Huawei_Company Study

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Huawei_Company Study

  1. 1. 1988   1995   2000   2005   2010  Embarked  on  independent  research,  ini9ated  the  first  R&D   center,   generated  sales  of  RMB  1.5  billion.  Interna9onal  sales  exceeded  domes9c  sales   for   the   first   9me;   Selected   as   a  preferred   21Century   Network    supplier  by  Bri9sh  Telecom  Established   R&D   center   in  Bangalore   and   Stockholm.  USD   100   million   revenue  g e n e r a t e d   f r o m  interna9onal  markets  .    Achieved  a  USD  28  billion    revenue,  ranked  No.2  in  market  share  only  a?er  Eriksson.  Established   in   Shenzhen  as   sales   agent   for   Hong  Kong   company   producing  Private   Branch   Exchange  (PBX)  switches.    
  2. 2. “It   is   only   a   problem   of   9me   that   Huawei  would   surpass   Ericsson   to   become   the  industrial   leader,   not   only   because   of  Huawei’s  growth  rate  (which  has  always  been  higher   than   Ericsson),   but   also   because  Huawei   has   a   much   broader   product   lines  ensuring   more   opportuni9es   for   business  extension  and  upgrading”.  “Huawei  is  no  longer  trea9ng  Ericsson  as  the  chasing   objec9ve   and   NO.1   compe9tor,  because   Ericsson   is   a   tradi9onal   telecom  equipment   supplier   specializing   in   mobile  services   but   Huawei   is   aimed   to   become   a  covering-­‐all   next   genera9on   ICT   company  with  a  huge  product  por^olio”  “Huawei   is   going   to   become   an  informa9on   services   provider   from   a  telecom  equipment  supplier”  
  3. 3. Huaweis  new  Quid  way  routers  performed   very   well   in   the  stringent   tes9ng   environment  we  set  up”.    -­‐-­‐  Tony  Dann,  head  of  IP  test  and  evalua9on  at  BT  Exact    “We   are   delighted   that   it   has  everything   that   customers  expect   from   Vodafone   –   high  l e v e l   t e c h n o l o g i e s   a n d  excep9onal  value”  -­‐-­‐  Schulte,  Director  of  Vodafone    “This   pla^orm   allows   us   to  integrate   a   seamless   range   of  services   and   help   us   lead  innova9on   for   the   mobile  market  ”  -­‐-­‐Luis,   Director   of   Mobile  Business,  Telefonica  
  4. 4. -­‐-­‐-­‐Fast  Company  -­‐-­‐-­‐Newsweek  Zoom
  5. 5. Product:Innovation andinvestment in R&DPlaces:Marketing Segmentationa n d A d a p t a t i o nG e o c e n t r i cApproach andStandardizationPromotion:PR Transformation
  6. 6. Half   of   the   employees  engaged   in   R&D,   an  extraordinary  high  ra9o  comparing   with   any  high-­‐tech  company.  R&D   expenditure   has  grown   steadily   and   has  been   keeping   a   10  percent  ra9o  of  its  total  revenue  every  year.  17   research   ins9tutes  across  the  world:  Silicon  v a l l e y ,   D a l l a s ,  Stockholm,   Moscow,  Bangalore,  Beijing…  42543   patents   issued,  ranking   NO.2   in   terms  of   patents   applica9ons  under   the   WIPO   Patent  Coopera9on  Treaty.  “ E x c h a n g e  Market   with  A d v a n c e d  Technologies”  
  7. 7. §  Interna9onal  expansion  started  from  developing  coun9res  in  MENA,  South-­‐East  Asia,  La9n  America  and  then  sought  growth  into  developed  countries  including  EU  na9ons.  §  Adapta9on  appraoch  to  conquer  different  segmenta9ons.  In  less  developed  markets,  focuses  on  infrastructure  construc9on  and  end-­‐to-­‐end  turnkey  solu9ons;  For  developed  countries  and  highly  advanced  markets,  concentrates  on  bringing  excellent  and  innova9ve  next-­‐genera9ons  products  and  solu9ons  to  help  clients  decrease  the  costs.  
  8. 8. Geocentric  Approach  Recognizing   both   similari9es   and   differences   and  developing  a  global  strategy  based  on  similari9es  to  obtain   scale   economies   whist   responding   to   cost  effec9ve  differences.    TM  TM  
  9. 9. -­‐-­‐-­‐Newsweek  ZoomA  Global  Company    Without  Brand  Awareness  Huawei  started  from  a  strict  B2B  company  and  has  remained  its  main  business  in  B2B  area  9ll  today  Clients   are   limited   to   a   hand   of   telecom  operators   without   recogni9on   from  consumer  markets  CEO   is   an   extremely   low   profile   and  media   shy   person,   whose   personal   style  has   enormously   influenced   the  company’s  media  policies  and  strategies  
  10. 10. New  business  strategy  to  branch  out  to   consumer   electronics   and  enterprises   products   transforms   the  company   from   a   pure   B2B   company  to   a   par9ally   consumer-­‐facing   B2C,  which   users   in   a   new   era   of  leadership  communica9on  style.    In  front  of  the  public  opinion,  Huawei  has  long  been  acted  as  an  ostrich  that  buried  its  head  in  the  sand.  I  can  personally  be  an  ostrich,   but   Huawei   cannot   afford   it   and  the   company   has   to   face   the   public                                                        -­‐-­‐-­‐  CEO  Ren  Zhengfei    It   is   impera9ve   for   the   company   to   con9nue   this   PR   and  corporate   communica9on   transforma9on   and   undertake   a  more   open,   dynamic   and   proac9ve   PR   strategies.  

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