What is the current status of the Indian television market?
The Indian colour television market is growing at a lesser rate this year as compared to last 2 years. Currently the penetration of televisions in Indian households is quite less with 9 to 10 televisions per 100 households. China, which has a comparable population and per capita income, has 5 times penetration of televisions than ours. One of the main reasons for this is the higher price here. The price of a colour television in India is twice to that of China due to higher taxes levied by the government. If the tax structure rationalises, demand will automatically pick up leading to higher off take and television manufacturers will reach economies of scale. India has a capacity of producing 6.5 million television sets per annum but the annual demand varies between 4.5 -5 million units hence only 70% of the total capacity is utilized. What were the main reasons for higher growth in last 2 years? World cup was highly instrumental for higher sales last year .The replacement of an old col
