Реферат: 5 Year Plan Essay Research Paper Table

9.Hungary’s GDP growth for 1999 is approximately 4 percent, with a USD 3,600 GDP per capita. Due to import liberalization policies and Hungarian consumers’ preferences for foreign products, now is a good opportunity for European Union countries and American firms to penetrate this market. The size of the Hungarian market for household consumer goods reached $580 million in 1998, and is expected to grow to $600 million by the end of 1999.

10. Based on a marketing survey, only few homes have electric razors for women or wet-dry vacuum cleaners. Hungarians prefer Braun; Elin, Moulinex and Philips household appliance brands but Hungarian-made Hajdu/Energomat hoovers and coffee makers produced in Szarvas (central Hungary) are also among the top favorites.

11. Based on another public opinion poll, 6 percent of those asked consider purchasing washing machines and microwave ovens for their households. Only 3 percent is planning to buy deep-freezer, 2 percent is planning to buy fryers and only 1 percent said they plan to buy a dishwasher. If these plans are carried out, Hungarian households with microwave ovens will reach 40 percent next year, while the ratio for washing machines will be 55 percent. There was a heavy increase in front-loading washing machines; while only 8 percent of families had such washing machines in 1995 this number increased to 14 percent by the end of 1998. The top-loading washing machines have a 40-percent market share but most of the households still have the traditional washing machines and spin-dryers.

12. End users for household consumer goods include the following business and private entities:

?Importers/Distributors specializing in household consumer goods,

?Retail stores selling mixed product lines but representing one or few brands of household appliances,

?General Public, End Users and

?Hotels and Hospitals.

vCompetitive Analysis:

1. Domestic Production

The major domestic producers are Electrolux Lehel Hutogepgyar Kft., Hajdusagi Iparmuvek and Elekthermax Rt.

Electrolux Lehel Hutogepgyar Kft.?established in 1991 ?over 3,600 employees. ?Their manufacturing unit located in Jaszbereny (North-East Hungary).?Electrolux-Lehel is the largest unit manufacturing Electrolux appliances in Central-Eastern Europe. ?It manufactures mainly refrigerators with Zanussi and Electrolux brands. The vacuum cleaner production was taken over by the Jaszbereny factory only in 1997 when the Italian Electrolux production unit refused to work in two shifts. ?More than 80 percent of the production goes for exports providing good turnover for the company.

Hajdu Hajdusagi Iparmuvek Rt.?the oldest manufacturer of washing machines in Hungary. ?established in 1952 and transformed into Plc. in 1993. ?more than 1,000 employees. ?It has been manufacturing non-automatic washing machines since the 1970s but introduced the new automatic, oEnergomato branded top-load washing machine in the middle of the 1980s. These brands have been popular in the market for a long time as spare parts supply was always assured at a reasonable price and the retail price of these items made them extremely competitive with the better but more expensive Western brands. ?Recently, the price level of Energomat machines has reached the level of its Western competitors so the number of consumers buying alternative products increased. ?Hajdusagi Iparmuvek manufactures not only washing machines but spin-dryers and other small household machines as well in accordance with Western ISO 9001 standards.

Elekthermax Rt.?originally established in 1920 but was privatized in 1990. ?Currently, the Dutch Elekthermax Holding holds 97 percent of the shares and the employees hold 3 percent.?around 800 employees ?manufactures electric and gas-operated owens, cookers and heaters as well as rost-free taps. ?Most of its exports are shipped to Germany, Poland and The Netherlands.

Szarvasi Vas- es Femipari Rt.?established in 1952 and transformed into a Plc. in 1997. ?over 400 employees.?Its main activity is production of electric tea and coffee makers, deep fat fryers and lighting appliances. Its main export markets are Germany, Romania, Bulgaria, Slovakia and Sweden.

2. Foreign Competitors

a) Third-Country Competition

Third-country competition for household appliances is extremely significant. In general, European Union manufacturers have gained the largest market shares in the past seven years. German, French, Dutch, Korean and Italian companies’ products are available in all shops and stores specializing for household appliances. The product lines include refrigerators, washing machines, vacuum cleaners, hair dryers, and kitchen appliances. Dutch and German companies concentrate on offering a wide range of kitchen appliances, washing machines, irons etc. The following European companies are active on the Hungarian market:

CompanySource CountryAvailable Products

Bosch-SiemensGermanykitchen appliances, vacuum cleaners, irons

BraunGermanyhair dryers, irons, kitchen appliances

AEGGermanywashing and drying machines

SamsungKoreaTV/video sets, microwave ovens

GoldstarKoreaTV/video sets, microwave ovens

PhilipsNetherlandskitchen appliances, HI-FI sets

HitachiJapanTV/video sets, kitchen appliances

SharpJapanTV/video sets, HI-FI sets

PanasonicJapanTV/video sets, HI-FI sets

MoulinexFrancekitchen appliances