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Matsushita Sells Lighting Services by Staff Japan for Sustainability, August 26, 2002

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In April 2002, Japan's Matsushita Electric Industrial Co.Ltd. started a new business called "Akari Anshin Service" ("Worry-free Lighting Service") to provide lighting to factories and office buildings.

Rather than buying florescent lights, customers pay a fixed monthly charge to receive lighting service. Matsushita remains the owner of the florescent lights, and collects the burned out ones for recycling.

Customers can spread out the initial cost of purchasing florescent lights and can expect a 15-20 percent cost reduction since they can save the disposal cost Furthermore, since they don't own the lights, the customers also won't have to be bothered with the legally mandated administrative work of a manifest.

In April 2002, Japan's Matsushita Electric Industrial Co. started a new business called "Akari Anshin Service" ("Worry-free Lighting Service") to provide lighting to factories and office buildings.

Rather than buying florescent lights, customers pay a fixed monthly charge to receive lighting service. Matsushita remains the owner of the florescent lights, and collects the burned out ones for recycling.

Customers can spread out the initial cost of purchasing florescent lights and can expect a 15-20 percent cost reduction since they can save the disposal cost Furthermore, since they don't own the lights, the customers also won't have to be bothered with the legally mandated administrative work of a manifest.

Believing that "the hardware oriented business model ended with the 20 century", Matsushita positions "Akari Anshin Service" as an advanced model. Due to parity in product performance, the florescent light market is highly price-competitive between companies. Providing the function of the lighting, rather than the objects themselves enables Matsushita to capture customers and gain additional profits on its disposal fees.

Related Sites:
Japan for Sustainability www.japanfs.org