More on Asia sales for Mr Bilow:
David Tzeng, Taipei; Willie Teng, DigiTimes.com [Monday 30 July 2001]
Despite their global influence, US PC brands are losing ground in China to local
companies. Chinese companies such as Legend Holding, Beijing Founder Electronics and
Great Wall Enterprise are increasing their market shares each year.
In the past, US vendors’ developments in the PC market were more mature than companies
from other countries. Their reputations, superior marketing strategies and strong financial
backing dominated the China market. Many consumers used to prefer well-known US
brands over those from China and Taiwan, not realizing that the majority of PCs were
Taiwanese-made.
As China’s consumer market has evolved, the situations of the US and Chinese brands
have reversed.
With government policies that benefit local brands, and the lessons they have learned
from foreign competitors, China’s PC companies have established complete service and
distribution networks on the mainland. Receiving major government orders has played an
important role in their success.
The US vendors’ poor performances in China have a large effect on their market share in
Asia. When IBM’s market share in China fell from 6.2% in 1999 to 5.3% in 2000, the
company was dethroned from the number one ranking in Asia (excluding Japan).
Compaq Computer’s market share in China tumbled from 4.3% in 1998 to 1.5% in 2000. In
the first half of 2001, it fell out of the top 10 in China.
Meanwhile, Dell Computer’s low-price tactics drove up its market share to the number one
spot in Asia. According to people within the industry, Dell is aggressively bidding for
government orders and its China market share is expected to increase further in the second
half of the year.
Top 10 PC brands in China and Asia (market share %)
Source: International Data Corporation (IDC), Daiwa Institute of
Research (DIR) and Dataquest, compiled by DigiTimes, July 2001.
digitimes.com |
