Chinese Company: Haier Business Strategy

In Chinese market, demand was high. Haier being able to read customer need properly, focused on Product Quality, After-Sale Services and Brand Building. While there was oversupply in the market, with product differentiation Haier was able to raise its prices. Their target was to be a first-class brand.

The main strategy that contributes towards boosting its sales is its exceptionally occasional reach for diverse packaging. But apart from that, there are several other measures followed in promoting the products in a sustainable manner. They introduce 6-8 new products every year, hold regular tastings at their stores at least once a month, choose product of the month which is certain to allure clients into the store (TEC The Executive Connection, n.d.). In reality it is a brand that can be found in totally every feature of the Haigh 's Chocolates business. Its logo is worn on the white shirts of assembly line labourers pretty much as it 's imprinted on each case and sticker in each store. However, the organization 's prosperity is not because of something as oversimplified as a flawless logo (Fanning, 2014). Apart from this, Haigh’s has such great brand recall and acknowledgment because of the solid, ideal and one of a kind brand affiliations; the 'brand image '. Less cash would need

The most dominant problem addressed in the case that Haier is facing is that it lacks of brand popularity in the global market, comparing to its direct competitors such as Whirlpool, GE appliances, and Electrolux. Even though Haier made its effort to amplify its brand image and popularity globally by making a bid to acquire Maytag Corporation yet did not succeed, it is still difficult for Haier to enter the high-end segment of the US white goods market. According to statistics from Euromonitor, Haier’s 2013 market shares in consumer appliances segment in the North American and Western European markets were 0.9% and 0.5% respectively, which are significantly lower than Whirlpool’s, one of Haier’s major competitors in the U.S. and Europe,

Myer sources its products from over 800 suppliers globally compromising 2400 brands, to provide customers with one of the broadest brand offerings by a single

In the United States the home appliance industry is a mature market with high penetration, therefore, replacement product is significantly important to the industry. The United States has three major manufacturers for domestic production: Whirlpool, General Electric, and Electrolux. The appliance industry is changing rapidly and becoming more competitive with the influence of Asian competitors, specifically, LG Electronics and Samsung Electronics, who are major appliance importers. Subsequently, in January 2016, a Chinese manufacturer, Haier, bid for the purchase of General Electric Appliances, finalizing the contract on June 6, 2016 (Thompson, 2016).

In the opinion of the respondent, “Made in China” does harm Haier’s development in mature markets due to the low-quality image associated with Chinese products. Haier established its brand in mature overseas markets by first analysing the demands of local consumers. The company believes in a strategy of localization in overseas markets.

* 218 retail stores in Canada, 4 retail stores in USA (NY) and 9 licensed in the Middle East.

Then in the decade of 50s, they sold chocolates at the movies in the cinemas, in the next decade TV was introduced and become the eye catcher for the company’s publicity. Then, in the same period company decided to open its outlet out of their native business hub, which was in Collin Street Melbourne and proved themselves that they can still maintain the same quality product which further developed the brand loyalty. This journey of innovation continues till this company reached Sydney, and now lately Haigh’s introduces e-commerce capabilities and implemented their primary online sale

Your post was really thoughtful, and well explained. I have the same perspective as you do towards Barton use of the three principles, and decision to hire May Ying. Barton was not a culturally competent communicator because he lagged on the knowledge he had towards May Ying’s Chinese culture. Barton did not know why she was responding the way she was to his questions. Barton, as you mentioned, could had developed cross cultural skills in order to be able to communicate with May Ying, and adapt her behaviors. Especially understand her values, so he can get a better understanding on why she isn't giving much eye contact and responding vaguely to the interview questions. Moreover, I believe May Ying could’ve gained knowledge on the Chinese

In order to identify BMW Group’s internal strengths and weakness, here applied strategic capability which combined three keys of resource: tangible resources, intangible resources, and competences. All of these resources enable a company to attain a sustainable competitive advantage (Dess et al, 2010).

5) Another example of creating value by using a related diversification strategy was when Haier applied innovation to product design and production from the Liebherr Corporation of Germany. This strategic move created value by not only competing and expanding its product categories, but also by creating market needs. (pg. 7) The activity sharing and market need helped create product breakthroughs like washing machines that operated without detergent or water, and refrigerators that needed no compressors. (pg. 8) Another example of creating value was when Haier entered a strategic business alliance with Sanyo. Sanyo wanted to increase its competiveness in China taking advantage of Haier’s extensive distribution network, whereas Haier hoped to enter the Jampanese market by utilizing Sanyo’s distribution and service centres’s. (pg. 12) In the end Zhang Ruimin utilized this diversification strategy in an attempt to gain market power. B.Also discuss how Haier can use unrelated diversification strategy to create value.

Strategic analysis can be defined as the gathering and review of data regarding an organization’s internal processes and resources as well as the external market forces in order to determine the appropriate strategy for the organization. The internal processes and resources of Panda Company need to be reviewed in order to gauge its capacity to conduct its e-business operations in the marketplace. In addition, the micro-environment or Panda Company’s immediate competition also needs to be considered in terms of customer demand and purchasing behaviors, current market structure as well as relationships with the stakeholders of the firm. Furthermore, the macro-environment or the environment of the firm in a broader perspective

Haier is a Chinese electronical appliances producer and it decided to take a 20 per cent stake in Fisher & Paykel Appliances Company (F&P) which is a New Zealand company. According to their agreement, besides the stake, Haier will also take two seats on F&P’s board and also they will cooperate in various business functions, including product development, sourcing, manufacturing and marketing. This action brought win-win situation to both companies. For Haier, unlike its domestic acquisition strategy, this alliance strategy enabled access to well established

Xiaomi Ltd. founded in April, 2010, by Lei Jun (CEO of Xiaomi Ltd.). “I admire giant companies like Huawei, Tencent, Sina and Alibaba, but I don’t want to create another Huawei, Tencent, Sina or Alibaba. My dream is to maintain my current company as a small one. (like a) small restaurant that people line up outside of to buy my products, and my friend will call me to reserve seats for them.” – Lei, a keynote address to the 2013 Global Mobile Internet Conference, Beijing.

The most significant challenges China Resource Corporation faced prior to 6S were government intervention, over diversification, lack of strategy, lack of centralized reporting, and short-term focused managers. New policies in the economy during the late 70s under Deng ended CRC’s monopoly for China’s trade. The introduction of special economic zones (SEZs) and joint-venture partnerships reduced CRCs value position as the mediator, as it was no longer necessary for firms to work thru CRC to access the goods and benefits. CRCs broadening of interests and portfolio diversification grew rapidly due to the loss of its monopoly. The expansion of investments caused overinvestment and overcapacity which cut into returns and it became evident that the company’s assets and operations were poorly controlled and too diverse.