Annual Report on China's Consumer Electronics industry, 2004-2005

The report sums up the development of the global and Chinese consumer electronics industries in the past few years, especially in 2004. It examines different parts of China's consumer electronics industry, and the development status and characteristics of various regional markets. It studies the competition in China's consumer electronics industry, factors of development, and leading enterprises' competitiveness, business strategy and operation strategy. Meanwhile, the report presents original strategy on the sustainable development of China's consumer electronics industry and recommendations on competition strategy for Chinese and international consumer electronics enterprises.

The report especially points out the following: In 2004, the number of M&A increased in the global consumer electronics industry, which intensified industry concentration. As profits keep on falling, out of consideration of financial cost and opportunity cost, multinational firms actively relocate international production factors, which facilitates the shifting of the global consumer electronic industry base to China.

In China, with the rapid development of the national economy, potential market demand is growing mature. The performance of China's consumer electronics industry is improving as it expands in size; it accounts for a rising percentage in the national economy. At the same time, the �Going out� strategy encourages Chinese enterprises to expand in size and enhance their strength in international competition. As a result, they have improved their position in the international market. However, Chinese consumer electronics enterprises not only face external challenges like increased loyalties and growing international trade frictions, but also suffer from lack of core technology and reduced profitability. In the future, on the one hand, enterprises should be dedicated to technology application innovation and product innovation to improve product differentiation; on the other hand, they should boost their comprehensive competitiveness by integrating internal and external resources. Meanwhile, China should press ahead with the setting of standards to promote the development of the industry.

After analyzing major factors affecting the development of China's consumer electronics industry from 2005 to 2009, the report presents qualitative and quantitative forecast of the development and of the size of the industry. It probes into competition between enterprises in the respects of technology, product, capital and management. Finally, it provides development strategy and recommendations for leading enterprises and growing enterprises respectively.