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 Home > V & D 100 > 29. D-Link India
  V & D 100
29. D-Link India
Sunday, July 15, 2001

Factsheet

CEO: KR Naik
Year of Start-up: 1994 
Area of Operation: Networking, Internetworking and structured cabling 
Address: D-Link House, Plot No 5, Kurla-Bandra Complex, Link Road, Off CST Road, Santa Cruz (East), Mumbai – 400 098
Tel: 022-6526696/6902210
Fax: 022-6528914
Web site: www.dlink.co.in; www.dlink-india.com; www.dlink.com   

SWOT

STRENGTH
  • Multi-product manufacturing base with a strong dealer channel 

WEAKNESS

  • Not perceived as a high end player in networking 

OPPORTUNITY

  • IP Telephony and home electronics 

THREAT

  • Lowering of product margins due to competition will impact its profitability

Identifying demand and adapting itself to the ever-changing market scenario form the most characteristic trait of D-link. Sustaining its growth momentum, the company has once again managed to post an impressive 63 percent growth with a total turnover of Rs 263 crore. Some important landmarks during the last fiscal, are coming out with an IPO, forging a distribution alliance with Clarent for IP telephony solutions, and kickstarting its R&D efforts at Bangalore being some of them.

While to the credit of D-Link, the units sold number are a source of inspiration to anybody analyzing India’s purchasing power, it can easily become a reason for worry. Taking a look at the contrasting figures, one sees the extent of parity. Fifty thousand units of hubs but only Rs 32 crore; 11,000 of switch units but just Rs 23 crore; 3.8 lakh of NICs but just Rs 39 thousand. This was due to falling prices. Even in the modem business, where it sold 3.2 lakh units, if it was not for high-value broadband modems, the figures would not have added up to Rs 94 crore. Despite being a late entrant into the structured cabling market, D-Link gained a strong foothold by posting a 100 percent growth, with revenue of Rs 30 crore.

Success for D-Link, in the future, will lie in balancing its mass business and, on the other hand, its strides into newer segments.

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