An uncertain economic future in the United States may affect some players in the flat-panel TV market. One of the LCD vendors that faces an uncertain financial future is Syntax-Brillian, which markets Olevia-branded TVs. Sources from the industry say that retailers like Circuit City and K-Mart have looked to extend their payment terms for LCD TV vendors from a two-month period to a 3-4 month period.
This might result in liquidity problems for some smaller vendors. An other difficulty that these vendors are facing can be found the return rate. It's expected that the return rate will be hitting 15-20%, since some retail chains offer a 90-day unconditional exchange to their customers.
An expected recession also delays the purchase of a TV. Some are already cutting on their loans and try not to drown in 2008. What this will mean for the consumer can't be said yet, but what do you think? Will the price go up or down and which vendor of LCD TVs will be the first to go bankrupt?
