Consumer Electronics (2024)

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Consumer electronics industry comprises companies that operate by manufacturing, designing, producing, supplying and distribution of electronic goods, accessories, equipments and appliances. The global consumer electronics industry involves the manufacture, distribution and sale of communications and entertainment devices such as digital and video cameras, telephones, stereos, MP3 players, DVDs, VCRs, calculators and televisions. A great deal of manufacturing takes place in regions were labor costs are relatively low such as Asia. Company profiles are varied, ranging from large multinational firms employing more than 100,000 workers to small firms producing one product, with less than 50 employees. A major challenge faced by consumer electronics manufacturers of all sizes is securing copyright to products. Consumer electronics manufacturers continue to focus on innovation in next generation technology to meet consumer demand.

The industry is expected to gain some relief as the economic environment has become more favorable, seeing consumers less reluctant to dispose of rising disposable income. Smartphones are expected to continue to boost this sector's growth, and connectivity is expected to be a key as consumers will seek to link up home and mobile applications and devices. Factors such as new innovative products, falling selling prices and growing household incomes, particularly in emerging markets in Asia, Eastern Europe and South America, have supported demand for consumer electronic products. Market saturation is becoming an issue, though, and industry players are being forced to innovate and introduce new attractive products. In 2013, the global consumer electronics manufacturing industry is expected to generate revenue of $223.6 billion and employ 2.1 million people, and the growing reliance on the web in business and personal spheres is making close relationships with communications operators vital.

2 . Major Consumer Electronics Industry Players

The world consumer electronics market is expected to see yearly growth of 7% between 2012 and 2015, according to RNCOS. The 3D TV will be the fastest-growing segment, with TV makers adding a 3D feature to their high-definition flat-screen products more systematically. World consumer electronics sales are predicted to record 10% growth in 2011, reaching almost $965 billion, compared with 13% in 2010 when sales reached close to $875 billion, reports the Consumer Electronics Association. The global home entertainment software market generated sales of almost $30 billion in 2010, according to MarketLine. Console software leads the market, reaching close to $23 billion in 2010, or over 77% of the overall market. Market growth is expected to slow to less than 4.5% yearly through 2015, remaining under $34 billion.

Digital entertainment content demand is fuelled by a shift to online and mobile platforms, with homeowners watching TV and videos on-demand, play games and store music and movie collections with access from within the home and outside. And more importantly the global games software market is expected to reach almost $54 billion in 2014, according to MarketLine. Console games represent almost 90% of the overall market and in regional market terms, the Americas represent 43% of the overall market. Consolidation is a major factor in the industry, allowing games software sellers to snap up greater market share. Leading products include Xbox, Playstation 3 and the Nintendo Wii.

2 . Major Consumer Electronics Industry Players

Major players in the consumer electronics industry include Samsung, Sony, Apple, Nokia, BlackBerry, Videocon, Nintendo, Microsoft, Lenovo, Dell, HP, and HCL.

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