The challenges of the leading brands in China to enter the West: Hisense case

The challenges of the leading brands in China to enter the West : If Hisense

Hisense, number one brand in distribution of LCD TVs in China, is the perfect example to meet the challenges encountered by these firms to expand into new markets <. / p>

In a small event held in Barcelona, ​​ Hisense, using the Grand Prix Formula 1 Montmelo and sponsorship Redbull Racing Team, presented its new 4K TV range 3.0. What is interesting, beyond the new TVs will be discussed later, is its presentation as a brand, the challenges of entering the West and its strategy.

Who is Hisense?

A little background first. Hisense is a multinational electronics dedicated to consumer electronics, telecommunications, home appliances, information technology and real estate.

It is a company with experience despite what we may think. Born in 1969 as a small radio factory in China , has grown into a multinational currently 75,000 employees around the world, with products sold in over 130 countries, 15 factories in China, 4 in South Africa, Algeria and Egypt, an annual production of 12.3 million television sets, 10 million refrigerators, 9.3 million air conditioners and even 6.6 million mobile devices (smartphones and Android tablets). Its turnover amounts to 16,000 million in 2014 .

In China spent more than a decade to be the largest manufacturer in market share of flat-screen televisions . According to data provided by Hisense last year they are also the second leading brand in the fourth refrigerators and air conditioning. Hisense is not a new or unknown brand, is a leader with great tradition. But in the West, things change. A new market penetration and difficult to deal with several requirements for success

Revealing himself

Hisense is not defined as a Chinese TV maker Cheap. They are defined as a leading electronics company with competitive prices, do not want to be associated with the idea that we in the West that the products designed in China will only sell because the price is so cheap that its qualitative deficit is in the background .

F1 Grand Prix ​​of China - Previews

The strategy to try to address these brands successfully landing in West is allying with brands and recognition. The key is the leading teams of the sport. So Hisense emphasized the great achievement which represents for them that their quality is associated to the performance of the elite teams sponsoring football as FC Schalke 04 and Formula 1 Infiniti Red Bull Racing .

It is a good idea, the association of leading brand is created to join high-level teams. The brand starts to sound and is becoming known, that is the hardest thing in such a longtime market and developed as TVs.


The problem is that in addition to marketing and outreach of your product and strategy, you must simultaneously develop your product to meet the needs of the new market. Consumers in Europe and the United States have different requirements and tastes when it comes to buying a TV, what is more, depending on the country a brand can have varying degrees of success by X environment.

The new TVs 4K 3.0 Hisense

In addition to learn more about the brand Hisense, I could see with my own eyes and judge the new TVs with new proposals more known in the West brands. On paper this is expected. UHD resolution TVs, with high-end models differentiated technical capabilities and the curvature of its panel


The first problem we encounter is the lack of finding a differentiating factor compared to other manufacturers. Hisense wants a problem if a manufacturer renowned for its quality at a competitive price and not at a low price. But it is not a serious problem if it comes to offering the same capabilities as the rest of televisions at a better price. . Something that’s what they want to get

All 4K TVs 3.0 have the following pillars:

  • UHD resolution
  • Support for HEVC video codec (H.265)
  • Technology Smooth Motion Rate (own Hisense)
  • All video inputs are compatible with UHD resolution at 60 frames per second. Even the TV antenna input.
  • At least one HDMI 2.0 and USB 3.0
  • Quad Core Processor.

The implementation of these concepts is good, but far from the big brands in the industry. These are first impressions, as it is not a controlled environment and each manufacturer uses a video as a demo to show what they are capable their TVs. Hisense version 3.0 is closer to the first 4K TVs TVs we’ve seen in 2015 of the major manufacturers. That is, we can not apply the famous slogan of the 2015: “It is to include more pixels, but better”

Version 3.0 of TVs 4K Hisense resembles more. as presented by other manufacturers in 2014 than in 2015

And the image appeared to be in their background, like TVs not to be applied to movies. Vi missing a lot of progress made by the UHD Hisense alliance. Having a resolution is no longer a factor of excellence in the LCD market. At the end is the price the greatest argument when purchasing one of them with his 5-year warranty (something they have wanted to offer as customer promise the quality of their TVs).

But not only are the Chinese manufacturer which can offer quality at a competitive price, there are very large LCD manufacturers that have equal or lower prices UHD TVs with better support in terms of operating smart, system design and tickets. It is daring and unjust if I dare to evaluate image quality, because without comparing with the same video and conditions can not come to a good conclusion. But what surrounds the panel, which is just what most emphatically announced, was not surprised.


The 4K, although still lacking content, not create any commitment so it is always something to keep in mind. But at this point we appreciate much more than the label with the logo “4K” on the TV. A good operating system in smart TV, good design, good control and, above all, that has exceptional image quality.

3 meters may not diferències one image of a 4K 1080p, but I assure you diferenciarás a panel with a bad contrast, bad color reproduction scene or a dark gray

This is the 4K 3.0 family.

Series K321 : UHD flat panel, 800Hz SMR. With support VP9. 40 “(€ 699), 50” (€ 899) and 55 “(€ 1,199) Available from July
Series K681 :.. Like the K321 series, but available 55 “and a 1000Hz SMR (€ 1,299). . Available from May
Series K720 : UHD curved panel in 55 “(€ 1,499) and 65” (€ 2,299). SMR 800Hz. With support VP9. . Available from July
Series XT810 : Like the K720 series but with an SMR of 1200Hz and 55 “(€ 1,499) Available from May

<.. p> It’s attractive price sets with large screens where 4K makes sense and where the price, Hisense, not fire. The contrast and image processing and looked good. Along with its integration with Netflix They can be a good alternative to having a 4K large TV at a competitive price. However needs to do much more to make them the preferred choice of the fans picture quality.


The challenges of the leading brands in China to enter the West: Hisense case
Source: english  
May 11, 2015

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