Huawei – An Internationalisation Strategy Assessment

Topic 

Huawei – An Internationalization Strategy Assessment

Instructions 

You are expected to critically analyze and evaluate the case-company’s internationalization strategy to date. In addition, you are expected to provide suggestions/recommendations regarding the strategic directions the company could pursue for future growth (e.g. diversification, divestments, further international expansion, etc.) and an action plan for the implementation of the recommendations.

The ‘case-company’ must be a real organization which engages in international transactions and on which you can collect reliable information from various databases, reports available in the public domain (e.g. annual and quarterly reports; business media), or the library catalogues (e.g. FAME; Mintel; Keynote).

Make sure you liaise with your tutors on your case-company selection and listen to their advice, as they want to make sure that the case-company you select is manageable and of sufficient content.

Although there are no strict requirements regarding the size of the chosen company, please avoid choosing extremely large companies (e.g. Samsung or Volkswagen) with strategies that are too broad and complex to be meaningfully discussed within the 3000-word limit.

Answer Preview

The perceptual map below shows that Apple, Samsun, LG are the main competitors of Huawei. The map shows that Apple and Samsung smartphones are the market leaders, with LG and Huawei competing on the affordable and technology dimensions. Apple continues to take the leading position in the domestic and international market followed by Samsung. The two companies intensify competition by selling premium models with higher sophistication, targeting consumers with high-end profiles. The two companies target customers with higher income levels and can pay a premium for uniquely developed smartphone devices.

On the lower end, Huawei competes with LG in terms of affordable devices and technology. However, Huawei ranks higher in terms of technology, making LG a less fierce competitor. As Huawei targets customers looking for reasonably prices smartphone devices, it faces fierce competition as it creates demands for premium consumers. Therefore, Apple and Samsung continue taking the leading positions in the industry, but Huawei stands a better chance of replacing them by offering superior products with better technology, sophistication, and functionality.

Word Count: 3500