Newegg to seek out small Taiwanese companies

— 12:13 AM on May 31, 2006

DigiTimes reports that Newegg is looking to recruit second-tier Taiwanese companies at the Computex trade show in Taipei next week. Newegg will be targeting smaller manufacturers of LCD TVs and consumer electronics in particular, a move Newegg Product Management Director Luke Lu says will allow the companies to increase their market presence.

In the global IT industry, Taiwan has a definite edge in having a complete supply chain, Lu stated. Nonetheless, Taiwan manufacturers, who are considering to enter the own-brand market, find themselves less competitive due to inadequate sales and distribution resources, Lu indicated. can assist these companies by providing a sales channel platform and logistical management support through its more than 10 regional warehouses worldwide, Lu noted.
Deals with a greater number of Taiwanese manufacturers may contribute to Newegg's growth in China, as well. DigiTimes says Newegg expects sales from its new Shanghai-based Chinese branch to double this year.
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