CCID Consulting's data shows that China's sales volume of China's notebook computer market in 2008Q3 reached 218.7 million sets, up 34.5% year-on-year, with a decline in growth rate which could be attributed to the overall economic downturn and the Olympic Games.

With the impact of the global financial crisis starting to show in China's economy, especially the financial market, consumers and industrial users are becoming more cautious in making purchasing decisions. Traditionally, April is a good sales time, but with the Olympic Games under preparation then and that many users postponed purchasing plans, the high costs in logistics directly affected products' promotion, especially in Beijing and surrounding cities.

The fall in demand have led to manufacturers adjust their products in 2008Q3 so as to greet the arrival of the National Day and industrial purchase at the end of the year with brand-new product appearance and configuration. The launch of Intel Centrino2's launch sparked off the notebook revolution in 2008Q3, with adjusted hardware configuration, new appearances and new sizes cover from 4.5" to 20", and imprint became fashionable for a time. Besides, manufacturers spare no effort to content services, and create a new style through entertainment content and studying software.

Competition Becomes Rational, Operation Transfers from of "Ice-breaking" to "Ice-melting"

The competition between manufacture heats up once again as the industry reacts to the global finance crisis. From the users' point of view, the whole economic fluctuation reduces demand, more importantly; falling prices have led consumers especially those with flexible demand to take a wait-and-see stand. Fear of vicious price competition have led some manufacturers to pay more attention to use products and services to attract consumers' attention; they stimulate consumers' rigid requirements through product upgrade so as to affect more consumers. Market operation mode transfers from direct price impact to user-oriented. However, a more rational trend in competition does not mean that the market has entered into maturity. Currently, manufacturers should consider how to solve upstream cost increase, terminal price drop, low profit, small living space, and seek new growth point.

New Manufacturing and Channels to be Adapted

Global finance crisis and RMB appreciation greatly affect the whole notebook computer market. In 2008Q3, HP announced to establish new manufacturing base in Chongqing, which is considered by the industry a direct response under the new environment. RMB appreciation weakens China's cost advantage, especially coastal areas. The financial crisis has affected market demand. Facing cost pressure and difficulty in developing market, manufacturers should reduce cost in upstream manufacturing, seek new breakthrough in terminal market so as to reduce impact. Manufacturers also pay more attention to developing and strengthening channels, which is the key tache to satisfy terminal market requirements. In 2008Q3, Dell has remarkable achievement in channel development, which drives Dell's consumer product market's growth, but Dell faces channel management.

Market to Greet Purchase Peak at the End of the Year

Industry market's revival will drive the whole notebook computer market to rapid growth in 2008Q4. In 2008Q4, SMEs, telecommunications and manufacturing industrial demands will continuously release, telecom reorganization will drive a new round purchase peak's arrival. Because of Price drop and cost performance's improvement, SMEs will choose to purchase notebook computers at a more reasonable price.