Presentation on electronics industry

By:Josphin

Shashank

Electronics Industry.

• Business of creating,designing,producing and selling devices such as radios, televisions, cameras, stereos, computers, semiconductors, transistors etc.

Evolution

• The electronics industry came in 1900s when the electron tube having two elements was invented by John Ambrose Flemming.

• Till the 1950s the techniques developed were known as “radio techniques” as they were mainly  used in the radio appliances.

•  It was the 1960s when the analog devices were invented that brought a revolution in the electronics industry.

•  In 1970s the consumer electronics were developed.

In India...

• The electronic industry in india took off around 1965• Its was followed by consumer electronics mainly with

transistor radios, black & white TV, calculators and other audio products

• In 1982 in the history of television in india the government allowed thousand of colour TV sets to be imported into the country

• And now growing at a brisk pace• It is currently US$ 32 billion• Constitute 0.7 per cent of global electronic industry

• The output of the electronic hardware industry in india is worth US$ 11.6 billion at present

• India is also an exporter of a vast range of electronic components and products for the following segments

a) Display technologies b) Entertainment electronics c) Optical Storage devices d) Passive components e) Electromechanical components f) Telecom equipment

• The export performance of electronic goods is expected to touch US $ 15 billion by 2013-14.

• In the year 2005 India’s electronic consumption was around 1.8 %.

• It is likely to touch 5.5 % in 2010. According to a study conducted by ISA and Frost Sullivan, India’s semi-conductor market would grow by 2.5 times.

• The share of electronics production in India's GDP has been growing over the years 1.6% share in India's GDP in 2001-02, it has increased to 1.95% in 2009-10.

The market for electronic products in India has witnessed significant growth in recent years due to several factors, such as :-

• Manufacturing growth• ICT penetration• Growing disposable income• Retail boom and• Attractive finance schemes

Challanges

• Heavy taxation:- total tax around 25-30%• 65% of indian population still lives in villages•  increase in price wars due to the entry of new players in

the market  • Poor distribution network in semi-urban and rural areas•  Low awareness of consumer electronics products in rural

India•  Presence of gray market in consumer electronics products,

especially in DVD player, music players. Companies need to increase focus on product differentiation to address various segmental specific needs.

Market Size

The electronic industry in India constitutes just 0.7 % of the global electronic industry

Major Players

CURRENT SCENARIO

• India’s consumer electronics devices market, defined as the addressable market for computing devices, mobile handsets and AV products, is projected at about US$29.4bn in 2011.

• This is expected to increase to US$50.6bn by 2015, driven by rising incomes and growing affordability. Only nine out of 1,000 people in India own a computer, one-fifth of the level in China, while Indian handset population penetration is about 57%. 

• Spending on consumer electronics devices is projected to grow at an overall CAGR of 14% through 2015, with the key segments including low-cost mobile handsets, colour TVs, set-top boxes and notebook computers.

• In 2010 demand for LED TV sets grew strongly, and touchscreen phones were another growth area.