Matsushita to expand its high-end business
Matsushita is the second biggest electronics company in Japan. A lot of Japanese companies are building factories in China. In Matsushita, they are increasing sales of their digital products; the company’s revenues are expected to hit 70 billion yuan (US$ 8.45 billion) in China by 2005. That would be a massive increase from its current sales in China, and would prove China is one of the firm’s largest markets outside of Japan. Matsushita’s revenues grew a record thirty-one percent in the year’s second quarter, compared with the previous year. The company has fifty-three facilities in China—forty-three manufacturing firms, four sales firms, four research development companies, one logistics firm and one management company. Matsushita’s sales in China last year reached 28.5.billion yuan (US $3.44 billion), for 11 per cent of its 263 billion yuan (US$31.76 billion) worth of overseas sales. The firm employs 51,000 people in China. Its global workforce is 142,000 employees.
During the recession in Japan, Japanese companies have been building factories in China, because Chinese labor conditions are good for our companies; since they have really cheap labor. Also, China is close to Japan, which means transport fees do not cost much. And now China electronics companies are rapidly moving into the global market. Haier is the fastest- growing electronics company in China. They are introducing Germans new production techniques. Their sales volume for 2002 is one billion US dollars. This company has sixty-five companies (selling agencies) in Europe and America, and the United States is taking a leading part. This company was in the sixth place of the top ten makers of large kitchen appliances in 2001. Haier’s most famous product is refrigerators and they are the number one manufacturer of refrigerators in the world. Also, Haier is making freezers, wine coolers, washing machines, TVs, and air conditioners. They are also making DVDs, cellular phones, PCs, and robots. Haier has been working with the Japanese electronic company since 1998. Many popular products are now made in China under control other brands names, but soon Chinese brands will become popular.
http://www1.chinadaily.com.cn/en/doc/2003-09/16/content_265631.htm
