Going global seems to be the mantra for Videocon as the electronic goods major signed acquisition deals with two of the world’s most popular companies. The company has some big plans for its future.

As Indian businesses start to go global, Videocon has proved that it is right in front.

India Inc. is on an acquisition spree with many Indian companies vying to go global through acquisition of foreign companies. Taking cue from some of the Indian MNCs like Tata, Infosys which have made their mark in the global market, Videocon has aimed at the global market for consumer electronic goods and equipments. Venugopal Dhoot, Chairman, Videocon Group Industries, has to be credited with the evolution of the company and its entry into the global business arena. The son of a sugar mill owner, Dhoot entered the Indian consumer electronic and household appliances market with the launch of the `Videocon' brand in 1987. Videocon, a household name in India, manufactures consumer electronic goods and household appliances like color televisions, audio systems, washing machines etc. It also manufactures components like glass shells, compressors for refrigerators and Color Picture Tubes (CPTs) for televisions.

Videocon, which has been in the Indian consumer electronic market for nearly two decades, has ruled the television and washing machine segments for quite sometime. But during the late 1990s, the domestic market became crowded as many multinational companies entered India and over a period of time, have placed themselves comfortably against the Indian companies giving the domestic companies a tough time in the market. The major onslaught has been done by the Korean electronic majors LG and Samsung and Videocon lost considerable market share to those companies. Having seen its market share come down marginally, Videocon has sought to revive its fortunes through its brand flanking strategy by marketing brands such as Sansui, Akai, and Hyundai etc. Videocon has been successful in adopting the brand flanking strategy which allowed it to retain its market share as the competitors moved away from the low end of the market. Videocon will now add Electrolux, Kelvinator and Allwyn to its list of brands which comprises Sansui, Toshiba, Akai, Electrolux, Kenstar, Hyundai, and York.