"In the process of learning to swim, we passed through the water and fell over the head." After ten years of international experience, Li Dongsheng, chairman and CEO of TCL Corporation, was very emotional. "Compared with ten years ago, we are more confident."
At the beginning of 2004, TCL successively acquired the Thomson color TV business and the Alcatel mobile phone business, and officially took the pace of “internationalizationâ€. As Li Dongsheng said, internationalization has not been smooth: in the first half of 2006, TCL's net loss was 738 million yuan, and the annual loss was more than 2 billion yuan.
After ten years of hard work, the 2013 semi-annual report showed that TCL Group's revenue was 39 billion yuan, a year-on-year increase of nearly 32%, of which the overseas market grew by 38%, higher than domestic 12 percentage points, and TV sales ranked third in the world, at 7.3%. The global market share exceeds that of Sony, and the growth rate of major sales of core businesses is above 20%, “far more than the GDP growth rate of many countries.â€
Looking back on the internationalization journey of the decade, from product OEM to overseas market brand self-employment, how does TCL turn around in the fiercely competitive color TV and home appliance industry? In the next ten years, what kind of sailing will start? In the face of strong South Korean Samsung, LG and other competitors, how to deal with it?
On October 11, Li Dongsheng accepted an exclusive interview with the reporter of "Daily Economic News".
International success or failure in corporate capability
NBD: What is the biggest challenge for TCL in the decade from product processing to agency branding to brand self-employment?
Li Dongsheng: The biggest problem lies in the improvement of the company's own capabilities. On the one hand, most of TCL's overseas business teams are cultivated from domestic business teams. The core of the management team is mainly Chinese. The process of their growth is also the process of upgrading their internationalization capabilities. On the other hand, through international business development, In particular, large cross-border mergers and acquisitions also help TCL introduce more international factors in terms of capabilities, concepts and culture.
NBD: Why do you think the hardest part is not "industry competition is heating up?"
Li Dongsheng: These are all objective. You can't change, you can only improve yourself. The improvement of China's industrial competitiveness has created conditions for the internationalization of Chinese companies. China is already the most important place for most consumer electronic products. Enterprises should make good use of this environmental advantage.
In addition, the enhancement of the company's core capabilities is also important, including technical capabilities, manufacturing supply chain capabilities and global market branding capabilities, products must be able to adapt to the requirements of the world's major markets.
Brand sales accounted for 75% to 80%
NBD: What is the strategic blueprint for TCL internationalization in the next decade?
Li Dongsheng: In the future, I hope to further improve the international business level and use the brand-driven strategy to better enhance the Chinese brand of TCL.
In the past few years, we have invested heavily in brand building, such as the Hollywood China Grand Theatre, and cooperation with several Hollywood blockbusters, actively participating in the world's major electronics exhibitions, the company invested a lot of resources to promote, insist on the global distributor conference It also held its own product promotion conferences in Argentina and Brazil.
NBD: Will the sales of TCL brand in the future be a little more? What is the proportion of overseas OEM and brand sales?
Li Dongsheng: At present, the proportion of brand sales has reached 75% to 80%, which is quite high. Mobile phones use Alcatel's brands in Europe and the United States, and Thomson uses color TVs in Europe. Through mergers and acquisitions, these two businesses are TCL brands, but the strategic implementation of multi-brand strategy.
The foundry business has been split in Hong Kong. In the future, the foundry business will be completely separated and become an important part of the entire business. For example, KONE Electronics Group will further reorganize in the future, covering all foundry businesses and being completely independent.
OLED TV is still early in the family
NBD: Samsung and LG have launched OLED TVs. Will TCL follow suit?
Li Dongsheng: OLED TV's global market share is very small, almost negligible. Frankly speaking, OLEDs currently do not have a large number of commercial sales conditions for TV applications. First, the current technology is not mature, the market and consumers need more time to evaluate the advantages and disadvantages of technical products, the cost is extremely high, and there is no conditions for large-scale marketing. Second, TFT technology is constantly optimized. For example, this year's hot-selling ultra-high-definition is 4K, 2K technology, and the image resolution has exceeded OLED. In theory, OLED TVs will be better in color saturation and contrast, but the advantage of this performance needs to be seen in the comparison of special scenes. It is difficult to see the difference between high-definition movies and TV programs.
We plan to launch OLED products next year, but this is more of a conceptual product, and there is no fixed timetable for household consumption.
NBD: In overseas markets, Korean brands such as Samsung and LG are coming fiercely. How should TCL respond to sniper attacks?
Li Dongsheng: Korean brands have grown rapidly in the global market in the past decade, but more are the market for Japanese brands. Although Chinese brands are also under pressure, the overall global share is rising. The future and Korean brands fight hard, relying on solid things to do their own things, industry competition is very real, try to reduce their own mistakes, opportunities are sometimes caught by themselves, sometimes caused by opponents making mistakes.
(This article is reproduced on the Internet. The texts and opinions expressed in this article have not been confirmed by this site, nor do they represent the position of Gaogong LED. Readers need to verify the relevant content by themselves.)
At the beginning of 2004, TCL successively acquired the Thomson color TV business and the Alcatel mobile phone business, and officially took the pace of “internationalizationâ€. As Li Dongsheng said, internationalization has not been smooth: in the first half of 2006, TCL's net loss was 738 million yuan, and the annual loss was more than 2 billion yuan.
After ten years of hard work, the 2013 semi-annual report showed that TCL Group's revenue was 39 billion yuan, a year-on-year increase of nearly 32%, of which the overseas market grew by 38%, higher than domestic 12 percentage points, and TV sales ranked third in the world, at 7.3%. The global market share exceeds that of Sony, and the growth rate of major sales of core businesses is above 20%, “far more than the GDP growth rate of many countries.â€
Looking back on the internationalization journey of the decade, from product OEM to overseas market brand self-employment, how does TCL turn around in the fiercely competitive color TV and home appliance industry? In the next ten years, what kind of sailing will start? In the face of strong South Korean Samsung, LG and other competitors, how to deal with it?
On October 11, Li Dongsheng accepted an exclusive interview with the reporter of "Daily Economic News".
International success or failure in corporate capability
NBD: What is the biggest challenge for TCL in the decade from product processing to agency branding to brand self-employment?
Li Dongsheng: The biggest problem lies in the improvement of the company's own capabilities. On the one hand, most of TCL's overseas business teams are cultivated from domestic business teams. The core of the management team is mainly Chinese. The process of their growth is also the process of upgrading their internationalization capabilities. On the other hand, through international business development, In particular, large cross-border mergers and acquisitions also help TCL introduce more international factors in terms of capabilities, concepts and culture.
NBD: Why do you think the hardest part is not "industry competition is heating up?"
Li Dongsheng: These are all objective. You can't change, you can only improve yourself. The improvement of China's industrial competitiveness has created conditions for the internationalization of Chinese companies. China is already the most important place for most consumer electronic products. Enterprises should make good use of this environmental advantage.
In addition, the enhancement of the company's core capabilities is also important, including technical capabilities, manufacturing supply chain capabilities and global market branding capabilities, products must be able to adapt to the requirements of the world's major markets.
Brand sales accounted for 75% to 80%
NBD: What is the strategic blueprint for TCL internationalization in the next decade?
Li Dongsheng: In the future, I hope to further improve the international business level and use the brand-driven strategy to better enhance the Chinese brand of TCL.
In the past few years, we have invested heavily in brand building, such as the Hollywood China Grand Theatre, and cooperation with several Hollywood blockbusters, actively participating in the world's major electronics exhibitions, the company invested a lot of resources to promote, insist on the global distributor conference It also held its own product promotion conferences in Argentina and Brazil.
NBD: Will the sales of TCL brand in the future be a little more? What is the proportion of overseas OEM and brand sales?
Li Dongsheng: At present, the proportion of brand sales has reached 75% to 80%, which is quite high. Mobile phones use Alcatel's brands in Europe and the United States, and Thomson uses color TVs in Europe. Through mergers and acquisitions, these two businesses are TCL brands, but the strategic implementation of multi-brand strategy.
The foundry business has been split in Hong Kong. In the future, the foundry business will be completely separated and become an important part of the entire business. For example, KONE Electronics Group will further reorganize in the future, covering all foundry businesses and being completely independent.
OLED TV is still early in the family
NBD: Samsung and LG have launched OLED TVs. Will TCL follow suit?
Li Dongsheng: OLED TV's global market share is very small, almost negligible. Frankly speaking, OLEDs currently do not have a large number of commercial sales conditions for TV applications. First, the current technology is not mature, the market and consumers need more time to evaluate the advantages and disadvantages of technical products, the cost is extremely high, and there is no conditions for large-scale marketing. Second, TFT technology is constantly optimized. For example, this year's hot-selling ultra-high-definition is 4K, 2K technology, and the image resolution has exceeded OLED. In theory, OLED TVs will be better in color saturation and contrast, but the advantage of this performance needs to be seen in the comparison of special scenes. It is difficult to see the difference between high-definition movies and TV programs.
We plan to launch OLED products next year, but this is more of a conceptual product, and there is no fixed timetable for household consumption.
NBD: In overseas markets, Korean brands such as Samsung and LG are coming fiercely. How should TCL respond to sniper attacks?
Li Dongsheng: Korean brands have grown rapidly in the global market in the past decade, but more are the market for Japanese brands. Although Chinese brands are also under pressure, the overall global share is rising. The future and Korean brands fight hard, relying on solid things to do their own things, industry competition is very real, try to reduce their own mistakes, opportunities are sometimes caught by themselves, sometimes caused by opponents making mistakes.
(This article is reproduced on the Internet. The texts and opinions expressed in this article have not been confirmed by this site, nor do they represent the position of Gaogong LED. Readers need to verify the relevant content by themselves.)
ZOOKE provides you with safe and reliable connector products, with 5.0 spacing products providing more possibilities for limited space and creating more value for the research and development and production of terminal products.
5.00 wire to board connectors,5.0 connectors,ZOOKE connectors
Zooke Connectors Co., Ltd. , https://www.zookeconnector.com