology in white goods, such as air conditioners and refrigerators, showing strong performance. However, he believes that white goods are slow to update, a new technology breakthrough will take a long time, and televisions have room for technological upgrading. “Chinese TV manufacturers cannot yet become world leaders in the development and research of TV sets. Some technologies still require external forces. At present, TVs are actually assembled parts of various parts.” Zhang Shi told reporters, TVs and TVs than refrigerators, washing machines, etc. White electricity requires more time for precipitation technology, and image processing chips need independent research and development to master the core technologies to truly control the market.

This reporter learned that Haier, Hisense and other companies are currently working on the development of smart TVs. Lenovo, a well-known IT company in China, has also launched smart TVs in a high profile and has received a good market response. Zhang Shi said that although the current smart TV on the market can not be called smart TV in the true sense, but this will undoubtedly become the prelude to the development of domestic smart TV, the future development of space will be great.

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