China video games and accessories suppliers expect robust export growth; emphasize R&D to add value

USA - English

• USA - English
• USA - English

HONG KONG, Feb. 4 /PRNewswire-Asia-FirstCall/ -- China's video games and accessories suppliers are optimistic about export growth in 2010, as overseas markets show signs of recovery, according to Global Sources' (Nasdaq: GSOL) China Sourcing Report: Video Games & Accessories (http://www.chinasourcingreports.com/videogamesaccessories ).

(Logo: http://www.newscom.com/cgi-bin/prnh/20030303/LNM011LOGO-b )

The Report covers video game consoles and controllers, electronic handheld and desktop video games, and video game accessories.

    Among surveyed China suppliers of video games and accessories:

    -- 36 percent predict sales growth to be greater than 20 percent;
    -- 45 percent expect an increase of between 10 and 20 percent;
    -- 14 percent estimate sales to increase by less than 10 percent; and
    -- 5 percent expect sales to remain the same.

"Fueling export growth are the robust segments of video game hardware and software, portable and handheld devices, and PC and online games," said Livia Yip, Publisher of the Report.

"The optimistic economic forecast is encouraging suppliers to invest more resources to strengthen their manufacturing capability. The majority of surveyed companies plan to increase capital expenditure by 20 to 50 percent in 2010."

Price competition top challenge

Price competition continues to be the biggest challenge facing suppliers in this industry. Over 70 percent of survey respondents identified this as the main hurdle to growth. Labor cost and design copying are the other top concerns.

Yip said, "Instead of competing solely on price, many companies are emphasizing on R&D and product development in an effort to differentiate themselves. Enhancements in housing or external design top R&D efforts, followed by improvement in compatibility and user interface.

"In addition, improving their production efficiency and strengthening their ODM capability is also a priority. Fifty-four percent of interviewed companies plan to boost operating efficiency, while 27 percent plan to widen their product range."

Supplier profiles, price forecasts and the latest video games and accessories for export

The 93-page China Sourcing Report: Video Games & Accessories provides detailed profiles of 22 suppliers with verified manufacturing and export credentials, plus contact details of 25 more suppliers. It also includes a Product Gallery featuring 101 of the most popular export models, with key specifications and full-color pictures.

The Report's surveys, price trends and supply forecasts aim to help buyers make better-informed purchasing decisions.

Specialized Global Sources websites, face-to-face events, trade magazines and research reports

China Sourcing Reports are part of Global Sources' sourcing and product information services. These include Global Sources Online (http://www.globalsources.com ), China Sourcing Fairs (http://www.chinasourcingfair.com ), Private Sourcing Events (http://www.PrivateSourcingEvents.com ) and Global Sources monthly magazines (http://www.globalsources.com/SITE/MAGAZINES.HTM ). For more information about Global Sources' products and services that connect quality buyers with verified suppliers, visit http://www.corporate.globalsources.com .

The China Sourcing Report: Video Games & Accessories is available for purchase at http://www.chinasourcingreports.com/videogamesaccessories .

Free information about China video games and accessories suppliers can be found at http://www.chinasuppliers.globalsources.com/china-suppliers/Game.htm .

About Global Sources

Global Sources is a leading business-to-business media company and a primary facilitator of trade with Greater China. The core business uses English-language media to facilitate trade from Greater China to the world. The other business segment utilizes Chinese-language media to enable companies to sell to, and within Greater China.

The company provides sourcing information to volume buyers and integrated marketing services to suppliers. It helps a community of over 854,000 active buyers source more profitably from complex overseas supply markets. With the goal of providing the most effective ways possible to advertise, market and sell, Global Sources enables suppliers to sell to hard-to-reach buyers in over 240 countries.

The company offers the most extensive range of media and export marketing services in the industries it serves. It delivers information on 4.5 million products and more than 247,000 suppliers annually through 14 online marketplaces, 13 monthly magazines, over 100 sourcing research reports and 12 specialized trade shows which run 30 times a year across 10 cities.

Suppliers receive more than 96 million sales leads annually from buyers through Global Sources Online (http://www.globalsources.com ) alone.

Global Sources has been facilitating global trade for 39 years. Global Sources' network covers more than 60 cities worldwide. In mainland China, Global Sources has about 2,500 team members in more than 40 locations, and a community of over 1 million registered online users and magazine readers for its Chinese-language media.

    Global Sources Press Contact in Asia:
     Camellia So
     Tel:   +852-2555-5021
     Email: [email protected]

    Global Sources Press Contact in U.S.:
     James W.W. Strachan
     Tel:   +1-480-664-8309
     Email: [email protected]

    Global Sources Investor Contact in Asia:
     Investor Relations Department
     Tel:   +852-2555-4777
     Email: [email protected]

    Global Sources Investor Contact in U.S.:
     Kirsten Chapman & Timothy Dien
     Lippert/Heilshorn & Associates, Inc.
     Tel:   +1-415-433-3777
     Email: [email protected]

SOURCE Global Sources