Toshiba Announces New Business Strategy for India

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This year will see Toshiba move forward in India as TIPL establishes an R&D Centre at its Gurgaon headquarters to localize and develop new products for India in India; opens one-stop call centre supporting all digital products; starts to stretch its nationwide network of Toshiba stores to 6,000; begins to localize production of LCD TVs; and expands its line-up of products that combine technology with innovation and add user-friendly functionality.

Advances in digital convergence are bringing new capabilities to digital TVs and computers, and opening the way to the creation of exciting products that offer customers new features, functions and higher value. Toshiba is taking full advantage of this transition by promoting a global digital products strategy dedicated to reinforcing its leadership in innovation and in the market place. In alignment with this, TIPL is taking steps to cultivate new capabilities and to secure a leadership position in the Indian market.

India's economy continues to surge and key markets are recording dynamic growth. The laptop market will enjoy a CAGR of 20% from FY2010 to FY2013, growing from 3.8 million units to 6.5 million, and in TVs the figures are even more impressive: a CAGR of 59% from FY2010 to FY2013, with unit sales climbing from 3 million to 12 million units. This huge advance will be fueled by the transition from traditional cathode-ray-tube TVs to sleek LCD TVs.

TIPL is positioning itself to take full advantage of this trend. In July this year, the company unified its TV and PC business operations into a single organization, combining resources and creating a wider network of customer touch points and service centers. One immediate consumer benefit from this will be the establishment of a one-stop call centre to handle all digital products, a move that will immediately enhance the customer support experience.

In other moves, TIPL is assuring that it is truly responsive to Indian needs. The establishment of a new digital products R&D Centre this month will support product localization and development and advance innovation in unique products deeply reflecting local needs. TIPL also intends to bring this approach to the production of LCD TVs for the Indian market, and has already launched a project to start mass production for the Indian market by as early as the third quarter of FY2011, a move that will significantly enhance TIPL's supply chain management.

TIPL is also making sure that it can get its products out to people in the market place by doubling its nationwide network of Toshiba stores. Today's 3,500 stores will climb to 6,000 by the end of March 2012. In future, the Toshiba sign will be a familiar sight to consumers across the country.

Commenting on the new India growth strategy, Masayuki Ito, Vice President of Toshiba Corporation's Digital Products & Services Company, said: "India is an important market for us and we want to offer our customers here leading-edge products offering more functions. After having consolidated our presence in India, and having established Toshiba as a reliable brand, we are now focused on extending our reach and finding growth with products specially designed for India. We target a 10% LCD TV share in FY 2012 and 15% share in FY2013, accelerating our previous announced plans, and 10% PC share in FY 2013.”

The other area where Toshiba and TIPL have made sure they are positioned for success in India is in the new product line-up that they announced today in New Delhi. World's first glasses-free 3D Laptop PCs able to simultaneously display 3D and 2D Content on One Screen- Qosmio F750 Toshiba's first 19-inch LED TV in the company's line-up: The Power TV Compact (HV10) Series will bring quality viewing to a wide segment of the market at affordable prices. Designed to support the shift from CRT TVs – currently 59% of the Indian market – to LCD TVs.

Describing the new products, Mr. Wu Tengguo, Director of TIPL's Digital Products, Home Appliances & Services Division said “We are determined to provide a broad array of high-value products that reflect the changing lifestyles in India, and to address market requirements. We are confident that our new product line-up meets these requirements.”

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