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Videocon to make and sell Philips' TV sets in India

MUMBAI: Dutch consumer electronics major Philips has entered into a five-year brand licensing pact with Videocon for managing its television sets business in India.


As per the deal, Videocon will manufacture and sell Philips television sets. It will also provide the after-sales service, making use of its vast task force spread across the country.
 
"We have entered into a brand licensing agreement with Videocon under which it will assume the responsibility of selling and after sale services of Philips consumer television sets in India," Philips India CEO Murali Sivaraman said.


The TV sets, manufactured by Videocon Industries under the Philips brand, will, however, have to match the specifications and standards maintained by Philips globally.


Videocon has a large integrated presence in the country and with the help of its sales and distribution network Philips will increase the presence of television sets in the country significantly.
 
Philips is eying a bigger pie of the TV segment in India, where it has so far failed to make much impact. The Indian market is flooded with international players like Sony, LG, Samsung Electronics and Panasonic.


Earlier, in 2008, Philips had entered into a similar agreement with Japanese electronics firm Funai to manufacture, distribute, market and sell Philips TV sets in the US and Canada. With the model being successful there, the company has decided to replicate the same in India.
 

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