dimanche 29 mars 2015

Taiwan-based Foxconn has launched a trial site to sell electronics products in China

The largest manufacturer of electronic products under contract in the world, Foxconn, made a move into e-commerce in China.
Taiwan-based Foxconn, officially known as Hon Hai Precision Industry Co., has launched an official website for flnet.com an online marketplace to sell electronics, people familiar with the matter say, to go head-to -Head with the likes of Chinese e-commerce giant Alibaba Group Holding Ltd. and JD.com.

On flnet.com, Foxconn sells accessories he made, as well as consumer electronics from a variety of brands, from Apple Inc. iPhones to laptops Lenovo Group Ltd. Galaxy Tab Samsung Electronics Co. tablets.

The ambitious move comes as Foxconn, which assembles the majority of Apple iPhones and iPads, has struggled to find new sources of growth than income from contract manufacturing business slows down. Increased competition for Apple's orders and rising wages in China have continued to weigh on earnings growth Foxconn in recent years. Foxconn looks to electronic commerce after failing to make significant inroads into the retail with its own brick-and-mortar stores market in China, selling everything from televisions to handsets.

Foxconn invested in some local retailers and formed joint ventures with foreign electronic store operators, including the United States RadioShack Corp. and German retailer Metro AG to open electronics stores in China. But these attempts have failed to generate more revenue due to intense competition and that the leaders of Foxconn said the cultural differences between the company and its partners, the people said.

"We ran the retail trade as a manufacturing operation," said a Foxconn official, who declined to be named.

After closing all of its electronics stores in China in 2013, Foxconn has continued to recruit talent from e-commerce, including some former officials site online shopping Lenovo disaient- they.
The e-commerce operation based in Shanghai Foxconn is led by Iris Yu, a former executive at an online retailer based in California of computer, Newegg.com, the people said.

Partnership with JD.com

People said the ambition of Foxconn Terry Gou, chairman of the new online market the company to beat sales in the second e-commerce platform in China, JD.com in three years.

Foxconn would face many challenges, including the construction of its new platform e-commerce service and a reputation for authenticity, as well as the promotion of relations with suppliers to source the hottest items and to establish a efficient logistics network to provide fast delivery services, analysts say.

The company will also have to overcome disadvantages by the absence of a payment system. Alibaba uses its Alipay payment system to handle most of its operations. JD.com, which is supported by the Internet giant Tencent Holdings Ltd, uses Tencent payment system. New e-commerce platform Foxconn also highlights a change in strategy. To develop its own market, the company closed its online store less than two years on Alibaba Tmall, a commercial website designed for large merchants, including Apple and flnet.com market Foxconn Nike Inc. sells a range of products wider than it used to Tmall.

Alibaba and Foxconn

Alibaba has been an important partner for the Foxconn adventure in electronic commerce. Foxconn links with Alibaba was in 2007 when the manufacturer has invested in buying Alibaba.com 271.6 million Hong Kong dollars (US $ 35 million) initial public offering of shares to the Chinese company on the Hong Kong Stock Exchange. Fascinated by the success of Alibaba in China, Mr. Gou consulted Alibaba founder Jack Ma flight on e-commerce activity of the company, the people said.

In Taiwan Tuesday, Ma said Alibaba cooperated with Foxconn in many areas. "I think more will come," he said. "Foxconn is superb in the manufacturing sector, which will be a key factor in the future development of innovative sectors."

More information...

He did not provide further details. To drive traffic to his site, Foxconn plans to introduce a gadget review section, the people said, using its quality inspection and audit process, it leads to installation. For example, a laboratory Foxconn generally checks the battery life of a device and the processing speed of a smartphone before products are shipped.

e-commerce platform

"Foxconn has provided a platform for e-commerce to our staff as part of our benefits program for employees for many years. We have plans to expand e-commerce services to external customers," said the company said in a statement to the Wall Street Journal, the decline to elaborate on the details.

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