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Heritage Technology deepens Zenith link

Indian PC vendor Zenith poised to develop a regional channel with distributor Heritage Technology and extend its Middle East product line availability.

UAE-based distributor Heritage Technology will expand the range of Zenith products it carries during the next quarter. Zenith Computers Ltd — a household name in the Indian PC market — struck a deal with Heritage Technology to distribute its PCs in November 2003. Plans are now afoot to expand the agreement to include notebooks and servers as well.

“Heritage Technology receives barebone PC systems from Zenith to complete and distribute,” says Rajiv Desai, sales director at Heritage Technology. “We are planning an official launch of the Zenith PC brand in UAE for March and will look to establish a retail channel. There is already considerable interest from large retail chains and independent stores in stocking the Zenith brand.”

One in every three branded PCs in Indian homes is a Zenith PC. Headquartered in Mumbai, India, Zenith has 1000 employees and annual sales approaching $US70m. The company has earmarked the growth of its export business as a top priority for 2004.

“The Zenith Heritage alliance will cater to the region and also extend up to South East Asia [excluding India] and the African continent,” explains Desai. “We will be targeting strategic markets like Saudi Arabia and Iran with a focus on building critical mass.”

With Dubai acting as a strategic hub for Zenith’s Middle East expansion thrust, the company is also considering the launch of a local assembly plant in Jebel Ali. Scheduled for the third quarter, the assembly facility would be a joint venture between Zenith and Heritage. Given Zenith’s aggressive PC pricing policies, a local assembly line would help reduce import overheads and also shorten lead times for getting new models to market.

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