Philips creates marketing Chair to boost business know-how in China

Amsterdam, The Netherlands, 18 October 2001 - Royal Philips Electronics of the Netherlands (AEX: PHI, NYSE: PHG), today established the Philips Chair in International Marketing at the China Europe International Business School (CEIBS) in Shanghai.

Mr. Jan Oosterveld, member of the Philips Group Management Committee delivered the Marketing Chair inauguration speech at CEIBS. Mr. Oosterveld compared economic models and studies put forward by leading business gurus with Philips own marketing strategies in China. He also noted China's unique characteristics and its implications for Philips marketing and branding in the region: "As far as marketing the Philips brand is concerned, we think that marketing in China needs a local face and focus. The country is a globe in itself, too big and too differentiated to apply a one-size-fits-all strategy", Mr. Oosterveld said.

Philips has a strong foothold in China. Since Philips successfully established its first joint venture in China in 1985, the company operates 25 joint ventures, involving a total investment of EUR 1.3 billion in China.

Mr. Rob Westerhof, CEO of Philips Electronics China Group also emphasized the creation of the Philips Marketing Chair, an area currently underrepresented in academic research, and how Philips hopes to make a major contribution to developing marketing expertise in China.