...Vizio and the Market for Flat panel TVs They begin as glass panels that are manufactured in high tech fabrication centers in South Korea, Taiwan, and Japan. Operating sophisticated tooling in environments that must be kept absolutely clean, these factories produce sheets of glass twice as large as king size beds to exacting specifications. From there, the glass panels travel to the Mexican plant located alongside the U.S border. There they are cut to size, combined with electronic components shipped in from Asia and the United States, assembled into finished TVs, and located onto trucks bound for retail stores in United States. It’s a huge business. U.S consumers spend over $35 billion a year on flat panel TVs. The underlying technology for flat panel displays was invented in the United States in the late 1960s by RCA. But after RCA and rivals Westinghouse and Xerox opted not to pursue the technology, the Japanese company Sharp made aggressive investments in flat panel displays. By the early 1990s Sharp was selling the first flat panel screens, but as the Japanese economy plunged into a decade-long recession, investment leadership shifted to South Korean companies such as Samsung. Then the 1997 Asian crisis hit Korea hard, and Taiwanese companies seized leadership. Today, Chinese companies are starting to elbow their way into the flat panel display manufacturing business. As production for flat panel displays migrate its way around the globe to low cost locations, there are...
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...Vizio is a relatively nascent player in the flat panel television industry. It has witnessed tremendous growth within the industry and, in turn, has seen sales multiply by approximately more than ten-fold within a three year span. This analysis will examine the flat panel industry’s competitive landscape, the success of Vizio’s strategy, and whether Vizio’s strategy is sustainable for the long term prospects of the company. To get a better understanding of the flat panel television industry, let’s consider the competitive forces. When we consider buyers, there are two groups to keep in mind – the retailers (Walmart, Best Buy, etc.) and the consumers. As it stands today, there is not much price elasticity for consumers. They tend to purchase based on brand recognition. Televisions tend to be a fairly significant investment for the average household and quality, especially with the introduction of high definition, seems to be of paramount importance. Hence, companies that have developed a strong reputation for quality have historically done well. With that being said, flat panel televisions are becoming more popular and the industry continues to grow. In terms of channels, consumers are starting to buy more televisions from large discount retailers, which allows some smaller producers to be appeal to a more price conscious customer base. Suppliers comprise of companies that sell components and manufacturers that assemble these components. The article suggests that suppliers have...
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...Vizio is a California based company, created by a Tiawanese immigrant, that sales flat panel TVs. Vizio started production in 2004. While based in California, “Vizio outsources all of its manufacturing. For each model, they put together a team of suppliers around the world to do their manufacturing. This consists of getting the panel from South Korea, electronic components from China, processors are in the United States, and each model is assembled in Mexico. (Hill, 8) The reason that manufacturing is migrating to different locations are because of the competitive market of flat panel TVs, countries becoming democratic, labor wages are lower, and declining trade and investment. “As production for flat-panel TVs migrates its way around the globe there are clear winners and losers.” (Hill, 8) The beneficiaries include consumers, the company itself and company shareholders. The losers include competitors and the box TV manufacturers. Since Vizio relies on a global manufacturing process, if the government put a restriction on manufacturing outside the US Vizio would be in an unfavorable state due to price, quality, raw materials, and employment situations. By manufacturing outside of the United States, Vizio’s sales have ballooned by $3 billion in 2012 and owns 18-19 percent share of the US market while only employing 500 employees. (Hill, 8) 1. So you may ask why do you do all the manufacturing outside of the United States. Vizio manufacturing of flat panel TVs are migrating...
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...Introduction The focus of this case study is on the Vizio company and market for flat-panel TVs. However, most importantly Vizio’s unique use of globalization of production which gave them a competitive advantage in the market just as it was peaking. I found it important to do some research on the Vizio company to get a solid understanding of their background and history. The unique blend of origin, ethnicity and country of residence through much of his youth may have played a strong role in CEO, William Wang’s success with globalization. What started as a consultant business in 2002, later helped Gateway launch the first flat-panel TV under $3K and then Vizio found a niche in the flat-panel TV market which set them apart from their competitors. Globalization makes them successful today which is highlighted in the case. Their products are manufactured in Mexico with parts from across the world. Even their core mission and business model states, “VIZIO® lowers cost and increases efficiency by creating and orchestrating mutually desirable global partnerships.” This is definitely a company with a goal of producing affordable producing and passing on efficient manufacturing costs is exactly how they do it. Question #1: Why is the manufacturing of flat-panel TVs migrating to different locations around the world? Flat-panel TV technology is much like other products being manufactured around the globe in that the companies that are manufacturing the products are trying to...
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...LEADERSHIP STYLES AND BASES OF POWER Studies of leadership styles are diverse in nature and multiple definitions have been offered. However, leadership style can be defined broadly as the manner and approach of providing direction, implementing plans, and motivating people. Bases of power refer to the methods that managers and leaders utilize to influence their employees. When examining bases of power, the concept of authority must also be considered. These two are interconnected attributes tied to the behavior of superiors over subordinates. In their article, "Are There No Limits To Authority?", David Knights and Darren McCabe explain that "power should be understood to be a condition of social relations. Thus, it is erroneous to ask who has power. Instead, it is necessary to explore how power is exercised." In turn, the nature of how power is exercised is a workable definition for authority. In short, authority and power are intertwined, with power being the ability to do things or have others do what one has ordered while authority is the foundation on which that power is built. STYLES OF LEADERSHIP Three different styles of leadership were identified by Kurt Lewin, renowned social scientist, in 1939: authoritarian, democratic, and laissez-faire. His results indicated that the democratic style is superior to the other two styles. Attributes of each style are out-lined below • The authoritarian makes all decisions, independent of member's input. The authority figure...
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...Apple 1.Supply Management Model Apple gains a massive competitive advantage mainly due to its operational excellence. To abbreviate, it is Apple’s control over the whole supply chain, from designers to suppliers, from logistics to retail stores, that made Apple’s products popular and profitable. Apple’s designers work close to its suppliers and manufacturers, optimizing the old product lines to gain production competence at the very beginning. Apple then makes a great deal investments to suppliers and orders a high volume, so that it can earn stable production and low prices. By aligning with the suppliers, Apple not only gains high profit margin, but also handicap its competitors. As for the logistics, Apple also exerts control over carriers by making massive orders to gain lower cost. Electronic monitors and employees are used to account for every unit. Finally, at retail stores, Apple keeps tracking of the demand by day and adjusts its production accordingly. 2.Strengths and weakness, and potential risks Apple’s strength of the supply management model is rooted in its close alignment with its business strategy. Its creative supply management functions as a drive to its innovation for a decade. The strong control Apple exerts over the supply chain brings it agility from design to retail stores. Meanwhile, Apple earns bargaining power with suppliers by volume. This advantage makes Apple competitive because with a lower price quote from suppliers, it could lower the price...
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...Paper Flat panel displays encompass a growing number of electronic visual display technologies. They are far lighter and thinner than traditional television sets and video displays that use cathode ray tubes (CRTs), and are usually less than 10 centimetres (3.9 in) thick. Flat panel displays can be divided into two general display device categories: volatile and static. In many applications, specifically modern portable devices such as laptops, mobile phones, digital cameras, camcorders, point-and-shoot cameras, and pocket video cameras, any display disadvantages are made up for by portability advantages. Most of the modern flat-panel displays use LCD technologies. Most LCD screens are back-lit to make them easier to read in bright environments. They are thin and light. They provide better linearity and higher resolution. A multifunctional monitor (MFM) is a flat panel display that has additional video inputs (more than a typical LCD monitor) and is designed to be used with a variety of external video sources. In many instances, an MFM also includes a TV tuner, making it similar to a LCD TV that offers computer connectivity. ------------------------------------------------- History[edit] The first engineering proposal for a flat panel TV was by General Electric as a result of its work on radar monitors.[when?] Their publication of their findings gave all the basics of future flat panel TVs and monitors. But GE did not continue with the R&D required and never built...
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...Individual Case Study: Vizio and the Market for Flat-Panel TVs International Business: Strategy and Structure [Author] Table of Contents Introduction 3 Vizio’s Background 3 Effects of Globalization 3 Recommendations 5 Conclusion 6 Work Cited 7 Introduction The objective of this case study is to analyze the success of Vizio and discuss how globalization has affected the manufacturing of flat-panel TVs. What effects do companies that globalize their production have on their competitors and other participants in the marketplace, and what role can the government take to make the situation the best for all the stakeholders? These questions will be answered with focus on strategies that enterprises can implement to be successful and grown in the future marketplace. I have chosen this case study because I believe globalization is one of the most important factors to evaluate when you are leading a business in today’s economy. Vizio’s Background Vizio is a California based Flat-Panel TV producer. It was founded in 2002, and is most known for their affordable Flat-Panel TVs. company became the largest provider in its field in the United States with a 21.7 % market share in 2009. Anna Phillips, (2012), International Business: Strategy & Structure Effects of Globalization Globalization is defined in the textbook as “The shift toward a more integrated and interdependent world economy. Globalization has several facets, including the globalization...
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...External and Internal Environmental Analysis “VIZIO, Inc. was founded in 2002 by William Wang with the idea that everyone deserves to own the latest technology”, VIZIO started out providing consulting services for Gateway computers with three employees, today there are over 160 employees, do to outsourcing a majority of the work. VIZIO is “still hard at work taking entertainment freedom by storm”, through adding computers, tablets, and Apps (VIZIO, 2012 para.1). There are various external issues that can persuade VIZIO to make the high-quality decisions in order to select a course of action, which will have an effect on the company’s internal structure. The external environment factors are influenced by one another they are: remote, industry, and operating environment. In a competition situation, these unified features summarize the core of the prospects and threats that VIZIO confronts. In order to track marketing prospects, VIZIO inc. should in addition be conscious of its own internal assets, qualifications, and skills. A method commonly applied by administrators or supervisors is the SWOT analysis denotes the internal Strengths and Weaknesses of an individual business and the environmental opportunities and threats a business confronts. This advance assists managers to consider VIZIO’s internal capabilities, while making use of the findings to enhance the strategic alternatives. Internal Environment VIZIO has various advantages compared to their competition...
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...Vizio, a newbie in the computer & electronic industry, the company has accomplished some huge success in a short time. The company has even managed to top some of its bigger rivals such as Samsung Electronics Company, and Sony Corporation. Vizio has become very competitive in the U.S. market; it has conquered making quality TVs at lower prices. Like any other start-up company Vizio, has had its challenges. Vizio is now trying to take the challenge of becoming an IPO company. Chief Executive William Wang of the Irvine, Calif., stated in an interview (2009) that the companies aim is to become an initial public offering organization within the next five years. Vizio like Gene one is financially stable and grew from a nobody to a very well known company in the United States. The indentified issue with Vizio is though they plan to become an IPO within a certain time frame it appears that they really don’t have the focus or the true ambition to move forward with this plan. Gene one had lead players that seem to be slow-full to the idea of an IPO as well. If Vizio plans to make its mark in this sector they will have to be more willing to make this plan happen. The way that CEO William Wang handles the issue of becoming an IPO is by his confidence in his company. “Wang says Vizio will keep growing by coming up with ways to undercut the colossi. He is not wanting for confidence. He also states in his own words, "Hey, before I was 30 years old, I made my first million," he says. "Before...
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...Vizio and the Market for Flat Panel TVs Operating sophisticated tooling in environments that must be kept absolutely clean, fabrication centers in South Korea, Taiwan, and Japan produce to exacting specifications sheets of glass twice as large as kingsize beds. From there, the glass panels travel to Mexican plants located alongside the U.S. border. There they are cut to size, combined with electronic components shipped in from Asia and the United States, assembled into finished flat panel TVs, and loaded onto trucks bound for retail stores in the United States, where consumers spend over $35 billion a year on flat panel TVs. The underlying technology for flat panel displays was invented in the United States in the late 1960s by RCA. But after RCA and rivals Westinghouse and Xerox opted not to pursue the technology, the Japanese company Sharp made aggressive investments in flat panel displays. By the early 1990s Sharp was selling the first flat panel screens, but as the Japanese economy plunged into a decade-long recession, investment leadership shifted to South Korean companies such as Samsung. Then the 1997 Asian crisis hit Korea hard, and Taiwanese companies seized leadership. Today, Chinese companies are starting to elbow their way into the flat panel display manufacturing business. As production for flat panel displays migrates its way around the globe to low-cost locations, there are clear winners and losers. U.S. consumers have benefited from the falling prices of flat...
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...Strategic Planning3 Strategic Capacity Plan 5 Portfolio Management Process6 Project Selection Criteria…………………………………………………………………………. Project Management Plan Risk Assessment…………………………………………………………………………………… Change Management Plan…………………………………………………………………… Resource Utilization…………………………………………………………………………… References………………………………………………………………………………………… Company Background VIZIO, Inc. was founded by William Wang in 2002 with the idea that everyone deserves to own the latest technology. Over the years, the company has grown from having three (3) employees at its inception in 2002 to having nearly 200 employees. VIZIO ‘s primary line of business is televisions (TV), and remains the first American brand in over a decade to lead the United States in LCD HDTV sales. While VIZIO excels in LCD sales, the company continues to add new innovative products to their portfolio such as blue ray players, tablets, notebooks, desktop pc’s, home theater sound bars, wireless subwoofers, motorized wall mounts, as well as innovative apps for smart TVs. VIZIO’s uncompromised technology and incredible value has continued to make VIZIO America’s best-seller of LED, LCD, and HDTV and the industry leader in sales growth. Company Vision: “To be the industry leader in consumer electronics by consistently delivering the latest technologies at the most affordable price.” Strategic Planning Company Mission The company mission is where the vision meets value and has three main points: (1) Visionary Products...
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...Product Vizio uses unprecedented technologies to ensure that their products are of the highest quality available. This approach has helped the company prosper and grow to great levels in the entertainment industry. Vizio now offers everything from multiple types of televisions (LCD, LED, 3-D) to home theatre products, tablets, and wireless routers. While their main product remains to be their televisions, the variety of products that they now offer are rapidly becoming popular amongst consumers in North America. Although Vizio’s newer products are a huge success, we believe that for now Vizio’s televisions would be the best product to offer in the Australian market. When looking at the high demand for television in the Australia market, it is easy to see why Vizio will not experience many obstacles in the selling of their televisions there. Being the number one media outlet for Australians, televisions are commodities that manufacturers are always competing with one another to try to gain the advantage in. Vizio has gained that advantage in their televisions and have used it to gain the upper hand on the companies in North America. They have recognized the desires of their consumers, and have thus used uncompromised technology to produce a product that is of incredible quality while offering it at a lower price than of competitors. In 2010, Vizio got the award for offering the highest rated LCD high-definition (HD) television. Their current lineup can even offer...
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...VIZIO GV52L FHDTV10A User Manual Dear VIZIO Customer, Congratulations on your new VIZIO GV52L FHDTV10A LCD Television purchase. Thank you for your support. For maximum benefit of your set, please read these instructions before making any adjustments, and retain them for future reference. We hope you will experience many years of enjoyment from your new VIZIO GV52L FHDTV10A Television. For assistance, please call 949-428-2525 or email us at techsupport@vizio.com. To purchase or inquire about accessories and installation services for your VIZIO LCD HDTV, please visit our website at www.vizio.com or call toll free at 888-VIZIOCE (888-849-4623). We recommend you register your VIZIO GV52L FHDTV10A either at our website www.vizio.com or fill in your registration card and mail it in. For peace of mind and to protect your investment beyond the standard warranty, VIZIO offers onsite extended warranty service plans. These plans give additional coverage during the standard warranty period. Visit our website or call us to purchase a plan. Write down the serial number located on the back of your GV52L FHDTV10A. __ __ __ __ __ __ __ __ __ __ __ __ __ __ Purchase Date _____________________ VIZIO is a registered trademark of V, Inc. HDMI logo and “High Definition Multimedia Interface” are registered trademarks of HDMI Licensing LLC. Manufactured under license from Dolby Laboratories Dolby and the double-D symbol are trademarks of Dolby Laboratories Version...
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...Date Strategic Choices and Evaluation Value Discipline Strategies These are strategies that will allow Vizio Inc. to provide the best offering in their market places by excelling in a specific dimension of value. The company should adopt the best value discipline that is compelling and unmatched and off course one that maintain the threshold standards on other dimension of value. There are three different kinds of value based on the value proposition namely operational leadership, product leadership and customer intimacy (Treacy & Wiersema, 2004). Operational Excellence Vizio Inc. is an electronics company that need to be operational excellent to ensure its definite and rapid growth in all its strategic activities. The company ought to deliver a combination of quality HD entertainment products including home audio systems, high definition televisions, personal computers, tablets and accessories, efficient prices for its entertainment products and also enhance the easiness of purchase that no any other competitor in the market can match. The company should start viewing itself as not a service innovator or product innovator and should also not cultivate one-to-one relationship with the customers. The company should learn to execute extra-ordinarily well and their proposition to their mass customers should be guaranteed low prices and hassle-free services. Vizio Inc. should adopt the four characteristics of operational excellence value discipline to enhance growth which...
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