Thomson Foshan Color Picture Tube Co.Ltd.——The CPT Industrial Situation And Competition Strategy

Thomson Foshan Color Picture Tube Co., Ltd, a Sino-French joint venture engaged in the manufacture of color picture tube (CPT) for TV set, is the last JV approved by China. Soon after the establishment, the JV encountered the very fierce market competition: the TV set market changed drastically. CPT Manufacturing has very low flexibility. Either the TV set or CPT is sold at a very low price. This kind of situatioaiias caused rather high inventory at the manufacturer抯. How to survive and develop with benefit? This is the problem Thomson Foshan has been facing in 2001. Starting with analyses of the TV set market and price competition, this thesis gives a picture of the history of CPT industry in China, background of Thomson Foshan and the characteristics of CPT business as well. In this thesis, the five competitive forces have been described which have a great impact on CPT industry. The discussions and assessment of Thomson Foshan抯 resource strength and weakness, it抯 external opportunity and threats, advantages and disadvantages refer to the competitors, and the value chain will help Thomson Foshan to establish its conipetiton strategy while strengthening its competitive strength. In the meantime this thesis also touches upon the functional strategy in parallel with the competition strategy.