TOKYO: Sony Corp., struggling to return its television business to profit, may pass Samsung Electronics Co. this year as the top seller of flat-screen TVs in India, the fastest-growing major market, researcher DisplaySearch said. In a shift from an earlier strategy that focused on India's wealthiest shoppers, Sony has gained market share by offering cheaper models and expanding its distribution network, Hisakazu Torii, a Tokyo-based analyst at DisplaySearch, said in an interview yesterday.
The maker of Bravia TVs last year ranked third in India behind Samsung and LG Electronics Inc., he said. "We're finally starting to see the fruits of Sony's efforts to strengthen its brand image and its sales network," Torii said.
"There's a real possibility they could take the top share for the year." Sony's push in India is part of a larger move by Japanese companies including Toshiba Corp., who are following South Korean rivals in expanding into emerging markets. Still, a weak consumer recovery in the U.S. and Europe, Sony's traditional strongholds, may prevent Chief Executive Officer Howard Stringer from ending a six year losing streak at the TV business.
Samsung's product range in India included CTVs, audio and video products, information technology products, mobile phones and home appliances (Refer Exhibit
I). Its product range covered all the categories in the consumer electronics and home appliances. Analysts felt that the wide product range of Samsung was one of main reasons for its success in the Indian market. Samsung positioned itself on the technology platform...
Pricing
Pricing also seemed to have played a significant role in Samsung's success...
Distribution
Along with the launch of new products, Samsung also consolidated its distribution system. Samsung had 18 state-level distribution offices and a direct dealer interface.
The direct dealer