Toshiba Lifestyle Products & Services Corporation
Toshiba Lifestyle Products & Services today announced reforms of sales strategy and operations for white goods in China and ASEAN and for countering the impacts of the stagnating Japanese market and yen depreciation. The reforms will support the company in strengthening competitiveness and improving profitability.
In China, Toshiba Lifestyle Products & Services will tie-up with consumer appliance manufacturer Skyworth Co., Ltd., a leader in the Chinese TV market, in the manufacture and sales of refrigerators, washing machines and vacuum cleaners. The agreement, which comes into effect in October, will give Skyworth nationwide sales rights for the three products. Toshiba Lifestyle Products & Services' two sales subsidiaries, Toshiba HA Sales (Nanhai) Co., Ltd. and Toshiba Products & Services (Shanghai) Co., Ltd. will be wound down.
Toshiba Lifestyle Products & Services aims to expand sales of its products by fully utilizing Skyworth's robust nationwide sales and service network.
On the manufacturing side, Toshiba HA Manufacturing (Nanhai) Co., Ltd. a manufacturer of refrigerators and washing machines, and Toshiba Home Appliances Manufacturing (Shenzhen) Co., Ltd., a manufacturer of vacuum cleaners, will both receive a 5% capital injection from Skyworth. Toshiba Lifestyle Products & Services will enhance product competitiveness of refrigerators, washing machines and vacuum cleaners for the Japanese market by making use of Skyworth's procurement strengths and know-how in low-cost operations. After-sales service will be jointly conducted by Toshiba Lifestyle Products & Services and Skyworth.
In ASEAN, Toshiba Lifestyle Products & Services has shifted centralized marketing and sales functions at Toshiba Consumer Marketing (Singapore) Pte., Ltd., a sales subsidiary in Singapore, to Toshiba Consumer Products (Thailand) Co., Ltd. in Thailand. Initiated in July this year, the move has reduced fixed costs and enhanced efficiency by integrating regional manufacturing, engineering and sales operations.
Toshiba Lifestyle Products & Services will continue to improve profitability by enhancing the competitiveness and sales capabilities of its white goods business.
Overview of Skyworth Company name
Skyworth
Established
1988
Revenue
40,135 billion Hong Kong dollars (approximately 622.8 billion yen) (FY2014)
Headquarters
Shenzhen, China
Representative
Yang Dongwen
Businesses
TVs, AV related devices, fridges and washing machines and other manufacturing, sales and services for products
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Toshiba Lifestyle Products & Services Corporation 
