Global Business News: China's smart phone market specializing in low-cost market

In the global PC market, Lenovo is close to to sit top Android 4.0 OS spot. The research firm International Data Corporation (IDC) estimates that three quarters of this year, shipments, Lenovo's market share was 15.7 percent, ranked second in the world, slightly lower than the 15.9% of the Hewlett-Packard. The quarter global PC shipments fell 8.6%, according to IDC, Lenovo's shipments still grew by 10%. Lenovo announced last week, in the third quarter of this year, the company's net profit increased byrevenue growth
If the association is a leader in the PC market, why does it need to diversify the business? One possible reason is that the growth of the PC industry, space has been depletedIn the United States and other developed markets, the Tablet PC is to snatch the argument of the PC market, and to some extent on the existence of. However, many of the emerging markets in Asia, Latin America, Middle East and Africa, people still buy their own first personal computer. CLSA consumers in China, India and Indonesia last month, a survey shows that the respondents believe that the PC is a necessity, the Tablet PC is not.
In fact, Lenovo Group also aware of the emerging market opportunities, as one example, Lenovo Group's acquisition of the Brazilian CCE.
At the same time, Lenovo Group has carried out a series of Android 4.0 google investments in mobile devices business. Yang Yuanqing, chief executive officer of Lenovo Group, its smart phone business in China is expected to be profitable after two to three quartersStill, some analysts say, the Lenovo recently the attention of the smart phone business, making it impossible to concentrate on the development of the potential demand of the emerging market for PC. Sanford Bernstein senior analyst Merle (Alberto Moel) said that the association should focus on some preferred emerging markets, efforts to expand the PC business in these markets.
Although the mobile phone business may bring revenue growth, its profitability remains uncertain. CLSA Asia-Pacific technology industry research department director Bharat (Nicolas Baratte) mobile phone market only in high-end areas dominated by the iPhone and Samsung Galaxy series phones have huge profits, most other mobile phone manufacturers are involved in a fierce price war, leading to their profit margins are very lowThis is a very tough market for new participants," said Bharat.
Even at the base camp in China, Lenovo is also facing fierce günstige umts handys competition from companies such as Huawei and ZTE. In addition to the low-end models, these also force the introduction of more higher-priced phonesLenovo brand influence in China is not so powerful, it faces more severe challenges. Lenovo has recently started in India, Indonesia, Vietnam and the Philippines, sales of smart phones. In addition, Lenovo also plans to expand its smartphone business to more emerging market countries.
Merle said, if Lenovo smartphone strategy will focus on the Chinese market, more "fruitful", "In China, Lenovo can at least use its brand on the advantage, but in other markets, Lenovo facing the environment may be difficult and more.
Smart phones continue to drop in price from the market point of view, but according to industry sources, the domestic smart phone market demand is too strong, the number of mobile phone parts gradually in short supply in the state.
3.5-inch screen is already in stock Recently, handset manufacturers executives told reporters that the domestic function mobile phone manufacturers have been fully transformed into a smartphone manufacturers, while the 3.5-inch screen is the "entry-level" smartphone "standard", so almost every batch are looting empty. "Hundreds of millions of mobile phone users in China is being transformed into a smart phone user. 3.5-inch screen is the cheapest smart phone, low price and demand."
Out of stock is not only the 3.5-inch screen, the other the size of the screen is also in tight supply status. Smartphone Competition hardware parameters, the demand for high-quality screen is very nervous. "A relevant person in charge of the mobile phone manufacturers in Shenzhen, told reporters that some high quality screen, such as Sharp, production is very limited, the average monthly number of can only be produced one thousand, so come out and have been looting
In addition to the screen, some of the quality, the better smartphone chip is also in short supply. The official told reporters that an Internet phone manufacturers brand, due to strong demand, average a MTK phone chips pushed higher $ 1.
"The needs of the domestic market for smart phones is too strong," the person in charge of the mobile phone manufacturers in Shenzhen, told reporters that the the Shenzhen smartphone brand manufacturers at least 30. Our company are surrounded by smart phone production enterprises. "He said, mobile phone manufacturers in Shenzhen in the case of supply shortages are happy helping one another, help each other:" For example, our company, if you need a chip, another company just thousands of pieces, it will immediately purchase over this is the benefits of the mobile phone industry cluster. "
Hot global smartphone market, including China, but also to billige iphones 4 some international chip manufacturers share price surged. Recently, the famous American mobile phone chip maker Qualcomm shares rose to $ 61.99, the market value of up to $ 105.5 billion, more than the main production PC