Japanese Electronics Leader is Out of Recession

Japan’s Matsushita Electric Industrial Co., Ltd. Sanyo Electric announced the 29 companies and fully owned subsidiary of Matsushita Electric Corporation, aimed at restructuring and through the internal unity of the brand to expand business scale in the world. 2012 Matsushita plans to eventually integrate the three companies into three business areas. However, South Korea and China’s rapidly growing strength of enterprises, Panasonic may have to accelerate the pace of reform.

Panasonic currently has about 380,000 employees and nearly 700 subsidiaries. This century, the company has been repeated in a number of restructuring projects.

Sanyo Electric specializes in solar cells and other services, while Matsushita Electric lighting equipment has great advantages. Matsushita, a subsidiary of them, and a big objective is to strengthen the business environment and energy.

On the other hand, the operational merger of three companies will face some difficulties. Panasonic and Sanyo Electric in operating styles are very different, and Matsushita Electric is kept in the venture business when the wiring devices, has a strong independence. Smooth integration of three companies, there are still many uncertainties. Even if the planned restructuring, but also a year and a half.

Market participants said: “The confrontation with South Korea and other companies, it may be too late. If you take into account the Matsushita Electric and Sanyo Electric’s resistance to the two companies, it may be delayed for later.”

Because of television and video game business turnaround, Sony said Thursday it won in the second quarter of this year, 257 billion yen (293.9 million U.S. dollars) in net profit. Sony also raised its full year business forecasts. Sony’s chief financial officer, said there are various signs that the global economic recovery has finally started to let the Japanese electronics giant companies from the long-term way out of recession, so now is the Sony “to launch offensive” time.

Reduced and the yen as strong sales result in lower profits, Japanese electronics companies in the global economic crisis was a serious blow. In recent years, their laptops, such as television and behind such important areas as rivals South Korea and Taiwan enterprises.

But the global economic recovery and steady growth in emerging markets, and substantial cost reduction and restructuring measures, so the profits of Japanese electronics companies have started to grow.

Sharp, 29, said its second-quarter net profit of 107 billion yen, reversing a huge loss a year earlier.

Matsushita Electric Industrial Co. on the 29th that due to the improvement of sales revenue, it invested 818 billion yen, the company acquired two subsidiaries, Sanyo and Matsushita Electric Corporation of all of the shares, which give new impetus to its renewable energy business. Matsushita said the company’s net profit last quarter to 43.7 billion yen recovery.

Japan Center for Economic Research said that in the fiscal year ended in March this year, the Sanyo Electric is the world’s largest rechargeable battery manufacturer.

Kobe University, a researcher said: “The Panasonic may have a huge product catalog. It has recognized its subsidiaries hold the most promising technology. Now it is looking to these technologies into its core business.”

But he said that Japan’s major appliance manufacturers, the recovery is not yet stable, “They have benefited from the economic recovery, the recovery environment rather than their own efforts. Although they can rely on what the economic environment, but Their prospects remain uncertain. “

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