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Huawei Marketing Strategy

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The first foreign partner becomes the Hutchinson Telecommunications in Hong Kong, which purchased switches and related equipment for its fixed-line network. Providing flexible solutions to a new generation of telecommunications, Huawei helps the company to withstand competition of the Hong Kong telecommunications market. During the cooperation the company requires Huawei strictly monitor the quality of their products and adhere international standards of the industry. The company gets first experience of international operations. According to Wu & Zhao, “Huawei spent only 3 months on helping Hutchison to realize the service instead of quotation of at least 6 months set by European telecommunication manufacturers. Furthermore, the price is only …show more content…

However, Huawei had difficulty in attracting customers and expanding market by itself. Therefore, it set up a joint venture of Beto-Huawei with Russian Beto Konzern and Russia Telecom to develop Russian market in 1997. As a new player in international market, Huawei’s development in Russian market is very hard at the first stage. Huawei spent four years on waiting and studying before they got the first order. Huawei was able to undercut international prices by around 12 percent, but its after-sales service was what really impressed the Russians. Its first sale amounted to only $12, but by 2001 its sales had reached $100 million.[37] In the market of broadband products, Huawei occupied more than 50% of the market. Up till now, Huawei has become the Chinese company with the biggest investment in Russia.[ Wu, j 2004 'The hard road to …show more content…

The company invites foreign representatives in the Huawei research centers in China to show possibilities of the enterprise and positive changes in national economy. The company manages to build positive reputation in the market through investments into Russia, South America, Asia and Africa. In 1999 the enterprise with success accelerates process of internationalization and enters the markets of Southeast Asia (Thailand, Singapore, and Malaysia), the Middle East (S. Arabia, the United Arab Emirates), Africa (the Republic of South Africa, Egypt). In 1999 the company creates the first research center in Bangalore, India, is engaged in development of a wide range of program communication. Since 2000 Huawei already actively works at the foreign markets, the company has branches in more than 40 countries; the volume of international sales reaches $100

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