GE Lighting is planning to walk away from its efforts to grow lighting sales in the Asian and Latin American markets, according to reports from lighting website LEDinside. Citing an internal memo to employees by GE Lighting CEO Bill Lacey, the website reported the justification:
In the memo, Lacey stated GE Lighting will be focused on securing its market position in its top three regional markets North America, Europe, Middle East regions instead.
In a follow-up report, the website concentrates on the company’s efforts in China specifically:
GE Lighting’s decision to leave the Asian lighting market has sent another shock wave within the global lighting industry. LEDinside, a division of TrendForce, pointed out that less than 10% of GE Lighting’s total lighting revenue comes from China. Other markets in Asia also make up a very small percentage. At the same time, pricing and brand competition in the region has intensified. By withdrawing from this region and reinforcing its presence in North America, GE Lighting has also shown that the industry’s thinking has shifted from expanding channel network and market share to maintaining profitability and one’s survival.
More on this to come.