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The Japan Times
WORLD EYE REPORTS
NORTHERN ITALY







©THE JAPAN TIMES
Saturday, March 13, 2004

High-end products and strong work ethic spell success

JVC Italia ranks fourth in market share of Italy’s consumer electronics sector. But its focus on high-end products means it competes less in high volume and low cost segments. Instead, it aims to strengthen its positions in such specialized products as camcorders, LCD televisions, and car stereos.

Italy’s consumer electronics market is a competitive one. In a business environment dominated by a small number of multinationals that service the full range of the market, fully 40 percent of JVC Italia’s sales are in high end products such as speakers and entertainment systems, home audio and home cinema. JVC also stands out in specialized sectors such as camcorders (with an 18 percent market share) and car stereos, one of its fastest growing businesses.

Yozo Fujii, president of JVC Italia, explains that because JVC does not produce high volume at low cost it naturally holds a smaller market position than its competitors. Its goal is to increase market share of its camcorder business to at least 30 percent, promote its technologically innovative LCD televisions and strengthen its position in high end car stereos. Its new products and technology should be a hit if the host of awards from the European Imaging and Sound Awards (EISA) is anything to judge by.

Yozo Fujii, president of JVC Italia

Fujii has been with the company in Italy for four years. In this time, he has taken its turnover from $88 million to $128 million, a growth of 45 percent. He attributes the increase to growing brand-awareness of JVC in Italy and a close relationship with its dealers.

“Only 15 percent of people in Italy know JVC well,” he explains. “Forty percent have heard of us, while 40 percent don’t know us at all. That is why we have launched new advertising campaigns. We sponsored the 2002 World Cup and we will sponsor the 2004 European Cup. But ultimately, it is the quality of our products that speaks for itself.”

“One of the key elements for success has been the staff” comments Fujii – the only Japanese national in the company “We have increased staff numbers here considerably over the past three years. Here in northern Italy, it is no different from anywhere else I have worked before: Japan, the UK and Germany. People here enjoy working. Their mentality is about work.”

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