Glanz and acting a price war.docVIP

 PAGE \* MERGEFORMAT 8 Glanz and acting a price war This year in June, microwave oven industry, the ‘Big Brother’ Glanz also strike out, its best-selling 750-watt ‘Five Golden Flowers’ series microwave oven prices down 40%. At this point, Glanz once again launched a Chinese microwave oven market, a price war. Microwave oven market - two Tigers compete Galanz occupy the entire microwave oven market share of nearly Liu Cheng, China’s microwave oven market, a worthy leader of a group. Galanz is not the microwave oven market, a pioneer, but it is the market soon after launching a competitor to one another is difficult to resist the offensive, market share is climbing quickly became the market leader in China’s microwave ovens, . In early 1996, Glanz share of 20%, in August the same year the first time it somehow jumped to 50 percent price reduction since Glanz ongoing market expansion, had the highest share of 70% (in July 1998 ). Glanz from 1996 to 1998 to see the market rising trend, it is great not to rest until all the competitors, was swept out of momentum. In Glanz powerful offensive, the majority of our competitors have been unable to compete with them, or leave the microwave oven market, or running out of space in the struggle, as the market turnover role. However, Glanz encountered a tenacious competitor - Tianjin LG. Tianjin LG microwave ovens in China in early 1996 market, but soon became a strong competitor Glanz. In 1998, when Glanz is the cause of the peak time of soaring share of the way, Tianjin LG has not been driven out, but in 10% of the share to keep its own market. From late 1998, Tianjin LG to switch from the defensive to the offensive, and continue to seize new market, by April 2000, Tianjin LG’s share of nearly 30%. Obviously, Tianjin LG microwave ovens do not want to become a follower of the market, but as the market challenger’s posture, to Glanz frequent attack. From the microwave oven market, the competitive situation of these year