Foxconn accelerates layout in southwestern China, targeting LED market

Foxconn, reinvested by Taiwan's Honghai Group, is now stepping up its presence in southwestern China, with Guiyang, Guizhou Province, as the strategic focus.
 
      

In Guiyang, Foxconn is exploring a new model for entering the domestic demand market on the mainland. At the end of last year, Guizhou Foxconn Demonstration Factory (Foxconn Commercial City) was established in Jinyang Science and Technology Industrial Park, High-tech Zone, Guiyang City. It consists of two companies, Guizhou Fuhuada Precision Electronics and Guizhou Fulian Electronic Technology. It is a front and back shop factory, integrating production, sales, display and product experience as one new sales demonstration factory. The factory mainly produces TV, tablet computer, electronic whiteboard, led and other four categories of products.
 

Factory performance in front of and behind Foxconn Business City is waiting for efforts

After Foxconn transformed into a channel and a private brand, Guiyang Foxconn Trade Mall, the first "front store and back factory" in the mainland, consumers can see the product production process and experience the product, while reducing sales channel costs. However, more than four months after the establishment of Guiyang Foxconn Commercial and Trading City, the results have not been brilliant.
 

Guiyang Foxconn Trade City, located in Jinyang New District, is divided into a front store and a back factory, separated only by a transparent glass window. The front store displays products, including TVs, mobile phones, LEDs, electronic whiteboards and various accessories. It is a new sales factory integrating product sales, product display, product experience and industrial production. Guizhou officials said that this is Foxconn’s first demonstration factory in Guizhou and also Foxconn’s first commercial demonstration factory.

The factory workshop is only separated from the front store by a glass window. While consuming, customers can see the production process of the products they consume, experience the technological content contained in them, and perceive the authenticity and value of the products. Through the large glass windows, consumers can witness the clean and orderly workshop and advanced equipment, including three production lines for thin TVs, LEDs and electronic whiteboards.

Foxconn has developed the "InFocus" LED LCD TV, which uses the world's most advanced 10th-generation LCD panel and high technology to present ultra-fine images. In addition, there are six types of seven-inch tablets of different specifications, and four types of smart phones ranging from five inches to 5.5 inches, also called the "InFocus" brand.

However, the on-site sales situation in the Trade City was deserted and the crowds were sparse. Xie Mengru, deputy manager of Hon Hai, said that the current sales performance still "needs everyone's help" and is still working hard.

A Guiyang citizen said that the 70-inch TV sold in the trade city is priced at 11,999 yuan, while a dealer online sells it for 10,780 yuan. It doesn't seem cheaper to buy on-site at the Trade City, unlike Foxconn's promotion of small profits but quick turnover minus the cost of sales pipeline links.