In the evening of January 29th, Beijing time, according to Reuters, Philips Electronics has agreed to sell its audio and video business at a price of 150 million euros (approximately $ 202 million) to Funai Electric Co. Of the home entertainment market, focusing on more profitable household equipment and health care business. Philips CEO Frans van Houten noted that as consumers switch to listening to music, movies and games online instead of buying CDs and DVDs, Philips decided to withdraw from the home entertainment business, although the business was profitable last year. He added that the home entertainment business is shrinking and profit margins are thin. Philips will also charge Funai Electric for license fees. Philips also released its fourth quarter earnings report. The financial report shows that Philips had a net loss of 355 million euros in the fourth quarter, compared with a loss of 160 million euros in the same period last year, which was a year-on-year increase. Philips' revenue in the fourth quarter was 7.161 billion euros, a year-on-year increase of 3%. Philips' adjusted profit before interest, taxes and amortization (EBITA) in the fourth quarter was 875 million euros, a year-on-year increase of nearly 50%. It is the best quarterly financial report of the past two years. According to a Reuters survey of analysts, analysts predicted that Philips ’profit after adjustment for interest, taxes, and amortization in the fourth quarter would be 847 million euros, a net loss of 308 million euros, and revenue of 7.161 billion euros. Bad reality smashes Philips revival dream Facing various trust crises, while the image of the European consumer electronics giant Philips was damaged, its road to recovery became difficult. On December 5, 2012, the European Union's antitrust agency issued a record large amount of 1.47 billion euros (about 1.92 billion U.S. dollars) in fines to six companies including Philips, LG Electronics, Panasonic, and Samsung SDI. The price of cathode ray tubes for televisions and monitors has been manipulated for nearly 10 years. Our reporter learned that of the fines listed by the European Union's antitrust agencies, Philips had the highest fine of 313.4 million euros, followed by LG Electronics fined 295.6 million euros. According to foreign media reports, the Dutch said on the next day that the company will appeal the huge fines issued by the European Commission for violating antitrust laws. The European Union claims that these manufacturers have formed two cartel organizations, one related to televisions and the other related to computer monitors. The European Union pointed out that from 1996 to 2006, the executives of these manufacturers held several meetings to discuss how to manipulate market prices and divide the market. They "have all the characteristics of the worst anti-competitive behavior." This is not the first time a Dutch company has encountered an EU investigation and ruling. In December 2010, the European Union imposed a fine of 648 million euros on a cartel organization consisting of 6 LCD companies including CPT and LG Display. LG Display was formed by a joint venture between Philips and LG Electronics in 1999. In addition, Philips has also been receiving negative news in the Chinese market recently. Reports on the fraudulent information on the origin of its rice cookers have been frequently seen in major media from September 2012 to the present, but Philips has never made any positive response. As of press time, the media contact number of Philips China Investment Co., Ltd. Shanghai area is still busy, and the email interview request sent by our reporter has not received any response. Industry insiders pointed out that in recent years, Philips 'performance in the global market has been in a state of decline, and the avoidance of negative news will exacerbate the company's trust crisis in consumers' minds. Global market decline Manipulating product prices may be profitable for a while, but it will eventually be repaid. Ren Minqi, a researcher in the home appliance industry of CIC Consulting, pointed out that the joint manipulation of product prices among large enterprises will have undesirable consequences for the long-term development of enterprises and industries. He believes that the imbalance in market supply and demand due to price manipulation will cause companies to slow down the research and development of new technologies due to reduced competition, thereby losing industry competitiveness. Lu Jianbo, deputy secretary general of the China Electronics Chamber of Commerce, also emphasized that no matter whether it is an enterprise, industry or industry, development requires competition, and without competition there will be no leapfrog progress. Founded in 1891, Philips of the Netherlands is the largest consumer electronics manufacturer in Europe, the world's largest manufacturer of lighting equipment, and the top three medical equipment manufacturers in the world. However, with the sluggish external economy and the increasingly fierce competition, its market position has also suffered from multiple challenges. For this reason, in the past year or two, it has frequently laid off staff worldwide. According to a report by the Dutch Broadcasting Corporation (NOS) on October 26, 2012, the lighting department of the Philips Group headquarters will lay off 171 people, and it just announced a global layoff of 2,200 people a month ago, and its medical department has also laid off 150 people. The reasons for the layoffs are the sluggish external economy and heavy financial costs. The massive layoffs in 2011 were also for the same reason. According to the financial report, the company's revenue in 2011 was 22.559 billion euros, an increase of 1.3% from the previous year's 22.287 billion euros, but the net loss for the year was 1.291 billion euros, and the 2010 net profit was 1.452 billion euros, which has been since 2002 The biggest loss. In desperation, Philips announced a layoff of 4,500 at the end of 2011 to reduce costs. The decline in global market performance has put this veteran electronics company under pressure. Marriott Town, who became the CEO of Philips in April 2011, publicly admitted that the company's largest market, the European market, is declining, and the Chinese market is also growing slowly. Leading the company to realize its renaissance is regarded by the outside world as Marriott Town ’s top priority at Philips. In the past 2 years, Marriott Town has carried out a comprehensive rectification of the company, including reshaping the corporate culture. During his first year in office, Marriott Town issued profit warnings twice, reset financial goals, drastically cut jobs, replaced the entire executive team, and discarded the loss-making TV business. In the next few fiscal quarters, Philips' earnings rose slightly. In an interview with the media in June last year, Marriott Town said that Philips is now in a "sustainable recovery model" and said it would not rule out further measures to cut costs. However, people in the industry are not optimistic about this move. They pointed out that reducing costs through layoffs seems to be effective in the short term, but it is difficult to continue. The reshaping of corporate culture once proposed by Marriott Town seems to have no real effect. On the contrary, the negative news has made it even worse. In the Chinese market, Philips is also under pressure. It is understood that Philips mainly operates three major businesses in China: consumer electronics, medical equipment and lighting systems. In the consumer electronics market, the Dutch completely withdrew from the color TV market in 2010. In the same year, they packaged the purchase, distribution and market of the color TV business for 1.23 million euros to Taiwan TPV, which also obtained the 5-year use of the Philips brand in mainland China. At present, Philips has only taken action in the field of small home appliances, but in recent years it has gradually been surpassed by local brands such as Midea and Haier. In 2011, Philips acquired the local Pentium small home appliance business at a high price of 2 billion yuan, and now it seems that it is not a good business. According to people familiar with the matter, Philips officially completed a wholly-owned acquisition of Pentium in October 2011. However, in this transaction, Philips only acquired the kitchen appliance business of the original Pentium Electric Appliances, including the production plant, equipment and corresponding production, R & D and marketing of four small household appliances such as rice cookers, electric pressure cookers, induction cookers and electric kettle Team, and core assets such as brand ownership and plant land ownership are not included. Some commentators even claimed that it “spent a sum of gold to buy a bunch of ironâ€. "Philips wants to make up for the shortcomings of its small home appliance business through mergers and acquisitions. This method is not wrong, but it is a bit of a matter of course." Hong Shibin, deputy chairman of the China Household Appliances Marketing Committee, pointed out that the price positioning and short channels of Philips' high-end appliances Board, so that even if it acquired Pentium's small home appliance business, it is still not enough to confront Midea, Haier and other companies. "In the context of the current big industry in China, it is more difficult for foreign brands such as Philips to do well in China's small home appliance business." Hong Shibin said. Regarding the falsification of information about the origin of Philips rice cookers, industry experts said that as far as Philips' corporate culture is concerned, its China road may repeat the same mistakes as Europe. Lu Jianbo said that Philips' future may be eliminated by the market because of this attitude of not paying attention to consumers. Hong Shibin also told this reporter that the negative news in the Chinese market comes from the small home appliance business. From his attitude, it can be seen that the small home appliance business is no longer the most important part of Philips. Because it has not touched the "lifeline", the profit margin of small home appliances is not big. . He believes that Philips' small home appliance business is in a state of non-benign cycle, and its OEM production strategy itself will bring many problems, resulting in a situation where multiple profit centers are difficult to manage, and product quality is naturally difficult to guarantee. . For the future development of Philips, Hong Shibin believes that Philips' home appliance business has no advantage in the country, and it may be wise to "completely abandon home appliances". After all, its other two core businesses, medical and lighting, are not yet strong in China. Of local brands compete with the market. Among local companies, only TCL and Neusoft are currently involved in the medical device field. In addition, Neusoft and Philips established a joint venture in this business. Ren Minqi finally pointed out that Philips may have three major development trends in the future. First, it may continue to test new electronic fields. For example, it has recently entered the digital audio field and developed a diversified strategy. Secondly, Philips is currently in a stage of large-scale expansion and expanding sales. The channel is the most urgent task; the last is to strengthen the quality control, which is the core of the company's long-term development. Impedance Control Pcb,Impedance Board Circuit Board,Impedance Control Board Circuit Board,Impedance Control Board Shenzheng Weifu Circuit Technology Co.Ld , https://www.wfcircuit.com
The Chinese market is worrying