Thanks to the rising affordability of ICT products and falling costs of telecommunication services, digital devices have become part of the daily life of ASEAN consumers.

This has boosted the demand for consumer electronics accessories, including peripherals for cell phones, laptops, digital cameras, home audio and wearable electronics.

A Battlefield for Global and Local Brands

In the mainstream consumer electronic sector, international brands such as Samsung, Apple, Sony, LG, Canon, Panasonic and Pioneer have strong presence in ASEAN. These global brands have developed strong consumer awareness and preference through aggressive advertising and appointing famous celebrities to be brand ambassadors.

Samsung dominates in most electronic categories, including smartphones, television sets and home audio, with the largest market share in Indonesia, Malaysia, and Thailand.[1]

That said, low-priced and mid-range smartphones from other brands, especially Chinese mobile companies such as Oppo, Vivo, Xiami, ZTE, Lenovo, Wiko, Asus and Huawei, are also vying to tap growth opportunities and increase their market footprint across ASEAN through various channels.

In ASEAN, the electronic accessories sector is highly fragmented with the presence of many premium and unknown brands.

Many established smartphone brands, like Samsung, Apple, Sony, Huawei, Lenovo, and LG are launching electronic gadgets to get a piece of this highly lucrative market. While global brands continue to ride built up consumer trust and aggressive advertising, local brands usually compete on price, with such brands are popular in Indonesia and Thailand.

In terms of electronic accessories, global brands such as Apple focus on premium products, like cables and earbuds offered in the Apple Store.

This has given ample room to new brands to sell similar products of near-identical quality at a lower price. For other products not covered by global brands, like multi-port wall plugs and portable chargers, there are numerous brands offering innovative electronic accessories, including Fitbit, Zebronics, Logitech, Portronics, Belkin, Philips, Targus, Plantronics, B&O Play, Seiko, Epson, Beats Electronics, Anker, and many more. However, a large proportion of players in the electronic accessories market are anonymous.

Key industry players in AESAN have high regard for electronic products from Hong Kong. They consider Hong Kong electronics and IT gadgets as creative and high quality. Armed with a deep understanding of both eastern and western markets, Hong Kong firms have superior commercialisation skills that can spin out innovative products more rapidly across the region.

Key Market Growth Drivers

ASEAN…

Source link : Accessing the ASEAN Consumer Market: Electronic Accessories by Hong Kong Trade Development Council

JAKARTA, 28 July 2019 – The ASEAN Secretariat will hold the 3rd ASEAN Media Forum in Bangkok, Thailand tomorrow, bringing together about 30 media leaders and prominent bloggers from ten ASEAN member countries to dialogue with the region’s thought leaders on vital economic issues affecting ASEAN.

Secretary-General of ASEAN Dato Lim Jock Hoi and German Ambassador to Thailand Georg Schmidt will deliver their opening remarks before Don Pramudwinai, the Foreign Minister of Thailand, delivers his opening keynote speech on “ASEAN’s responses to the current global challenges.”

Dr Suthad Setboonsarng, an ASEAN specialist, will then speak on “What is ASEAN’s response in dealing with the ongoing trade war between China and the USA?”

There will also be a panel discussion on “Moving ASEAN Economic Integration Forward” featuring Dr. Hoe Ee Khor, Chief Economist of ASEAN+3 Macroeconomic Research Office; Manu Bhaskaran, Chief Executive Officer of Centennial Asia Advisors and Dr. Bandid Nijathaworn, Chairman of the Foundation for Public Policy and Good Governance and former Deputy Governor of the Bank of Thailand.

The highlight of the forum will be A dialogue titled “Assessing ASEAN: How the region can stay ahead of the business curve?” between Dato Lim Jock Hoi and Arin Jira, Chairman of the ASEAN Business Advisory Council Thailand and ASEAN media leaders.

ASEAN Secretariat’s Director for Community Affairs Lee Yoong Yoong said that the forum is part of the Secretariat’s continuous effort to enhance partnership with the region’s media leaders.

The media plays a critical role in ASEAN’s regional integration process. We hope that through this ASEAN Media Forum, media leaders would be in a better position to convey the ASEAN story to the people-on-the-ground as we bring ASEAN closer to its citizens

said Yoong Yoong.

The ASEAN Secretariat and the Deutsche Gessellschaft fur Internationale Zusammenarbeit (GIZ) jointly organise the event, in collaboration with the Foundation for Public Policy and Good Governance and with support of AirAsia.

Source link

The post ASEAN Media Forum tackles economic issues appeared first on Thailand Business News.

Source link : ASEAN Media Forum tackles economic issues by Asean News

BANGKOK, 20th July 2019 (NNT) – Four challenging issues have been raised by the private sector with the new government through Deputy Prime Minister Somkid Jatusripitak, who has accepted the proposals and may set up an economics’ cabinet.

During a meeting with the deputy premier in charge of economic affairs, Federation of Thai Industries President Suphan Mongkolsuthi proposed guidelines for the handling of economic problems, involving the consumers’ purchasing power, the lower prices of farm goods, declines in the export industry and the flow-on effects of the international trade war.

The 400-baht daily minimum wage issue

The proposed measures include the setting up of a fund for innovation, the continuation of joint public-private committee meetings, the ease of doing business and waiving of unnecessary laws and the setting up of an economics cabinet.

The 400-baht daily minimum wage issue wasn’t raised during the meeting, but the Federation of Thai Industries president said he would consult with the Labor Minister about it in due course.

Mr Somkid confirmed that he will consult with the premier about the proposed setting up of the economics cabinet.

At an initial stage, the premier may chair the proposed economics cabinet which wouldn’t convene on a weekly basis. The economics cabinet may only convene when a special issue arises.

The economics cabinet would give assurances to the private sector and help steer the national economy. Meanwhile, the 400-baht minimum wage will be considered by the Tripartite Wage Committee.

The deputy premier said an increase in the minimum wage will depend on various factors, such as the development of the skills of workers. He gave an assurance that the issue will be handled positively.

Source link

The post Thai Deputy Prime Minister to set up cabinet with private sector appeared first on Thailand Business News.

Source link : Thai Deputy Prime Minister to set up cabinet with private sector by National News Bureau of Thailand

From Shanghai to Bristol, we look at six cities that have taken aim at international businesses, offering scores of benefits for companies seeking to expand overseas

Bristol  

A city really blazing a trail on the world’s start-up scene is Bristol. So much so that research recently published by marketing agency Yours Sincerely found it to be the best place to start a business in the UK.  

Nestled in the South West of England, its transport links provide it with easy access to Wales as well as London and the South East. 

With desk space ranking 56% cheaper than London on average, the report also cited internet connection speeds, commuting times and the number of start-ups already flourishing there as reasons for its top billing. Regus currently has five centres in the city, with three more in neighbouring areas.  

In January last year, O’Neill & Brennan decided to relocate its Cheltenham office to set up a new facility with Regus in Bristol. Will Keenan from O’Neill & Brennan, hailed Bristol as a “vibrant city”. 

“The flexibility that comes with working with Regus has been instrumental to our growth,” he added. “So much so that we have opened an additional office in Regus Cardiff and are in the process of opening a new office in one of its Exeter locations.” 

“Since relocating to Bristol, we have seen year-on-year growth with a turnover of £2m in year one, and with our new locations primed for new business opportunities this is predicted to double to £4m this year.” 

Shanghai

China’s economic boom in recent decades has been no secret, with Shanghai perfectly placed for any company looking to get involved in the Chinese success story.

Undoubtedly one of the biggest attractions for businesses to move to Shanghai is its Free Trade Zone. Launched in 2013, the Shanghai Free Trade Zone (SFTZ) is essentially a pocket of liberal economic policies similar to those of Hong Kong, but nestled on the mainland.

Designed in part to entice and welcome foreign business, it means foreign investors are no longer required to invest 15% within three months and 100% within two years.

Last year, mining company Anglo American moved its Chinese operation from Beijing to Shanghai. “With the growing importance of close local customer relationships and the importance of the region, last year we established a local business entity in China and opened our new office in Shanghai, moving from Beijing,” explains Heike Truöl, head of commercial services at Anglo American.

“This move allows us to be closer in proximity to many of our customers,…

Source link : Looking to expand? These cities will give you bang for your buck by Daniel Lorenzzo

Navigating thru China’s cross-border e-commerce: How Thai SMEs collaboration can win over Chinese hearts?

For Thai SMEs planning to tap into the Chinese market, cross-border e-commerce (CBEC) is becoming a prominent and interesting option to consider.

EIC views that to enhance success in CBEC in China, SMEs need to position themselves strategically, especially on the following criteria

• 1) select products appropriate for CBEC platform
• 2) plan online-offline strategy – online via Chinese platform and offline in strategic locations with high Chinese tourist density in Thailand and
• 3) leverage online medium, for example, social media as tools to communicate with Chinese consumers and to create product familiarity.
• SMEs with limited financial ability should strategically collaborate to list stores and products on China’s online platforms. Collaboration between complementary products or in the form of a multi-brand store will help boost online presence. Other synergistic benefits are, for example, shared cost savings.
• To facilitate operations in China, SMEs could also hire experienced e-commerce professionals such as online merchant middlemen on Chinese platforms or companies that provide online business operation services.  

China’s CBEC market is poised for continued strong growth, especially from China’s CBEC platform

According to AliResearch, China’s cross-border e-commerce import value reached CNY 900 billion in 2015. It is expected that by 2020, China’s CBEC import value will reach CNY 3 trillion, representing a compound average annual growth rate (CAGR) of 30%, a growth rate highest among all types of trade.

The stunning growth of imports via CBEC is expected to increase CBEC import value portion from 3% of total trade value (imports and exports via online and offline channels) in 2015 to as high as 9% in 2020 (Figure 1). Note that imports are mostly delivered from 2 distinct types of CBEC platform.

The first and most prominent CBEC platforms are Chinese-based with sponsorship by the Chinese government. These platforms aim to help foreign entrepreneurs connect with local Chinese consumers. Meanwhile, the second type is foreign owned, though with trivial usage. These platforms aim to provide Chinese consumers with more alternatives by offering products from foreign entrepreneurs.

Figure 1: China’s import and export value

Unit: CNY Trillion

Remarks: Traditional import and exports are ones that are not via CBEC platforms
Source: EIC analysis based on data from The Ministry of Commerce, General Administration of Customs, iRearch, Analysys.cn, AliResearch

China’s…

Source link : Cross-border e-commerce: How Thai SMEs can win over Chinese hearts? by Economic Intelligence Center Siam Commercial Bank

BANGKOK, 3 July 2019(NNT) – Investor confidence and clear policies on industrial development, especially in the Eastern Economic Corridor (EEC) area have increased the value of investment by entrepreneurs requesting new business licenses, and expanding their factories’ capacity by 15.85 percent.

It is expected that the investment value of the new business expansion will be as high as 400 billion baht this year.

Mr. Thongchai Chawalitphichet, Director-General of the Department of Industrial Works (DIW), has reported that the first six months of this year saw 2,064 factories begin operations and expand their operations, adding over 195 billion baht’s worth of commercial activities, an increase of 15.85 percent compared on the same period last year.

Despite the Chinese-US trade war, the investment outlook in the second half of the year is expected to increase by 20 percent or 200 billion baht.

It is expected that the investment value will total 430 billion baht this year.

The first five industries with the highest value of investment include the petroleum products group, followed by food, electrical appliances, car parts and plastics.

However, it is worth noting that while 92,262 workers are employed in business expansions, that’s a decrease of 5.45 percent, partly because entrepreneurs have developed their workers’ full potential and are turning to the greater use of technology to replace workers in keeping with Thailand’s 4.0 policy.

In the second half of the year, it is expected that the number of negative economic factors will be reduced.

Source link

The post New Business licenses up 15.85% in first 6 months appeared first on Thailand Business News.

Source link : New Business licenses up 15.85% in first 6 months by National News Bureau of Thailand

BANGKOK, 28 June 2019(NNT) – The Bank of Thailand (BOT) announced yesterday that the Thai economy is likely to expand at a slower pace than expected in the previous assessment mainly due to the slowing of merchandise exports.

Therefore, it has forecast that in 2019, the economy will expand at the lower rate of 3.3 percent from 4.1 percent in 2018, while maintaining a policy rate of 1.75 percent per year to create a relaxed atmosphere for the stability of the financial system.

Thai economic growth forecast down to 3.3 percent

The Monetary Policy Committee (MPC)’s meeting has unanimously decided to maintain the policy rate at 1.75 percent per year and has reduced the Thai economic growth forecast this year to 3.3 percent from the previous forecast of 3.8 percent.

In 2020, the Thai economy is now expected to grow by 3.7 percent from the previous forecast of 3.9 percent.

!function(e,t,s,i){var n=”InfogramEmbeds”,o=e.getElementsByTagName(“script”)[0],d=/^http:/.test(e.location)?”http:”:”https:”;if(/^/{2}/.test(i)&&(i=d+i),window[n]&&window[n].initialized)window[n].process&&window[n].process();else if(!e.getElementById(s)){var r=e.createElement(“script”);r.async=1,r.id=s,r.src=i,o.parentNode.insertBefore(r,o)}}(document,0,”infogram-async”,”https://e.infogram.com/js/dist/embed-loader-min.js”);

Merchandise exports would grow at a significantly slower pace than in the previous assessment due to the slowdown of trading partner economies and global trade, which were affected by intensifying trade tensions between the United States and China.

0% export growth forecast

As a result, exports this year won’t expand or are at 0-percent growth point, much lower than the previous forecast of three percent per year. The MPC will closely monitor all risks.

The MPC is monitoring the baht which has appreciated substantially and is not consistent with economic fundamentals. The BOT will closely monitor developments in exchange rates and will soon launch more intensive measures to manage short-term funds.

This year’s inflation rate was projected to be one percent due to rising food prices, structural changes, the impact of the expansion of online business which results in greater price competition, along with the development of technology that decreases the cost of production, resulting in inflation rising more slowly than in the past.

Private consumption is expected to expand by 3.8 percent this year, while still being pressured by a high level of household debt and signs of moderation in earnings and employment in the export-related manufacturing sector.

Meanwhile,…

Source link : BoT trims growth forecast to 3.3% from 3.8% by National News Bureau of Thailand

Solid performance is expected in Bangkok’s commercial real estate segment this year, with demand to remain high despite significant new supply coming onto the market.

Some 208,600 sq metres of office space is slated to enter the market in the capital this year, double the amount of last year, according to the “Bangkok Office Market Review” for the fourth quarter of 2018, released by real estate agency Knight Frank in March.

The new supply consist of three buildings with a combined space of 133,000 sq metres in the Central Business District (CBD) and two other developments in non-CBD areas that will add 75,600 sq metres to stock.

Despite the greater amount of leasable space, Knight Frank expects rental rates for all grades to increase steadily, albeit at a lower rate than the 6.8% average rental growth recorded last year.

While high levels of supply can often lead rents to contract, demand is proving strong enough to prop up rates.

Furthermore, the net supply of office space may prove relatively flat if enough older buildings are taken out of commission for refurbishment, as was the case in the fourth quarter of last year. Strong demand is also keeping vacancy low.

Real estate consultancy CBRE forecasts that vacancy rates will remain steady at around 6% through to 2022, representing roughly half the level seen in 2011. The positive market outlook comes despite slowing economic growth.

The Bank of Thailand (BoT) in March revised its annual growth projection from 4% to 3.8%, itself down on the 4.1% growth achieved last year. Echoing this slower trend, GDP growth eased to 2.8% in the first quarter of this year, according to the National Economic and Social Development Council, the lowest rate in four years.

Meeting future demand and tenant requirements

While there are some economic headwinds, the medium-term outlook for office space development appears positive, with a number of large-scale developments due to come on-line in Bangkok between 2021 and 2025.

More than 600,000 sq metres of new office space is scheduled to be released between 2020 and 2023, according to Knight Frank’s figures, while further projects are likely to be announced in the coming years, in line with forecast demand.

With most of the new floor space in the upper tier of the market, the capital could see tenants move away from older stock and into newly released offices.

This could accelerate the existing trend of taking older space out of commission for renovation to better compete with the new spaces. In terms of market trends, CBRE, in its “Real Estate Market Outlook 2019” report, noted that accessibility to mass transit, column-free space, advanced air…

Source link : Will Bangkok be able to absorb its new office space? by Daniel Lorenzzo