On Feb 15th, the United Nations Environment Programme (UNEP) and Hisense Group representatives signed a cooperative agreement at UNEP's headquarters in Nairobi, Kenya. Under the agreement, Hisense becomes the world s first corporate partner of UNEP s SEED Award, a relationship that will last for the next three years. It also represents the first time a Chinese company has committed to being a part of UNEP s SEED Initiative. The SEED Award was established at the 2002 UN World Summit on Sustainable Development in Johannesburg. In April, the award ceremony will be held in South Africa.
Africa is Hisense s first experimental overseas brand base. Hisense was completely unknown in Africa when it first began business there in 1997, with no customers, channels, or reputation. Despite that, Hisense South Africa set forth on this challenging journey with the determination to develop its Chinese brand worldwide.
From a small office to its first subsidiary, and then to its first 6,000 square meter TV production base, Hisense has developed quickly and steadily. With more than 10 years of effort, Hisense has now established four production bases dedicated to TVs, refrigerators, air conditioners and other products in Africa. These products have been sold to most countries in Africa and the Middle East.
Now, in the major cities across South Africa, Hisense 3D billboards stand on the main roads and expressways alongside many other world-famous brands. Near the famous Green Point stadium, the Hisense sponsored Wheel of Excellence overlooks Cape Town. In the VIP lounge of British Airways, Hisense entertains travelers with high quality Hisense TVs. Hisense has already become a famous brand, just like Samsung and LG, in Africa. If you take to the streets and ask the locals what consumer electronic brands they would choose, Hisense would definitely be one of their recommendations.
In 2010, Hisense continued rapid development overseas and achieved an increase in overseas revenue by 40%. This accomplishment is in large part due to the development of Hisense in Africa.
In March, 2010, Hisense Africa's LED Launch Event was held in Cairo, Egypt and a strategic corporate agreement was signed between Hisense and Shams Group. During the event, nearly 450 Hisense agents in Egypt and nearly 50 agents around the rest of Africa and the Middle East were present. This big event indicated Hisense's strategic growth from just sales and marketing to building an entire infrastructure that includes production in Africa.
In June, 2010, taking the opportunity presented by the World Cup, Hisense released a series of 3D promotional activities. Hisense was the first to launch 3D LED TVs in the country, and subsequently put up never before seen 3D billboards in Africa. At the same time, Hisense sponsored the 50 meter tall Wheel of Excellence near Green Point stadium. Soon afterwards, Hisense then sponsored the Nelson Mandela Challenge Cup together with the other world-famous brands such as Coca cola, Bens and Adidas.
Besides providing high quality products and excellent service, Hisense is always looking for ways to help improve the social welfare of the communities.
Hisense has been trying its best to integrate locally, and has consequently gained the favor of many African consumers. Hisense's success in Africa is a sign to the world that Chinese enterprises are dedicated to becoming globally competitive.
In 2010, Hisense worked together with the Xinhua News Agency to set up the first outdoor full HD LED screen in Zimbabwe, and then afterward another in South Africa. These massive screens open a window to the rest of the world. During the Expo, Hisense organized the "Shanghai Expo Multimedia Photo Exhibition" together with Xinhua News Agency to use Hisense HD LED TVs to display Expo photos around Africa, promoting cultural communication between China and Africa.
Brand reputation also indicates social responsibility. Hisense Africa has donated to local schools and charities together with its major retail chain partners many times and will continue to do so. Hisense has launched a charitable promotional campaign where the company will donate one rand for every TV sold to help children suffering with AIDS. Additionally, at the start of 2011, Hisense established the Hisense Excellency Scholarship to help bright, less fortunate students pay for their high school educations in South Africa.
Hisense has also won respect in both Australia and America. In Australia, Hisense has used a "Quality First" strategy to penetrate the market. Based on an Australian LCD TV Brand satisfaction survey conducted by the authoritative research company Canstar Blue, Hisense was honored with the Most Satisfied Customer Award. Canstar Blue's in depth survey shows that Australian consumers prefer new brands who provide quality products at reasonable prices with dependable service. In North America, Hisense allows customers to refund products, no matter the reason. Even with a policy like this, only 4% of Hisense flat panel TVs experience issues that require customer service, which is not only far lower than the industry average, but also lower than other premiere, world famous brands. The largest consumer electronic whole seller BestBuy praised the trustable quality of Hisense products. When Hisense TVs first entered 157 hhgregg stores, a high-end retail chain channel for home appliances and electronics in the US, nearly 10,000 sets were sold in only two weeks, increasing brand revenue by over 300%.
Hisense's impressive journey towards internationalization is not simply the story of a Chinese enterprise, but one that represents the rapid development of an entire industry. Hisense is a good example of how Chinese companies are gaining worldwide recognition and respect. The company's success in global markets shows the world how company culture can affect the development of a company. The core competencies for an enterprise are its products and technology, and the quality of those products is what pushes the company to thrive.