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0 pointsnneonneo9y ago0 comments

> I just bought all new appliances for my house a few years back. If anything, I was bowled over by all the players in this space and had to do a lot of legwork in regards to reviews. I really don't think lack of competition is an issue.

The post specifically addresses this: most of the brands you see have actually been consolidated into a small number of manufacturers. Brands under the same parent corporation may only appear to compete, while really being a means to achieve market segmentation and illusion of choice.

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drzaiusapelord9y ago· 2 in thread

It still doesn't matter. GE is run by its own management and engineers. It doesn't matter that its all owned by one Chinese conglomerate or NBC or whoever. They're not re-badging Shenzhen #1 Super Fast Machine with the GE tag. Corporate ownership is, generally, an abstract that shouldn't matter in most cases. Unless they're purposely cutting lines or just rebadging stuff, then reading reviews is still the solution here.

I also noticed he didn't mention any giant German brands like Bosch or Miele. Nor any Japanese brands. Or less popular brands like Amana or Admiral or Hotpoint. Again, this space is full of competition. Compare that to tech where we have natural monopolies all the time or a duopoly, at best, with lots of little third-level competitors that barely get sales.

Car guys fall for this fallacy too. Latte-sipping Fiat engineers with only small car diesel experience who are appalled by off-roading aren't designing the new Wrangler. The Wrangler is its own design and designed by the same engineering team that worked on it before the buyout. The 2018 Wrangler won't be a Fiat mini with slightly larger wheels. It'll still be Wrangler and reading reviews on it will be all that matters. Of course, this can change, but the idea that a single large owner depresses the market and hurts quality is questionable. They do, of course, have a big advantage with pricing and other market advantages.

cc4399y ago

>Unless they're purposely cutting lines or just rebadging stuff

This is exactly what they're doing. Your example, GE, actually sold off it's appliance division to Haier. They had also been relabeling LG appliances for years prior to the sale of the entire division. The article for this thread also made note of the fact that "Kenmore" is nothing but an umbrella label under which includes products from almost every manufacturer. The only difference between my Kenmore refrigerator and the LG equivalent is the label on the door and the far lower number of reviews on the Kenmore due to its limited distribution. Unfortunately, the LG was widely known to be junk but since the Kenmore was exclusive to Sears, there was no information available to make this connection until I had it disassembled in my home and I began to look up part numbers to fix it.

Source 1: https://www.nytimes.com/2016/01/16/business/dealbook/haier-g...

Source 2: http://www.appliance411.com/purchase/make.shtml

Arizhel9y ago

Kenmore is not representative of the appliance industry. Kenmore has been nothing more than a rebadger for probably its entire existence, and certainly more than my lifetime. It's not a secret, and never has been. The advantage to buying Kenmore was that you could buy it at your local Sears, and you could always get parts for it at your local Sears, as that was part of the deal Sears made with the manufacturer. These days, since Sears seems to be swirling the drain, there's no advantage to buying a Kenmore versus getting the same non-rebadged model from the OEM.

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