Hitachi Essay

Custom Student Mr. Teacher ENG 1001-04 19 October 2016


1. Product line

The three main products of every company are1-door, 2-door and 3-door+ refrigerators since all of them produce it. This leads to a tense competition of those items. Most of companies have the high competition in segment of 2-door refrigerators. Moreover, Side by side refrigerators are produced by only Hitachi and Samsung because of negative growth in this segment.

2. Pricing Strategy Hitachi is using “Premium pricing” that suit to their products. Hitachi would like to make the brand image to show the customers about high quality of their products and gain number 1 value market share. In the other way, Mitsubishi is using competitive price because they would like to reach on the target audiences and remain to be number 1 of market. Toshiba also uses Competitive pricing in order to be competitive with other brands. Samsung is using lower pricing to attract most in the lower to middle incomes segment.

3.Distribution Strategy

Every companies use Selective for distribution strategy to sells product to customers. There are two types of distribution channels; Mass merchandized and General electric shop (dealers). The mass merchandized are PowerBuy, Power Mall (Paragon), HomePro, BigC and Tesco Lotus to sell their products to customers. Moreover, every brand also sells their products locally through local dealers. The dealers are in every parts of Thailand.

4. Target Audience All companies have roughly the same primary and secondary target audience which are households and organizations respectively. However, the target audience of each brand is targeted differently based on income level, age and lifestyle. The primary target audiences of Hitachi are middle to upper incomes because Hitachi set price as premium pricing and age of target audience is middle age to adulthood (aged between 35 and 50) because the design is conservative. Mitsubishi produces innovative design for focusing on middle incomes and people of middle age to adulthood (aged between 35 and 50). Samsung focus on lower to middle incomes because they use lower pricing strategy and they use celebrities as the presenters in advertisement to attract those who are interested in the celebrities which is usually people of middle to low income and have younger age (between 25 and 35).

Toshiba focus on middle income because they are using competitive pricing. The range of age of target audience of Toshiba is wide because they have conservative design and has just come up with more innovative design in order to attract people of younger age, therefore the age range will be between 25 and 50. Moreover, the companies also focus on the organization in secondary target customers because the companies can get the opportunity to sell the products if the organizations would like to order the large volumes of refrigerators. The organizations can be either government or private sector. Both of target audiences are important for the companies. Customers choose the brand base on their perception, which is along of line of quality, value, and cost.

5. Positioning

In the positioning mapping Hitachi is currently in quadrant of having High Price and conservative design. Mitsubishi and Samsung have the high innovative design but Mitsubishi is perceived as high price whereas Samsung is perceived as low price. Toshiba is in conservative design with moderating price in order to be competitive with other brands.

6. Objectives -Marketing Hitachi focuses on gaining more profit to be number 1 of value market share in the refrigerator industry. They can gain more opportunity than other competitors and make the relationship to customers in long-term by service quality. Mitsubishi focuses on remaining the number 1 in market by maintain the existing customers. Samsung focuses on being number 1 of 2-door market share because 2-door market is the largest market share in the industry. To be the number 1 of market share of 2-door refrigerators, the company has the varied models of 2-door refrigerators and made the lower prices. Toshiba focuses on retrieving from the Mega-flood effect in 2011 because the flood was attacked to Toshiba factory and warehouse. It makes the products become shortage in the market. They have to recovery to come back on the market. – Promotion

Hitachi provides offering premiums to consumers and gaining closer relationship with the people in the long-term. Mitsubishi uses Discount prices to consumers. It makes the customers become confidence to the company and achieve the company’s goal to be remaining number 1 in the market. Samsung has Heavy promotions to consumers, price reduction, premiums and more. The company would like to be the first brand to be the customers’ mind. Toshiba would like to continuous price reduction in order to not promote much like other competitors.

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