Daewoo Anchor 3rd Production Base In South

Daewoo Anchor Electronics Ltd.will set up its third production base in the south soon. Investment in the venture has been pegged at Rs.180 crore.

While the exact location of the plant is yet to be decided, the production centre will be close to "high consumption areas," says T.H.Shin, managing director, Daewoo Anchor Electronics Ltd.

The company already has manufacturing bases in Pune to cater to the western region and Noida to cater to the northern market.

To be operational in 1998, the new facility will have the capacity to make a minimum of two lakh colour television sets and one lakh each of refrigerators and washing machines.

 

"This will help us overcome the high costs of transportation, and the ten-day lag that it takes to transport goods from the north to the southern states," Shin said. while launching the Daewoo range of refrigerators, washing machines and CTVs. colour TVs in the south.

The company's range of microwave ovens, airconditioners, audio and video equipment will be introduced in the second phase of the company's operations. In terms of market share, the company aims to capture 23 per cent in all the products it makes, says Girish S. Bapat, senior general manager (marketing and sales).

While its production facilities are nearing completion for the low-end products, Daewoo is already in the premium segment in three products - TVs, refrigerators and washing machines. According to Shin, Daewoo has attained market leader status in both TVs and frost-free refrigerators in less than four months.

Admitting to be a late entrant in the field, Shin, however, believes Daewoo has an edge because of its superior technology. "Product differentiation will be our key to success," Shin said.