The Dutch based electronic company of Philips has been one of the major global leaders in the world of technology and innovation in the field of electronics and lighting. In the past few years, everything is going smart. From smartphones to smart TVs to smart lights. Philips is the major electronic company having three divisions separated in health care, home appliances and lighting division. Philips has been the major run in the world of televisions and has brought great ideas and innovation on the front over the decades to revolutionize and contribute to the evolution of televisions ever since. Television has gone from just a black and white screen to 3D in the past few years to the most highly sophisticated and complex systems including processors in Televisions of today.
Introduction to LEDs
Light emitting diodes widely known as LEDs have been used in the all new televisions to form the screen for better picture quality and wide resolution. LED TVs are the most widely available and used televisions of today due to its versatile and vibrant designs and wide screens in an affordable price. Philips has not been able to revolutionize its televisions and thus many competitors in the global market have appeared and seized the opportunity and the market share of LED TVs manufacturing cheap and affordable LCDs and LEDs up to date.
No potential Market present:
When Philips evolved its electronic product line of televisions to meet the needs and requirements of the new generation customers, the older brands like Sony, Samsung and LG had already seized the major market share for televisions leading to a certain decline of the sales of Philips televisions with no potential market to penetrate and no opportunity in the market left, Philips televisions acted as laggards in the rising trend of the next generation televisions of today.
Focus on Health Care Products:
Since Philips divided its company to operate in three different divisions of home appliances, health care and lighting. Philips started focusing on the division that started generating more revenue and workforce for the company. Hence, Philips flourished in the health care and lighting division and excelled to generate more than 80% of the total revenue for the company while home appliances lagged due to no potential market to penetrate yet they stayed as a part of the company.