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Investing in success(HKTDC Electronics, Vol 03,2003)

Vol 3, 2003

Company Profiles

Design fit for Heroes
Heroes Sound Equipment Co Ltd

Investing in success
Tung Da Audio Visual Products Ltd

Investing in success

Tung Da Audio Visual Products Ltd

Eye-catching radio cassette recorders are a staple of Tung Da Audio Visual Products Ltd, which also manufactures CD and DVD players, and will soon begin producing DVDs

Ongoing investment in sophisticated tooling has helped audio and video product manufacturer Tung Da Audio Visual Products Ltd succeed in its highly competitive market sector, according to director Robert Yung. "We aim for the most updated designs," says Yung, who believes that the number of competitors investing heavily in tooling is relatively low.

The 14-year-old manufacturer is able to invest heavily in tooling because it produces a select few audio and video products, having expanded from radio cassette recorders to CD and DVD players.

It will soon begin manufacturing DVDs. "I think mid-market consumers will be preparing themselves to start buying DVDs in the next 1-2 years," says Yung, adding that Tung Da is getting in early to have an established foothold by the time DVDs really take off.

Cassette recorders will still account for 55% of Tung Da's production, thanks to such innovations as VFD and VSD displays, while VCDs will make up 35% of sales and DVDs 10%.

Tung Da's four designers seek inspiration at international fairs for the company's range of approximately 150 audio and video products, many of which are larger than average models on the market. "We noticed a few of our competitors were manufacturing large-sized models, which is why we decided to move into this area," adds Yung.

Colour variations play an equally important part in Tung Da's designs, particularly those for Southeast Asian and European markets. Its radio cassette recorders, for example, feature silver facades and sport speakers in vibrant colours such as bright orange or turquoise. Basic black models, meanwhile, are often destined for Eastern Europe. Delivery to all markets is within 30 days of order confirmation.

Tung Da, which received ISO 9001 certification in 1994 and also has CE approval for most of its models, sources raw materials such as plastics from the Chinese mainland. However, Sony of Japan supplies the essential VCD lens on an order-by-order basis.

These diverse raw materials are melded at a 200,000-square-foot factory in Zhongshan on the mainland that employs 2,000 workers and features five plastic injection machines.

Tung Da places great emphasis on treating its workers well. The results pay off, says Yung, noting that many of Tung Da's clerical workers have been with the company for more than 10 years while the average time an assembly worker remains in Tung Da's employment is 4-5 years. "Since many of our workers have been with us for a long time, we can offer stable quality," adds Yung.

WRITTEN BY TAMARA CHEUNG

Tung Da Audio Visual Products Ltd

Unit G, 9/F, World Tech Centre,
95 How Ming St, Kwun Tong,
Kowloon, Hong Kong
Tel: 852-2357-9922
Fax: 852-2950-9095
Email: tungda@tung-da.com
Web: www.tungda.com.hk

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