Li: Future TCL Foundry Business will be completely independent

"We are learning to swim in the process, choking water, fell somersault," after 10 years of international experience, TCL chairman and CEO Li quite feeling, "and ten years ago, we have more clout." ”

At the beginning of 2004, TCL acquired Thomson Color TV business and Alcatel mobile phone business, officially took the step of "internationalization". As Li said, internationalization is not smooth: the first half of 2006 TCL Net loss of 738 million yuan, the whole year was exposed to a loss of more than 2 billion yuan.

After 10 years of hard work, 2013.5 Annual report data show that TCL group income of 39 billion yuan, an increase of nearly 32%, of which the overseas market growth of 38%, higher than the domestic about 12%, television sales in the world ranked third, to 7.3% of the global market share than Sony, the core business of the main sales growth in the %, "far more than GDP growth in many countries." ”

Looking back on the 10-year international journey, from product OEM to overseas market brand self-management, TCL how in the fierce competition in the color TV, home appliance industry to profit? What is the next ten years to sail? Facing the strong South Korean Samsung, LG and other competitors, how to deal with?

October 11, Li in Chengdu, the TCL Group's global partner Conference on the gap received the "Daily economic news" reporter's interview.

Internationalization success or failure in enterprise capability

Daily economic News (hereinafter referred to as NBD): Tcl from product generation to agent brand, and then to brand self, the biggest challenge in ten years?

Li: The biggest problem lies in the improvement of enterprise's own ability. On the one hand, TCL now overseas business team is mostly from the domestic business team training, management team core to the Chinese, their growth process is also the process of upgrading the internationalization of enterprises; On the other hand, through international business development, especially large cross-border mergers and acquisitions, also help Tcl in the capacity, concept, Cultural and other aspects of the introduction of more international factors.

NBD: Why do you think the hardest is not "the heat of industry competition"?

Li: These are objective existence, you can not change, can only improve themselves. The improvement of China's industrial competitiveness has created conditions for the internationalization of Chinese enterprises, and China is already the main producer of most consumer electronics products, and enterprises should make good use of this environmental advantage.

In addition, the core competencies of the enterprise is also important to upgrade, including technical capabilities, manufacturing supply chain capabilities and global market branding capabilities, products to be able to adapt to the global major market requirements.

Brand sales accounted for 75%~80%

NBD: What is the strategic blueprint for TCL internationalization in the next 10 years?

Li: The future hopes to further enhance the international business level, with brand-driven strategy, TCL this Chinese brand better upgrade.

Over the past few years, we invest a lot in brand building, such as the Hollywood China Theater, and with several Hollywood blockbuster cooperation, actively participate in the world's major electronic exhibitions, the company invested a lot of resources to do the promotion, adhere to the Global distributor Conference, also in Argentina, Brazil and other place to organize their own product promotion.

NBD: The future TCL brand sales will be a little more, now overseas OEM and brand sales of the situation?

Li: The current brand sales accounted for the 75%~80%, very high. Mobile phones in the European and American markets with Alcatel brand more, Europe's color TV with Thomson. Through mergers and acquisitions, these two businesses are TCL's brand, but the strategy is to implement multi-brand strategy.

The foundry business has been split in Hong Kong, and the future will be completely independent of the foundry business, becoming an important part of the whole business. For example, Kone Electronics group, the future will be further restructured, covering all the OEM business, completely independent.

OLED TV coming home early

NBD: Samsung, LG has launched OLED TV, TCL will follow suit?

Li: OLED TVs have a very small share of the global market and are almost negligible. Frankly speaking, OLED currently in the television application does not have a large number of commercial sales conditions. First, the current technology is not mature, the market and consumers need more time to assess the pros and cons of technical products, the cost is very high, and do not have the conditions of large-scale market promotion. Second, the TFT technology in the continuous optimization, such as this year's Super HD, is 4K, 2K technology, image resolution has exceeded OLED. In theory, OLED TV in color saturation and contrast will be better, but the advantages of this performance needs to be in a special scene to see the difference, the general HD movies, TV programs, it is difficult to see the difference.

We plan to launch OLED products next year, but this is more of a conceptual product, and household consumption does not have a certain timetable.

NBD: In overseas markets, Samsung, LG and other Korean brands are ferocious, Tcl how to deal with sniper?

Li: Korean brands have grown rapidly in the global market over the past decade, but they are more of a market for robbing Japanese brands. While Chinese brands are under pressure, the overall share of the world is rising. The future and the Korean brand spell, rely on the solid to do their own things well, industry competition is really, as far as possible to reduce their own mistakes, opportunities are sometimes their own grasp, and sometimes the opponents make mistakes.

The events of TCL Group

February 22, 2011 TCL Communications Technology Holdings Limited acquired SAGEM mobile phone research and Development (Ningbo) Co., Ltd., established TCL Communications Ningbo Research and Development Center, the establishment of TCL Communications, the fifth largest research and development center in China. December 3, 2007 TCL unveiled its new lineup of companies after a massive reorganization, and the computer business, once a high-profile foray, was completely marginalized. September 27, 2004 TCL Communications Technology Holdings Limited is listed on the Hong Kong stock Exchange. August 2004 TCL, a joint venture with Alcatel, France,-TCL Alcatel Mobile, a leading enterprise in the field of global mobile communications. Tcl Thomson Electronics Co., Ltd. (TTE), a leading global color TV company established in August 2004, opened in Shenzhen. January 30, 2004 TCL Group Co., Ltd. was traded on the Shenzhen Stock Exchange. 2002 TCL Group bought Germany Schneider color TV business. April 16, 2002 TCL Group Co., Ltd. was founded to introduce international strategic investment.