Comments: Appliance Stores Through Mergers And Acquisitions Of Real It
Recently, restless home appliance chain enterprises have started to be restless. This time they cross from the home appliance industry to the IT industry. Suning Appliance hosted a big way in Nanjing, China PC Industry Summit 2007, Gome stores are on the road towards IT taken a substantial step.
In fact, earlier in the Suning, Gome stores where to buy home appliances such as computers, digital cameras, MP3 and other IT products is not new. Even in Shanghai last year, also appeared in the community store selling MP3 can do. However, other home appliance chain Suning had to sell all IT products somewhat, “Name not ring true, statement is not correct,” Showcases size, business size, location is very partial, not a business focus. With those color TV, air conditioning, refrigerator appliances are luxurious, eye-catching position than, IT counters some real shabby. From GOME, Suning and other market chain’s annual report also showed that sales of home appliances share and the ratio is still the main character.
However, the Suning Appliance has done an amazing thing, with its retail area in the end the special position and appeal to major domestic PC business meeting brought together giants Forum. Previously, Suning, the National Forum organized by the United States have mostly involved the appliance of figure, this is a big transformation came, and even some manufacturers have wondered, CEO.
In fact, the summit is intended to Suning PC obvious. First, we must show that Suning future PC sales to increase the proportion of entering the retail PC market; the second is that the major PC companies in the future to strengthen and Suning Appliance in PC sales in the process of co-operation efforts. Furthermore, also in the home appliance retailers Suning seems steady profit growth, continue to find and develop new profit growth point and operate the project. The steady growth in PC market, PC product family, popular and eventually led to Suning chain can carry out large-scale purchases, the discount-type sales.
I think that, for the home appliance chain moving into IT industry, should be encouraged. This can expand the chain store’s marginal revenue, to avoid duplication of input channels of IT industry and construction, to save social resources. Commercial use of these appliances were distributed nationwide chain of distribution network and store in the short term to quickly open up the PC terminal retail chain to realize the size of PC products, mass marketing. Meanwhile, for the end consumers, and takes advantage of promoting Suning chain giants the size of these volume purchases, receive quality and cheap PC product. Meanwhile, chain store can make full use of standardized, convenient, professional and other advantages, to ensure the interests of consumers. Computer City to avoid the often encountered in a number of consumer fraud, consumer traps and so on. Of course, some home appliances enterprises, also benefit. After all, the profitability of support points when the chain stores have diversified their cooperation for the home appliance business conditions and the threshold would be relatively easy.
In addition, I also see, Suning chain to enter the IT industry are broad prospects. Earlier in the IT industry despite the distribution channels to establish and perfect the process, subject to professional constraints of computer products, many consumers buy more of these IT products will choose some of the city highly specialized computer, and ultimately contributed Computer City opened cities are springing emission. Right now, with the popularity of PC products, intelligent, integrated development, and consumer computer to popularize the knowledge and upgrade, this will become increasingly blurred professional boundaries. Consumers to Su Ning, China and U.S. national chain stores, only buy appliances, you can select computers, mobile phones and other related products.
Course, the domestic IT industry, a small number of national chain stores, the overall strength of the weak, for the expansion and Suning have provided a good opportunity to enter. Right now, IT is a national chain stores only Hongtusanbao and a few other companies, most or some of the city and regional computer stores, and even many parts of the city still remain computer to spread the family-run shop in individual stores joining phase of the operation . The terminal stores retail channels and the strength of the weak, the group of poor credit. Consumer spending in the computer city suffered frequent traps.
The reason lies in the lack of long-term development plans of these enterprises, their overall strength and the implementation of national or regional chain management experience and capital. Therefore, the business development goals and strategies of the different, once again highlighted the country represented by Suning Appliance Chain giants advantage.
Is suggested that in the IT industry when Suning are mature, specialized in product sales and service levels increased, the total capital acquisitions by way of some of the domestic terminal of regional IT and Computer City store acquisition and restructuring realize their professional development in the IT industry.
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