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Our TVs are Inexpensive, Not Cheap says Vizio CEO

Thu Feb 04, 2010 at 01:00 PM ET
Tags: Vizio, High-Def Retailing, Industry Trends (all tags)

Vizio has certainly come a long way in the last few years. They established themselves early on as a good alternative for entry level sets, but they’re increasingly popular, even when compared to more established companies. William Wang says it has everything to do with quality.

“Most people think the way to make inexpensive TVs is to use inexpensive parts,” says William Wang, CEO of Vizio. “These days that's not the best approach.”

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In an interview with Nikkei Electronics Asia, Wang stressed that even though the company makes some of the most economically priced televisions on the market, that doesn’t mean they make cheap TVs. He says that the main way the company keeps prices down is to establish strong relationships with other firms.

“We outsource TV design, manufacture and other matters to AmTRAN Technology Co., Ltd. and Hon Hai Precision Industry Co., Ltd., both of Taiwan,” he said. “For sales, our tie-ups with companies like Costco Wholesale Corp. are essential.”

He says that regardless of the quality and price of the televisions Vizio offers, if the company were to use the same high-cost system of manufacturing and distribution as larger companies, it just wouldn’t work.

In closing, Wang said that one of his goals with Vizio over the next few years is to create smart TVs that are capable of much more than regular televisions, but to keep them simple enough that anyone can use them.

Source: Tech-on

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