Brand-conscious Taiwanese may shun plans by Chinese handset makers to put cellphones from across the Strait in their hands, analysts said yesterday.
"With the local cellphone market dominated by foreign brands such as Nokia and Motorola, Taiwanese are very unfamiliar with Chinese brands and therefore the [expected] acceptance level will be relatively low," said Ann Liang (
Gartner is an information-technology industry research firm.
"I don't regard Chinese handset companies as potential competitors in Taiwan," she said.
Liang made the remarks after a local electronics distributor last week signed a dealership contract with China-based Bird Co (
"We've signed a contract with Bird, making us the company's local distribution agency," said Sabrina Wu (
The company is the local representative for France-based cellphone maker Sagem SA.
Last year Bird sold about 3 million handsets in China, accounting for 5.5 percent of the nation's cellphone market, according to Gartner.
Local Chinese-language media also speculated yesterday that China's No.1 handset manufacturer -- TCL Mobile Communication Corp (TCL,
An agreement to sell TCL cellphones in Taiwan would still require approval from the Taiwan government.
According to the Board of Foreign Trade under the Ministry of Economic Affairs, the government will soon lift its ban on the import of handsets from China.
The market may be opened to Chinese handsets in March, said Chen Pu-lin (陳步林) an official from the Ministry of Economic Affairs.
In accordance with WTO rules, the import ban must gradually be lifted.
Taipei will initially only allow entry-level Chinese cellphones to be shipped into Taiwan, while advanced or high-speed transmission GPRS (general packet radio system) handsets will not be allowed ashore.
Despite a lack of confidence by the public in Chinese brand quality, Wu was confident of success.
"We understand most Taiwanese lack confidence in using Chinese-brand name electronics, therefore we will put more efforts on the retail side," Wu said.
St. Williams will push sales staff to aggressively promote Bird handsets to the public.
"Most consumers are passive and inclined to accept what sales people recommend," Wu said.
Two folding handset models from Bird will initially be introduced to Taiwan, with prices ranging between NT$8,000 to NT$10,000 per unit.
"Compared with similar models from other manufacturers, Bird handsets are about NT$2,000 cheaper," Wu said.
The Chinese brands will compete directly with phones from BenQ Corp, Taiwan's largest handset company (
An executive from BenQ said he was not concerned about the new competition.
"Price is not the only factor affecting consumer buying habits," said Jerry Wang (王文燦), vice president of BenQ's marketing development office.
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