KOTRA (CEO Hwan-ik Cho) has held the ‘2011 Global IT Channel Vision (Invitation to large scale IT distribution enterprises for purchasing strategy briefing and conference)’ at the Seoul JW Marriott hotel on the 22nd~23rd of February.
For this event, 7 purchasing directors from 4 companies including Best Buy and Digital China lead the conference with 71 IT companies that specialize in PC and PC accessories, digital products, communication devices, and office devices: Choice Technology, Cradia, Green Power Electronics and more. A total of 106 consultations were made, and KOTRA is estimating a total conclusion of contract to be around 30 million dollars.
Among the companies that visited Korea for the conference, Best Buy is the world’s number one electronics distribution enterprise with 45 years of business in selling IT, electronics, and computer related products. Also one of the attendees, Digital China has established a sales network based on headquarters in 19 major cities in China.
Janice Ding, purchasing director for Best Buy’s Asia division claimed that the main purpose of their attendance was to find an OEM business for Best Buy’s private branding. She added that they have found a company that is not only capable of OEM sourcing but also joint design and development.
Oh-suk Han, the department head of BnB Solution explained that distributing enterprises differ from manufacturing enterprises because of the immediate exporting effects when their products are purchased. He is anticipating to shorten the delivery time frame as contracts are signed given that all of the attending buyers have decision making authorities.
Sung-geun Oh, KOTRA’s director of foreign marketing claims that constructing partnership with global IT distributing enterprises is the most effective way to penetrate the global market, and that KOTRA is using this opportunity to hold a Vendor Fair in the upcoming April, inviting each distributor’s vendors of integrated monopoly (intermediate distribution network).
Source: Asia Economy, Chang-hwan Lee