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Consumer electronics industry

Japanese Consumer Electronics Makers Eye US Market for Growth

Strategic Insights

— 1 min read

Japan's consumer electronics makers are gearing up for success in the US market, launching new DVD recorders and flat-panel televisions ahead of the Consumer Electronics Show (CES) in Las Vegas. Toshiba, Sharp, and Matsushita are among the companies unveiling their products, with Toshiba planning to start selling a high-definition DVD player in the US for around $1,000. The companies are eager to secure a lead over their competitors in the Blu-ray Disc standard and are looking to tap into the US market's large consumer electronics sales, estimated at 11 trillion yen in 2003.

Key Takeaways:

  • Toshiba plans to start selling a high-definition DVD player in the US for around $1,000, which is seen as a strategic move to secure a lead over the rival Blu-ray Disc standard.
  • Sharp plans to launch a Blu-ray Disc player in the US in 2005, having already sold the product in Japan.
  • Matsushita unveiled six plasma TV models, while Sony plans to expand its LCD TV lineup in the US in spring.
  • Japanese consumer electronics makers are looking to tap into the US market's large consumer electronics sales, estimated at 11 trillion yen in 2003.
  • US domestic consumer electronics sales are sharply higher than Japan's 7 trillion yen, making it a natural choice for Japanese makers to expand their business.
  • Domestic shipments of digital cameras are showing signs of a downturn in Japan, with a market survey predicting that only 11% of Japanese households will own flat-panel TVs and 13% will own DVD recorders by March.

Statistics:

  • Japan takes in roughly half the DVD recorders sold around the world, with domestic sales estimated to top 4 million units in the current fiscal year.
  • Digital consumer electronics, including DVD recorders, flat-panel TVs, and digital cameras, made inroads into Japanese households en masse in the latter half of 2003.
  • Domestic consumer electronics sales in the US are estimated at 11 trillion yen in 2003, sharply higher than Japan's 7 trillion yen.
  • Price competition has driven down the price of flat-panel TVs 25-30% on the year.

Sources:

  • Asia Pulse, "Japanese consumer electronics makers unveil DVD recorders, flat-panel TVs ahead of CES", Jan 7
  • Nikkei, "US consumer electronics sales estimated at 11 trillion yen in 2003"
  • MM Research Institute, "Market survey predicting Japanese household ownership of flat-panel TVs and DVD recorders by March"

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