Japan's biggest electronics conglomerate Hitachi Ltd said it will review the operations and its capital relationships with a quarter of its roughly 40 businesses, the Nikkei said.

Hitachi will give up or take public businesses that have been unable to solidify their market positions in five years and are unlikely to achieve a 5 percent operating margin, President Hiroaki Nakanishi told the business daily.

For key segments like its public infrastructure and information technology businesses, the company will dynamically pursue mergers and acquisitions to broaden their customer bases, Nakanishi told the Nikkei.

Hitachi, facing stiff price competition in its power and railway systems' market from South Korean and Chinese manufacturers, has begun a review of system designs and will soon launch cost-saving measures, the newspaper said.

(Reporting by Rachel Chitra in Bangalore; Editing by Unnikrishnan Nair)

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