Factory Television in China

China has become the world’s single manufacturer of CTVs although most of their products are for consumption. Konka which is initially known as Shenzhen SEZ Konka Electronic Group of Company Ltd is one of the top manufacturers of CTVs in the mainland market of China. Konka started as an export-oriented venture with 85% of its production earmarked under the SEZ’s joint venture laws for export. It also acquired some share from domestic Television maker such as Mudanjiang and Shaanxi Ruji Television Factory. Rapid expansion in the domestic market leads them establishing their brand name and building a distribution and sales/service infrastructure and manufacturing facilities to cover all the cities in China. Konka has been able to differentiate itself from other CTV company by giving emphasis on the excellent after sales service. Its product has complete warranty and free after sales service for three years post purchase. They also ensure that quality of customer service is being met satisfactorily. Aside from having competition with its domestic competitor such as Chong Hang, TCL and Panda, Konka also faces foreign CTV competitors in the inland market where most CTVs are illegally imported. Yet, due to high import duties, importing finished product is not visible because most of the foreign countries assembled their product in China and just imported the raw materials. This scenario shows not a major threat to Chinese firms. CTV company like Konka have been able to surpassed its problem regarding counterfeits and fake with the help of the government by passing the Consumers Right Protection Law. Also, Chinese companies develop their technological aspect and attaining the international standards of quality in product and excellent after-sales service which gives them an advantage over foreign brands and counterfeiters. Close competition of CTVs in the mainland market results to excess capacity which leads to the expansion of the company to foreign market. Konka