Wednesday, July 14, 2010

AOC and NEC's high-end chess game

AOC very strong growth last year, according to data provided by them indicated that their annual sales volume has reached 1.6 million scale. Regardless of the data correctly or not, on this production-based companies to achieve such low volumes strange Erju, because they have the OEM number of Juda volume, very often on the AOC is indeed a product of the Xiang Hu Gong Chang out competition.

The resulting problems, as well as quality control for various differences in design and build the essential difference between brands. Also led to the introduction of the same plant completely different product acceptance.

But the AOC is very optimistic. They think that the LCD industry chain of unique advantages, have no fear that the local competition, and now, their LCD production capacity has more than 30 million units / year scale. However, AOC own high-end brand in the field is still quite blank.

Thus, in the December 15, 2005, when NEC announced that in cooperation with the AOC, when display sales, it is a significant brand awareness, and its competitors have long informed the author, AOC promote independence and less successful high-end brands , up the NEC is not surprising.

NEC in the CRT era, a fairly good reputation, is synonymous with high quality displays, but into the LCD, the domestic market does not appear, combined with Mitsubishi's all kinds of disputes, and did not catch up with the national outbreak of the crystal night scene. Although the NEC is also actively promoting the products as LED backlit display and try to enter the medical field, do not touch on the major domestic users.

NEC re-development effort in the Mainland market will need a good marketing channels and brand new building, which AOC is really a great news, and, through co-operation, is conducive to the production of AOC on the near-rigid type of thinking for positive change.

But in essence, now is not the powerful combination of the two win-win strategy, but the weak state of weak cooperation, profound feelings. In building the brand, NEC and AOC are quite vulnerable. But they do not worry, relatively healthy state of mind and approach will help the brand value of AOC reshaping, AOC side said that they are to learn, and thus set the next three years, NEC LCD market, accounting for about 8% share, sufficient for the NEC broke into the top five market share rankings.

However, high-end brand and has never been called out, but on products made out of a down. The scene put out the limitations of products is the typical portrayal of AOC manufacturing thinking, limited to 19-inch The following is a very practical strategies that benefit sales, it may not be useful in shaping the brand image.

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