Durable goods are those which dont wear out quickly, yielding utility over time rather than

at once. Examples of consumer durable goods include electronic equipment, home furnishings and fixtures, photographic equipment, leisure equipment and kitchen appliances. They can be further classified as either white goods, such as refrigerators, washing machines and air conditioners or brown goods such as blenders, cooking ranges and microwaves or consumer electronics such as televisions and DVD players. Such big-ticket items typically continue to be serviceable for three years at least and are characterized by long inter-purchase times. Performance Challenges The biggest threats to the local industry going forward are supply-related issues pertaining to distribution and infrastructure, as well as demand issues due to competition from imported goods. The lack of well developed distribution networks makes it especially challenging to penetrate the fastest growing rural areas economically. In addition, regular power cuts and poor road linkages make systematic production, assembly and delivery problematic. On the demand side, customers have increasing choice from both domestically produced and imported goods, with similar features. This homogeneity makes it difficult for players to remain ahead of the competition. MNCs hold an edge over their Indian counterparts in terms of superior technology combined with a steady flow of capital, while domestic companies compete on the basis of their well-acknowledged brands, an extensive distribution network and an insight in local market conditions. The largest MNCs incorporated in India are Whirlpool India, LG India, Samsung India and Sony India and homegrown brands are Videocon, Godrej Industries and IFB. Future Prospects Overall, the industrys future remains robust, and interested applicants will benefit from a holistic learning experience; Many of the research, sales, marketing and advertising related roles will necessitate a good on-the-job learning of target audiences, who may well be a totally new segment, based in never-before visited Class II and III towns. In addition, those with technical backgrounds will be able to leverage their knowledge and experience to constantly develop and innovate the product variants. With more MNCs growing their Indian businesses, there is great potential to also learn best-in-class systems and management skills. TIMES OF INDIA

MUMBAI: Consumers may have to shell out more on electronics, appliances and fast moving goods. Talks of a rollback of the stimulus and increase in excise duty are making consumer goods' companies apprehensive. Already reeling under the surge in input costs over the year, companies will be forced to pass the excise duty burden, leading to higher retail prices for consumers. It looks almost certain that excise will be hiked in the auto sector, experts say. Durable and electronic companies like Samsung and LG India say the move will hit growth of the industry, while FMCG firms, including beverage companies feel that the move will squeeze their profitability and impact margins.
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Last Updated : 26 December 2010 at 08:45 IST

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Assocham : Indias rural consumer durable market to grow 40% in 2011-12

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next hotspot NEW DELHI (Commodity Online) : Indias rural consumer durable market will witness an annual growth of 40 per cent in the next fiscal 2011-12, as against the current growth rate of 30 per cent owing to the change in lifestyle and higher disposable income of rural India which has fascinated the consumer durable market according to a study Rise of Consumer Durables in Rural India undertaken by the Associated Chambers of Commerce and Industry of India (ASSOCHAM). Around 35 per cent of the total sales of consumer durable items come from rural and semi-urban markets, which will grow by 40 to 45 per cent in the near future. The consumer durable industry is growing at a fast pace and sees a strong demand in the coming period with the growing affordability of products as well as general buoyancy in the economy, said Mr. Dilip Modi, President of ASSOCHAM. The market for consumer durables is estimated at Rs. 300 billion and is expected to reach Rs. 500 billion by 2015. The urban consumer durables market is growing at an annual rate of nine to 12 per cent, the rural durables market is growing at 30 per cent annually. Some high-growth categories within this segment include mobile phones, TVs (LEDs) and music systems (IPODs). He said the rural market in is growing faster than the urban market and the urban market has now largely become a product replacement market. The consumer durables industry in rural and semiurban areas has witnessed a considerable change during the last few years. The consumer durables sector is characterized by the emergence of MNCs, exchange offers, discounts and stiff competition in the market to attract the growing middle class of . With being the second fastest growing economy with a rate of more than 9 per cent, with a huge consumer class nearly 70 per cent in rural areas, consumer durables have emerged as one of the fastest growing industries in especially in rural . Now the consumer durable industry is paying more attention to attract rural community by promoting their products and services in their local languages. The consumer durable sector which contributes around 8 per cent in the Index of Industrial Production (IIP) and which provides jobs to professionals, skilled, semi skilled and unskilled workers, particularly women in the rural and semi-urban areas every year. The segment improves the quality

of life of people by providing entertainment / information / education / comfort and also helps to reduce daily chores. But the importance of the sector in national economy remains unnoticed. The Chamber chief further said the penetration level of consumer durables is about 5 to 7 per cent in as compared to other countries. ASSOCHAM suggests that for deeper penetration in the rural sector, the industry need to create proper channels and inform the community about the products through local language advertising as well as other tools such as local exhibitions and mobile vans to tap the rural consumers. On the other side government has to focus on rural economy with greater fiscal incentives and generate more rural employment schemes. According to ASSOCHAM Research Bureau, the Indian consumer durables segment can be segregated into consumer electronics (LCDs, home theater systems, laptops & PCs etc.) and consumer appliances (white goods) like refrigerators, washing machines, air conditioners, microwave ovens, dishwashers and small home appliances. Television, Refrigerator and Airconditioner have penetration of around 25 per cent, 17 per cent & 4 per cent respectively in the rural . Rising disposable income and declining prices of durables have, resulted in increased volumes. An increase in disposable income is aided by an increase in the number of both double-income and nuclear families in . The government is focusing on roll out of GST by 2011, this is an important consideration that is discussed including whether GST will increase or decrease the proximity of rural markets from mainline distribution routes. It also surfaced that the excitement that rural is causing in Indian manufacturers and marketers represents an opportunity for domestic players to develop their infrastructure in the rural sector. The study revealed that in the coming five years it would be a new era for rural , by 2015 it is expected that every village will be connected by an all weather road, every village will get the internet connectivity and almost every home will have electricity and possess a mobile phone. This significant improvement in rural infrastructure coupled with agriculture reforms already under way. By this the industry expects rural market to reach at inflexion point. This built up will lead to an explosion in demand the way it happened in the urban markets in the mid 90s.

Samsung
Employees: 3,687 2009 Revenue: USD 4.27 million (Excluding Q1 2009) TEL: 82-31-300-7114 FAX: 82-31-300-7034 www.samsungled.com Samsung LED, established in April 2009, is a leader in the LED industry. The youngest enterprise within the Samsung Group, it is one of the new businesses that Samsung Group is fostering as it develops its vision for the future. Under the company slogan Light Up Your Imagination, Samsung LED aims to be a global tier 1 LED company by 2015. An expert in LED, the company secures advanced original technology and R&D technology for the entire LED manufacturing process, from LED chips, packages, modules, to light engines. In June of last year, Samsung LED created

Samsung LED

a specialized system with offices in Suwon, Giheung in Korea and Tianjin in China. It entered the U.S. LED market by establishing a global sales branch in July 2010. Major products of Samsung LED include LED packages, LED for LCD BLU (Back Light Unit) which supports the success of LED TVs, LED modules, environmentally friendly LED light engines such as Flat Panel and Down Light, and automotive lighting such as head lamps and RCL (Rear Combination Lamp). Samsung LED plans to expand its business gradually from LED for LCD BLU to light engines, automotive lighting, and more. Through this, it targets a record of USD 139.45 million in sales revenue by 2020 with USD 63.15 million in accumulated investment by 2020.

Samsung Profile 2010

Samsung India is the hub for Samsung's South West Asia Regional operations. The South West Asia Headquarters, under the leadership of Mr. J S Shin, President & CEO, looks after the Samsung business in Nepal, Sri Lanka, Bangladesh, 2010

Financial Highlights
WON DOLLARS EUROS

AMOUNTS IN BILLIONS

Net Sales*

220,120.40

172.5

124.1

Total Assets

343,811.60

294.5

205.3

Total Liabilities

212,512.90

182

126.9

Total Stockholder's Equity 131,298.60

112.5

78.4

Net Income*

17,663.80

13.8

10

[Amounts in billions]

Maldives and Bhutan besides India. Samsung India which commenced its operations in India in December 1995 enjoys a sales turnover of over US$ 1Bn in just a decade of operations in the country. Headquartered in New Delhi, Samsung India has widespread network of sales offices all over the country . The Samsung manufacturing complex housing manufacturing facilities for Colour Televisions, Mobile phones, Refrigerators and Washing Machines is located at Noida, near Delhi. Samsung 'Made in India' products like Colour Televisions, Mobile phones and Refrigerators are being exported to Middle East, CIS and SAARC countries from its Noida manufacturing complex. In November 2007, Samsung commenced the manufacture of Colour televisions and LCD televisions at its stateof-the-art manufacturing facility at Sriperumbudur, Tamil Nadu. The Company is also manufacturing fully automatic front loading washing machines at its Sriperumbudur facility.

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Samsung Electronics Held the 4th Samsung Young Design Award in Italy Samsung Electronics Introduced Samsung Galaxy Tab to U.S. Market Samsung Mobile Display developed flexible AMOLED panel with four times clearer WVGA resolution Samsung Electronics honoured with 37 CES 2011 Innovation Awards Samsung Electronics launched OMNIA 7, the first Windows Phone 7 smartphone Samsung announced that it will establish seven social enterprises over the next three years to support the underprivileged in Korea Samsung Electronics began mass producing 20nm-class, 64-gigabit 3-bit NAND flash memory Samsung Engineering won the Sabah (Malaysia) Oil & Gas Terminal Project Cheil Industries established the WPM (World Premier Materials) flexible display business unit Samsung Electronics held the WCG 2010 Samsung Euro Championship at IFA 2010 Samsung Electronics held the Samsung Mobile Solutions Forum 2010 in Taiwan Samsungs brand value was ranked No. 19 in the world by Interbrands 2010 Best Global Brands

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Samsung Electronics 3D LED 8000 & 7000 series TVs were selected as this years best TVs by product testing magazines Which? in UK and Test in Germany Samsung Electronics won five European EISA Awards Samsung Electronics introduced Samsung Galaxy Tab to U.S. market Samsung Electronics TV won Product of the Year Award in Russia two years in a row. Samsung Electronics qualified foundry industrys first 32nm low power High-K Metal Gate Logic Process and Design Ecosystem Samsung Electronics introduced high-speed 512GB SSD utilising new toggle-mode DDR NAND memory Samsung Electronics captured five 2010 IDEA awards Samsung Fire and Marine Insurance entered the Chinese automobile insurance market Samsung Electronics hosts Samsung Global Developers Day for the Bada platform Samsung announced that it will invest $20 billion in new projects such as in eco-friendly and health care sectors by 2020 Samsung Life Insurance went public with IPO in Korean Market Samsung Electronics launched Worlds first 3D home theatre Samsung Electronics launched WAVE, the first smartphone based on Bada platform Samsung Engineering won $1.7 billion petrochemical plant contract in UAE Samsung Corning Precision Glass changed company name to Samsung Corning Precision Materials Samsung Mobile Display developed the Worlds largest 19-inch transparent AMOLED display Samsung Electronics merged with Samsung Digital Imaging Samsung Heavy Industries won $500 Million contract for nine oil tankers Samsung Electronics announced the industrys first multi-chip package (MCP) with PRAM for use in mobile handsets Samsung Electronics Android Phone Moment for the U.S won the Best in Show award at 2010 CTIA Samsung Electronics was awarded 2010 Green Communication Award Samsung Electronics globally launched the Worlds first Full HD 3D LED TV Samsung Electronics developed industrys first 30-nanometer-class DRAM Samsung Electronics opened its Olympic Rendezvous @ Samsung (OR@S) for the Vancouver 2010 Olympic Winter Games Samsung Electronics was ranked No. 1 in market share for French Door refrigerators in the U.S. Samsung Electronics committed its sponsorship with the Singapore 2010 Youth Olympic Games (Singapore 2010) as a Worldwide Partner Samsung C&T opened Burj Khalifa, the world's tallest building Samsung SDS merged with Samsung Networks Samsung Electronics began mass producing industrys first 3D TV panels

In the past 10 years, the global market has witnessed a surge in demand as economies such as Brazil, Mexico, India and China have opened up and begun rapid development, welcoming globalization with lan. The consumer durables industry has always exhibited impressive growth despite strong competition and constant price cutting, and the first contraction since the 2001 dot-com bust has been due to the global recession. Given the strong correlation between demand for durables (both new and replacements) and income, the industry naturally suffered during the 2008-2009 period. However, projections for current year going forward are very optimistic, as consumers resume spending, and producers launch new enticing variants to grab new customers. Leading players include Sony Corporation, Toshiba Corporation, Whirlpool Corporation and Panasonic Corporation. Developing countries such as India and China have largely been shielded from the backlash of the recession, as consumers continued to buy basic appliances. In fact, China has been ranked the secondbiggest market in the world for consumer electronics. Despite the recession, their strong domestic economy and growing high-income population have buoyed demand leading to aggressive market growth. There is growing interest for new age products such as LCD-TVs and DVD players. Meanwhile, the penetration of the basic, largest dollar items such as ovens, washing machines and refrigerators is also increasing. India too, has witnessed a similar phenomenon, with the urban consumer durables market growing at almost 10 %p.a., and the rural durables market growing at 25% p.a. Some high-growth categories within this segment include mobile phones, TVs and music systems. The Indian consumer durables industry has witnessed a considerable change in the past couple of years. Changing lifestyle, higher disposable income coupled with greater affordability and a surge in advertising has been instrumental in bringing about a sea change in the consumer behavior pattern. Apart from steady income gains, consumer financing and hire-purchase schemes have become a major driver in the consumer durables industry.

In the case of more expensive consumer goods, such as refrigerators, washing machines, color televisions and personal computers, retailers are joining forces with banks and finance companies to market their goods more aggressively. In addition, change in policy, such as the WTO FTA in 2005 resulted in zero customs duty on imports of all telecom equipment, thereby improving the pricing and affordability of imported goods.

Introduction: The consumer durables industry has always exhibited impressive growth despite strong competition and constant price cutting. The industry exhibits very high correlation between demand for durables (both new and replacements) and income. India has witnessed a phenomenal growth, with the urban consumer durables market growing at almost 10 % per annum, and the rural durables market growing at 25% per annum. The Indian consumer durables industry has witnessed a considerable change in the past couple of years. Changing lifestyle, higher disposable income coupled with greater affordability and a surge in advertising has been instrumental in bringing about a sea change in the consumer behavior pattern. Apart from steady income gains, consumer financing and hire-purchase schemes have become a major driver in the consumer durables industry. In the case of more expensive consumer goods, such as refrigerators, washing machines, color televisions and personal computers, retailers are joining forces with banks and finance companies to market their goods more aggressively. n addition, change in policy, such as the WTO FTA in 2005 resulted in zero customs duty on imports of all telecom equipment, thereby improving the pricing and affordability of imported goods1. According to industry sources, in 2010, air-conditioners are expected to grow 25%, split airconditioners 60%, frost-free refrigerators 54%, washing machines 20%, fully automatic washing machines 35%, microwave ovens 35%, high-end flat panel TV 100%, LCD TVs 110% and the plasma TV are likely to register a 100% growth.2 Essentially we can classify the consumer durable products into following categories: 1. Consumer Appliances a. White Goods b. Brown Goods 2. Small domestic Appliances The largest MNCs incorporated in India are Whirlpool India, LG India, Samsung India and Sony India and homegrown brands are Videocon, Godrej Industries and IFB3. Videocon has impressive presence in washing machine, color TVs, Air conditioners and refrigerator. Major chunk of the revenue is fetched by these products. In order to gain competitiveness company has invested for R&D facilities and technology tie-ups for almost every product.