Study On Marketing Of Central Air Conditioner For SL In Chongqing

As an major sector of air conditioner manufacturing industry, Chinese central air conditioning business has started its rapid growth from the 1990s.With foreign companies entering into Chinese market and introduction of advanced equipments and technology, China-made products becomes much closer to the international standards in terms of quality, function and manufacturing process. However, foreign branded products still remain the major market share. At the beginning of 21 century, people gradually set up higher requirements on manufacturing environment and more comfortable working places. The fast growth in real estate investment has given strong impetus, the general demand for central air conditioner significantly increases too. The annual average increase on overall output value exceeds 20%. Consequently, many domestic enterprises shift into central air conditioner manufacturing industry. Meanwhile, foreign companies continuingly add to their investments in China, and bring more advanced technique as well as new types of products. Competition in Chinese market became even fiercer, which is especially reflected in technology, customer service and marketing tactics. SL group started its business in Chinese market from 1982, which is the largest air conditioner maker among the Australian listing companies. With the rapid development in China central air conditioner market, SL has now established more than 20 branches and offices around major Chinese cities. When the sharpening of business competition, potential problems within the SL group naturally exposed,sales volume slumped in some areas, and Chongqing market has become the focus of problem. How to change this unfavorable situation? How to regain the lost market share and profits? It is the top urgent task for the SL Chongqing branch. This paper is based on theories of marketing. First, it points out SL Chongqing branch's position in the competitive market by use of Porter's five forces model. Applying the SWOT analyzing method, we can be clear of Chongqing branch's strengths and weaknesses, opportunities and threats. After that, with a detailed research on Chongqing branch's former operations, it finds out the reasons caused sales decrease and establishes a new marketing mix on the basis of STP, such as selecting correct products which are suitable for target customers, designing proper pricing tactics, shifting single sales channel to multiple channels to meet the market demands. In this paper, intensive investigations and researches have been made into the marketing promotion sector especially the personal selling. It also demonstrates how to make the maximum profits by way of IMC. Finally, constructive proposals are made to SL on renewing marketing idea, making reforms in marketing administration mechanism and improving management information systems.