BEIJING: With the Beijing Summer Olympics just weeks away, China's top refrigerator maker Haier is set to take the world stage in a big way.

The Olympics will provide the China-born company with its biggest showroom yet.

As the main sponsor for the 2008 Games, it is in charge of interior renovations for the Olympic Village of the Olympic Sailing Centre in its hometown, Qingdao.

Mr Diao Yunfeng, Managing Director for Overseas Business at Haier Group, said: "For the Olympics Sailing Centre, we designed a green air-conditioning system that is powered by solar energy.

"In addition, in view of the unique location of the sailing centre, we have made use of seawater for the system, rather than the usual freshwater. So the new product saves both energy and water."

Haier began as the Qingdao Refrigerator Company, a former state-owned enterprise on its way to bankruptcy. In 1985, it was turned over to Zhang Ruimin who had run several electrical goods companies.

The company was producing 80 refrigerators a month, with a defective rate of as high as 20 percent.

A foreign partner was sought to help produce quality refrigerators. It found Liebherr, from Germany. By 1986, Qingdao Refrigerator Company was back to profitability.

The famous brother logo was born, symbolising the partnership that would have a profound impact on China's manufacturing history.

In just over 20 years, Haier has become a top brand in China - taking the bulk of the country's market share, and ranking fourth in the world.

Its strategy is to respond to demands swiftly. With 15 industrial parks worldwide and markets in 160 countries, Haier has come a long way seeking to become No. 1 in the world.

Since it produced its first refrigerator in the 1980s, it has expanded into many other businesses, and now has six large business units overseeing them. Haier has different arms dealing with IT, real estate, pharmaceuticals and insurance, among others.

Mr Diao said: "We have found that there's been an increase in consumer demand for one-stop solutions for their home appliance needs. So we decided to set up the commercial product business unit that provides integrated services for all our customers."

While increasing affluence among the Chinese is driving up competition from foreign brands, Haier still holds the advantage, playing on home ground.

One customer said: "A big plus of Haier is its customer service. I've bought foreign brands before, but their after-sales service isn't satisfactory. It's still more convenient to buy from Haier. Moreover, its products are of good quality."

The company is expanding its turf overseas as China gradually loses its edge with the climbing yuan, rising material prices and higher labour costs. About one-third of its refrigerators are now produced overseas. - CNA/de