Hitachi discontinues production of Japanese companies to fade out TV sets or bid farewell to "Made in Japan"

Recently, Hitachi announced that it will stop producing TV products in Japan before September this year and outsource the business to overseas OEMs. This announced the end of 56 years of Hitachi TV manufacturing business. In fact, with the increasing competition in the global TV market and the pressure from the appreciation of the yen, the TV business of several major Japanese home appliance companies such as Sony and Panasonic has fallen into a loss situation, and companies are continuously weakening this business and undergoing transformation. . The fading out of these large companies has also triggered speculation in the industry that Japanese companies will eventually exit the TV manufacturing market.

Hitachi will stop producing TVs

The loss that lasted for many years brought certain pressure on Hitachi. It was an inevitable result that the company announced its withdrawal.

As a hundred-year-old electronics company, Hitachi’s TV business has lasted for half a century. In recent years, the demand for the global TV market has gradually declined, and the market competition has become increasingly fierce. Hitachi’s TV business has also suffered losses year after year. According to Hitachi, Hitachi TV sales in 2010 were 1.97 million units, and sales in 2011 are expected to drop to 1.6 million units. It is understood that Hitachi has fallen to fifth place in the domestic TV market ranking in Japan in 2010.

In the seventies and eighties of the last century, Hitachi TV was once very popular when it was introduced into the Chinese market. But soon, Japanese companies such as Sony and Panasonic have set up factories in China to compete with Hitachi. In particular, the rise of color TV companies in South Korea and China has exacerbated market competition, led to an ever-escalating price war, and made Japanese companies such as Hitachi unbearably burdened with price wars and gradually lost ground.

From the sale of plasma panel lines to the sale of TV factories, the withdrawal of home appliance stores, and the outsourcing of TV manufacturing, Hitachi has also become the first Japanese company to establish TV production lines in China, and has become the first to fade out of China's color TV market. Japanese company.

This time, the pace of Hitachi's strategic adjustments has moved even further. The company announced that it will stop producing TV products in Japan before the end of September and transfer the business to overseas OEMs. Wen Jianping, deputy general manager of Aowei Consulting, said in an interview with a reporter from China Electronics News: “In the transition of television from CRT to tablet, Hitachi chose plasma, and this industry is conservative in terms of technology and promotion. As a result, Hitachi’s competitiveness in the field of flat-panel TVs has gradually declined, and losses that have lasted for many years have brought about pressure on corporate investment. It is an inevitable result to announce the withdrawal.

Luo Qingqi, an expert on home appliances, said in an interview with a reporter from China Electronics News that outsourcing is just a way for companies to make cost adjustments. It is cost-relief and does not mean that Hitachi has to give up TV.

Japanese companies collectively fade out color TV manufacturing business

In the future, TV will be the most important electronic business. Japanese companies will not give up.

In fact, it is not Hitachi that fades out color TV business. At present, the growth of Japanese home appliance companies in the color TV market has been significantly weakened. Sony's color TV business has been losing money for eight consecutive years. Panasonic, Toshiba and other brands have also been hit.

Last year, Sony announced that it would reorganize its loss-making TV business and consider cooperating with other companies. Panasonic also said it will not make further investment in plasma and LCD monitors. Today, Hitachi also gave up TV production. According to analysts in the industry, with the decline of the traditional business of color TV, Japanese electronics companies are declining. It is very likely that Japanese companies will withdraw from the TV manufacturing market in the future. In response, Luo Qingqi told reporters: “At present, the global TV market is not optimistic. The exchange rate of Japanese yen is very high. Japanese companies are under great pressure and need to find a good way to reduce costs. For Japanese companies, this is only expedient. Is a short-term tactical arrangement."

Hitachi's related person in charge said in an interview with a reporter from China Electronics News: “Japanese companies did not withdraw from the TV market. Hitachi just stopped the company’s TV manufacturing business and did not end the television business. TV is in every family. Important home appliances, Hitachi will continue to regard it as an important main product in the future.” Luo Qingqi also believes that the future of television will be the most important one of the electronic business, Japanese companies will not give up.

In spite of this, the path of transformation of Japanese companies has spread. Sony spotted the huge business opportunities in the mobile terminal market and began to strengthen the mobile internet strategy. Panasonic developed the green new energy and environmental protection field. Hitachi also proposed in the previous few years the “social innovation business” that integrates IT infrastructure and social infrastructure. "As a new strategic center.

China's largest successor

Although China is already the world's most important television manufacturing base, it must be a good follower and companies must continue to practice their skills.

According to Wen Jianping, Sony, Panasonic, Toshiba, Sharp and other major Japanese companies have a global market share of nearly 30%. Japanese companies will fade out color TV business, and their market share will be competed by South Korean and Chinese companies. He said: "The television manufacturing industry is further concentrating in China, including South Korea's Samsung and LG are also considering moving their manufacturing operations to China." Hitachi also said that China's OEMs are Hitachi's important partners, Hitachi hopes. Through the television business to achieve the common development of both parties.

It is understood that in 2010 China's color TV shipments reached 118 million units, accounting for 49% of global shipments, of which exports accounted for 57%. Behind the high export volume, OEM is an important driving force. Lin Yuanfang, vice president of the China Electronics and Video Industry Association, told the “China Electronics News” reporter that the export volume of nine backbone TV companies (including SVA, Panda, and Xoceco) accounted for only 30% of the total exports, and the rest All are for foreign brands.

However, although the exit of Japanese companies in the television manufacturing business can bring certain development space to Chinese enterprises, the competitiveness of Japanese companies in the traditional home appliance industry is still enormous, especially the mastery of core technologies and the accumulation of companies for a long time. Brand value. Therefore, although China is already the world's most important television manufacturing base, it must be a good follower and companies must continue to practice their internal skills.

In Wen Jianping’s view, companies should improve and improve from three aspects: first, to speed up product development and improve product research and development capabilities; Second, to strengthen the promotion of own brand, China's color TV is currently mainly exported by OEM. In the long run, it is not conducive to the development of self-owned brands. Third, in the overseas promotion process, we must combine the local humanities and social sales environment to build localized marketing teams and service networks.

Terminal observation

Quitting rationality, Zhang Chih, Hitachi Hitachi is not the only company that has adjusted its strategic deployment. With the continuous loss of Japanese home appliance companies in the color TV business, Sony, Matsushita, Sharp and other major Japanese household electrical appliance companies are undergoing transformation. They are in a similar situation in weakening the color TV business. From the shutdown of plasma displays, to the sale of LCD panel factories, to the increase in the number of outsourced OEMs, a series of moves by Japanese companies was seen as a major retreat in the appliance business.

However, it is worth noting that Japanese companies have reservations while exiting. Hitachi said that although the TV manufacturing business was outsourced, it still did not abandon the research and development of new television technologies and product sales, and will retain the brand. In the midst of small and medium-sized panel and OLED technology, last year, Sony, Toshiba and Hitachi announced the merger of their own company's small and medium-size LCD panel business to form a joint venture company, and South Korea companies launched a contest for the right to speak. It is not difficult to see that Japanese companies are not relaxed in the core and frontier areas of display technology.

At the same time, Japanese companies are also extending to new areas. Sharp established the Health and Environmental Protection Division last year. Panasonic has also been transforming into green new energy and environmental protection. Last year, it also adopted the “China-Singapore Tianjin Eco-City” and “Dalian Eco-Tech Innovation City” proposals. Hitachi also proposed The development focus is on "systems and products formed by the integration of IT and social industry infrastructure." High-tech, high-value-added industries such as smart grid technologies, energy solutions, and building systems are becoming new directions for Japanese companies.

In contrast, Japanese companies gave up only the manufacturing industry at the low end of the industry chain, and they still could not bear to let go of their brands. For Chinese household electrical appliance companies, the exit of Japanese companies brought two major enlightenments: First, the exit of Japanese companies in the downstream of the industrial chain provides room for the development of Chinese enterprises. Enterprises should increase their capacity while firmly grasping manufacturing advantages. There is a brand building effort to strengthen the brand position in the global market; Second, as the profits of the home appliance industry are increasingly diluted, companies need to find new profit growth points, not only to extend and develop the upper reaches of the industry chain, but also in the horizontal industry R & D and layout on the chain to find new ways out.

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