The focus of this report is the brown goods division of the UK household appliances market. Brown goods' is a reference to early TVs, radios and radiograms that came packaged in wooden, wood-coloured plastic or Bakelite cases.
Brown goods are all essentially entertainment products.
Between 1995 and 1999, the market experienced a period of strong growth in value. This growth was driven by a number of factors including the increasing strength of the world economy generally over this period, and the development and increasing market penetration of these products. The latter part of 1998 and the early part of 1999 has witnessed a general slowdown in the growth of the value of the UK brown goods market, largely due to oversupply, a tightening economic climate and the effect of the continuing strength of sterling. Asian and US multinationals have begun to reduce manufacturing capacity in the UK in response to these forces. Although the UK market is mature, the UK Government's commitment to digital broadcasting technology and the liberalised nature of the UK telecommunications industry offer good opportunities for investment in consumer electronics.