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  A powerful strategy for international trade
  
 
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Wilson Chu, managing director of Defond Manufacturing, says Hong Kong has a global outlook that understands Western business needs

 
Hong Kong electrical components company Defond Manufacturing Ltd switched on to a winning combination when it moved production to the Pearl River Delta, while keeping its headquarters and operations base in the SAR.

The move delivered cost efficiencies together with Hong Kong's advantages as a global trading platform. According to managing director Wilson Chu, this strategy is pivotal to the company's success in the international marketplace.

"As an international trading company, we need the superior business infrastructure that Hong Kong provides," Mr Chu said. "Hong Kong is conveniently located as the hub of Asia and gateway to China. Its telecommunications are excellent, and its port and air cargo services are the best in the world. From our Hong Kong base, we can easily and quickly transport our products around the globe.

"We can also make use of Hong Kong's talented pool of professionals. Hong Kong is a multicultural city and its people have both an open mind, and a global outlook. They know what Westerners need in business, and that is very important when you are engaged in international trade."

Defond was founded in 1978 as a switch specialist serving the Hong Kong household appliance manufacturing industry. By the 1980s, having captured a lion's share of the local market, the company started exporting its products to the US and also entered into joint ventures with established switch-makers in Europe. In 2000, a German brand was acquired to boost its already successful line of switches for power tools.

Today, the Defond sales and marketing network extends around the globe, with offices in the US, Germany and Japan serving key customers in those markets. Recently, the company won a Trade Development Council Export Marketing Award in 2002 Hong Kong Awards for Industry.

The company employs over 10,000 people at its two factories in Dongguan, in the Pearl River Delta (PRD), along with a team of 350 including R&D and technical specialists in Hong Kong. As a vertically integrated company, it is able to control quality and be competitive in the international market.

As Defond continues to expand its global network and open new factories in the PRD, Mr Chu said Hong Kong would "definitely" remain as the company's headquarters.

"China entering the WTO will be good for us," he said. "We are looking forward to more opportunities to enter the China market and also to sell abroad, and Hong Kong has proved to be our best platform for both."

Related links:
Defond Manufacturing
www.defond.com



  23/12/2002
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