Htc Analysis Essay

2451 Words10 Pages
HTC’s CEO has asked you to help him by preparing an analysis that addresses the following: 1. Identifies and analyzes the industry and competitive environment of the mobile phone industry based on information contained in the case: HTC Corp. in 2009 including key industry and environmental trends, competitive and structural characteristics of the mobile phone industry. 2. Your assessment of the key challenges HTC faces in trying to achieve a sustainable model and long-term success in the industry? 3. Your assessment of the competitive and strategic position of HTC Corp. at the time of the case information. 4. Your assessment/identification of any major changes in the competitive situation for HTC from the perspective of…show more content…
So all the other major players have to keep the prices lower than iPhone, because iPhone has the most market share and has a strong customer brand loyalty. * To summarize, entry into the smartphone industry is not “HIGH” but to sustain and compete against the major giants is close to impossible. 2.) Competitive Rivalry within the industry: High Consumer base: Each firm targets a different set of audience but most of the time overlapping audience. For e.g Apple targets high end customers, Nokia targets the common and the sophisticated customers, RIM targets the enterprise. But the consumer base keeps changing with the change in the dynamics of the industry. For e.g most of the enterprise clients are shifting to Apple because of the innovative design of the products offered. Highly Competitive market: The rivalry in the industry is because of the major players already competing b/w each other. The major firms being Apple, Samsung, RIM, Nokia PALM and HTC. Although each firm has their own strengths and weaknesses which might be related to design of product or marketing or cost of handsets. Competitive Margins: -Because of a large number of key players in the phone industry and the cut throat competition. Every firm is forced to keep the profit margins per sale low and hence attract more customers. -Also the economic crisis during 2008-2009 has made the companies lower their pricing and thus improve sales. 3.) Negotiating Power of Buyers:

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