China's color TV companies overseas mergers and acquisitions hot, internationalization climax is coming?

According to home network observation, unlike flat-panel TVs that replaced video tube TVs in 2000, China’s color TV companies face the biggest problem in that the world’s annual color TV consumption is almost at zero growth, which has remained between 2 and 220 million units in recent years. Among them, the share of nearly 40% is occupied by Korean Samsung and LG.

For the six brands that compete in the domestic consumer TV market for a long time, the international market is not only an attractive cake but also a minefield. In terms of the losses in the most recent Samsung and LG TV businesses from January to March, in emerging countries such as Brazil and Venezuela, the revenue generated from sales is far less than the huge loss caused by exchange rate fluctuations.

In that year, Japanese TV companies took over Europe and the United States as the boss in the era of CRT TV and flat-panel TVs. Korean TV companies took over in the era of LCD TVs, leading to the exit of Japanese companies, Chinese and South Korean color TV companies competing for hegemony, the development of world color TV and industrial regions. The change has gone through a long process.

Skyworth Group claims that the German bankrupt TV maker Metz has been acquired by the company. On April 22, 2015, Liu Weizhi, Vice President of the Skyworth Group, President of the Color TV Business Division, and Sun Weizhong, Vice President of the Skyworth TV Business Division and General Manager of the Overseas Marketing Headquarters formally signed an acquisition contract with the Metz Insolvency Manager in Shenzhen.

On June 1, 2015, Skyworth will formally take over Metz and continue to maintain Metz's operating center in Zirndorf, Bavaria, Germany as its bridgehead to the European market.

In China, consumers who are already familiar with domestic color TV sets and Japanese and Korean color TV brands may not be familiar with the German Metz brand television sets. In fact, Paul Metz founded Metz in 1938 and has a long history. The main business of Metz is actually a flash product, but at the same time it also produces televisions and uses "Made in Germany" to enhance its high-end image.

However, due to the fierce price competition among China, Japan and South Korea TV companies, the losses of the Metz TV business continued to expand, until the bankruptcy filing, positioning high-end, Western-style design did not save Metz TV. TV analysts pointed out that globalization and rapid network development have caused new changes in the world color TV industry. It has been difficult to imagine releasing a new product at the same time in different countries and time zones around the world, but now it uses advanced communications and imaging technologies. It can be done completely. For example, domestic users and German users can participate in new product launches of color TV companies at the same time. This is a space squeeze behind the impact of color TV consumer prices.

According to the understanding of the home network, in the smart phone manufacturers, the joint conference of new products in major cities around the world has become a reality. In the eyes of consumers in Western Europe and other countries, perhaps the visibility of a certain Chinese color TV brand is not high; but just as Metz TV's impression on domestic consumers is not as high, as China's color TV companies go to sea, this kind of The gap will gradually narrow.

In addition to the China, Japan and South Korea color TV brands, there are many old TV manufacturers that we are not familiar with but still exist in other countries in the world. In 2014, Sharp TV completely withdrew from the European TV market and entrusted production and sales rights to the TV manufacturer UMC (Universal Media Corporation) in Slovakia.

Like Skyworth’s Metz TV business, UMC is also not well-known to the Chinese. But in fact, according to home network access, whether it is Metz or UMC, these two color TV companies have appeared in the Chinese market in the early years.

Together with Skyworth's acquisition of South Africa's Xoceco branch and TCL Multimedia's acquisition of a TV factory of Sanyo Electric Co., Ltd. in Mexico for approximately HK$120 million, Changhong established the North American R&D Center Co., Ltd. in 2014 to create R&D, investment and incubation windows for overseas innovation projects and actively promote Overseas partners cooperate in business models, air purification, intelligent control and other fields.

China's color TV companies' exploration, acquisition and seeking cooperation with the Japanese TV companies are sharply contrasted with Japanese TV companies such as Sharp and Panasonic, which frequently exit the North American color TV market, exit the Australian color TV market, and close/sell overseas TV factories.

The exit of one party and the exit of the other party also indicate that the world color TV industry and market structure will change along with a series of actions by Chinese companies. According to industry sources, home appliance companies that have not been familiar with but have a long history in the next few years may be gradually taken over by Chinese manufacturers and become part of the overseas supply chain of Chinese enterprises.