19
WEDNESDAY, DECEMBER 30, 1987
THE MANUFACTURING PROCESSES ARE LABOUR-INTENSIVE AND LARGE-SCALE AUTOMATION
ΤΟ
REMAIN
LIKELY IS UNLIKELY BECAUSE OF THE COMPLICATED PROCESSES INVOLVED IN PRODUCING AND ASSEMBLING THE VARIOUS TOY PARTS AND THE EVER-CHANGING PRODUCT TRENDS.
IT IS BELIEVED THAT MORE AND MORE PRODUCT DEVELOPMENT WORK WILL BE SHIFTED TO HONG KONG IN VIEW OF THE HIGH PRODUCT DEVELOPMENT COSTS IN THE UNITED STATES AND WESTERN EUROPE AND THE PROVEN SKILL AND EFFICIENCY OF LOCAL ENGINEERS AND TECHNICIANS IN HANDLING SUCH PROJECTS AT A MUCH LOWER COST.
THE GENERAL MARKET TRENDS FOR THE CURRENT AND COMING YEARS IDENTIFIED BY THE REPORT ARE AS FOLLOWS:
BASIC OR STAPLE ITEMS SUCH AS FASHION DOLLS, PRE-SCHOOL TOYS, GAMES, RADIO-CONTROLLED VEHICLES, PLUSH TOYS AND TRAINS WILL BE THE PRIMARY PROFIT-MAKERS.
ELECTRONIC OR MICRO-CHIP APPLICATIONS WILL CONTINUE TO BE DEVELOPED, WITH A FOCUS ON INTERACTIVE AND EDUCATIONAL PRODUCT VALUE.
MORE EMPHASIS WILL BE GIVEN TO PRODUCT QUALITY, AS WELL AB TO PRODUCTS WITH HIGHER PROFIT MARGINS.
-
BASIC TOY LINES WILL BE USED AS A BASE FOR STEADY CONSISTENT SALES DURING THE YEAR AND WILL BR SUPPLEMENTED
OR
BY HIGH-TECH PROMOTIONAL ITEMS.
THE STUDY ALSO FINDS THAT TOY MANUFACTURERS IN HONG KONG ARE CONFIDENT ABOUT THE INDUSTRY'S FUTURE BUSINESS.
OF THE 62 FACTORIES COVERED IN THE SURVEY, 52 PER CENT SAID THEY HAD MADE NEW INVESTMENTS IN MACHINERY AND EQUIPMENT IN THE PAST 12 MONTHS. ALSO, NONE OF THE MANUFACTURERS INTERVIEWED EXPECTED BUSINESS TO BE POOR FOR THE NEXT FIVE YEARS.
THE STUDY IS BASED MAINLY ON FINDINGS OBTAINED FROM DESK RESEARCH, A SURVEY ON THE LOCAL TOY INDUSTRY CONDUCTED IN DECEMBER 1986, AND A MARKET RESEARCH CONDUCTED BY SRI INTERNATIONAL IN THE UNITED STATES AND WESTERN EUROPE IN MARCH-MAY 1987.
IT IS THE THIRD OF A SERIES OF STUDIES ON MANUFACTURING INDUSTRIES IN HONG KONG UNDERTAKEN BY THE DEPARTMENT.
/20
SELECTED INDUSTRY
Page 20Page 21