ipl-logo

Strategic Change In Huawei

1934 Words8 Pages

Introduction
The term strategic changes in management means the introduction of the some urgent needed adjustments of the policies, modifications of the company products and new future plans. Some factors actually influences these types of changes and those changes can be external or internal to the company. Huawei Company had to bring some strategic changes in the management because they wanted to reach one of the top positions in the current ICT market.
1 Task 1
1.1 Briefly mention and discuss three models of strategic change.
Adjustments, modifications and changes in organization’s future plan, mission and vision are called models of strategic change. Both internal and external activities of firm have influence on the strategic change (Malhotra …show more content…

Recent economic downturn: The price is rising day by day, not only for Huawei, but also for all ICT companies. Price of raw materials is also on the rise. Huawei should make some strategic change decision which will minimize the cost of raw materials. For example, Huawei can collect raw material from a nearby source, and can also use relevance costing strategy.
2. Expectations of Customers: customers have learnt to keep their mobile longer than usual time period. They are also expecting a phone of best service and longevity, but at a minimum cost. Other companies are expending huge amount in advertising, thus attracting the customers (Appelbaum, 2009). So, Huawei should fell the customer expectation, and makes change thereby.
3. Competitive Business Age: It is true that competition is healthy in any market, but it is more important to exist in the competition. Apple, Nokia and Samsung are using some innovative technology and give a brand new feature by their mobile phones. Huawei should adapt to these innovations and strategies to compete with the big …show more content…

However, these factors are assessed below:
The Changing Economy: Today’s economy is fast growing than ever. Economic recession, internationalization process, marketing strategy, advertisement etc. have made the economy more competitive (Lee, 2005). So Huawei is in the need of change its monetary and fiscal policy.
Environmental Issues: Environmental factors have impacts on Huawei on its business performance. Joint partnership with Vodafone (Spain) has made it possible to expand business to new countries. So Huawei should keep in mind the importance of environmental issues (Huawei, 2007).
Financial factors: To meet the deadlines and targets, there are occurrences of financial pressures. Huawei needs a change in its finance plan. Economic recession in recent times may need to minimize the fund for Huawei.
Advancement in Technologies: Changes in productions, outsourcing, marketing and other areas have seen in recent times. Huawei needs to upgrade its system and thus keeping pace with the latest available technology.
Competition: ICT market is very competitive now. It is very important for Huawei to observe the activities of competitors like Apple, Nokia, and Samsung

Show More
Related

  • Marketing Strategy: SWOT Analysis Of Blackberry

    925 Words  | 4 Pages

    Companies are pressured to release new products faster than competitors. Another is increased competition for government contracts, has to compete with Samsung and Apple for contract

    Read More

  • The Strategic Change Cycle

    1852 Words  | 8 Pages

    Abstract The strategic change cycle is one of the processes within strategic planning. This cycle is a ten-step process created to assist organizations in meeting their mandates, satisfying their missions, and constructing public value. “Strategic planning is intended to enhance an organization’s ability to think, act, and learn strategically” (Bryson & Alston, 2011). Introduction Strategic planning is “a deliberate, disciplined effort to produce fundamental decisions and actions that shape and guide what an organization (or other Entity) is, what it does, and why it does it” (Bryson & Alston, 2011).

    Read More

  • Apple Watch Case Study

    1267 Words  | 6 Pages

    However, specifically compared to the smartwatch competition, the Apple Watch stacks against the Gear 2, the Moto 360 and the Pebble Steel. Key competitors of Apple in overall means of competition including the cell phone industry and other product are: Google, HPQ (Hewlett-Packard Company), RIM, Samsung, HTC and Nokia. As the smartphone competitors in figure 3.1 can be seen with Apple’s revenue, gross profit margin, earning per share, price earnings and net income with its direct competitors in the table. Environment According to the Ansoff Matrix (a strategic planning tool that provides a framework to help executives, senior managers and marketers devise future strategies for future growth), the environment that the apple watch will experience, will be a diversification method.

    Read More

  • Advantages Of Samsung Pricing Strategy

    1561 Words  | 7 Pages

    Samsung implements the strategy of “ Red Ocean;” which shows that a firm gains competitive advantage by venture into the current market and constructing on the weaknesses of other competitors in the field of similar products. Thus, Samsung“floods the market with many products” which are made by other companies within short duration of time ( Travos,2002). It seems that Samsung made these new products through developing many of manufacturing products of its Smartphones. However, such attitude is considered to be as a massive cost advantage over other firms that make such product. Samsung has improved its “competition position internationally through developing its present competitive strategies” , through depending on the other manufacturers`

    Read More

  • Xiaomi's Theory Of Disruptive Innovation

    964 Words  | 4 Pages

    Because Xiaomi´s products are so much more affordable, the market for high-end phones have changed. With their convenience and affordability, Xiaomi basically created a new mass market for smartphones in the emerging countries they´ve expanded

    Read More

  • What Are The External Business Environment Of Huawei

    1433 Words  | 6 Pages

    The external business environment consists of a set of external factors, such as economic factors, social factors, political and legal factors, demographic factors, technical factors amongst others, which are not controllable in nature and affects the business decisions of a firm. The external environment includes opportunities and threats which can impact on the marketing strategy of Huawei. As mentioned, marketers cannot control the factors of the external environment. However, they should try to understand the changes in the external environment and assess the impact of those changes on the target market. In fact, a proper understanding of these factors helps organizations to identify potential business opportunities and threats in the international market (Baines et al., 2011).

    Read More

  • Apple Market Structure

    1323 Words  | 6 Pages

    For Instance, Apple and Samsung are the dominant companies manufacturing smart phones alongside other players like

    Read More

  • Political Factors Affecting Apple Inc

    2108 Words  | 9 Pages

    Next, the three crucial economic factors that affect the company include inflation, recession and currency. As Apple products are commonly viewed as luxury products, and with inflation and

    Read More

  • Macro Environmental Analysis Of Nike

    2130 Words  | 9 Pages

    We can look through its macro environment by six factors. The six factors are: political, economic, cultural, technological, natural, and demographic environment. The macro environment analysis is to find out the possible threats and opportunities of the brand. The analysis will

    Read More

  • Macroeconomic Factors Affecting Apple Company

    2241 Words  | 9 Pages

    are all the economic factors. The ability of people or purchasing power of Apple products is targeted from medium to high class. Economic factors effect Apple Company’s business process as Apple is recognized internationally. The products components that the company gets from foreign suppliers play an important role because of the exchange rates and currency differences.

    Read More

  • Apple's Target Market Analysis

    1625 Words  | 7 Pages

    For example, the Nokia N-series is for the segment of students and teenagers. Nokia competes with blackberry through their E-series which offers a range of business phones, targeting the segment of corporate professionals. On the other hand Nokia also provides a range of premium and luxury phones by the name of “Vertu”, which targets the higher social class segment in the market. Positioning:

    Read More

  • Argumentative Essay About Apple

    809 Words  | 4 Pages

    The paragraph above shows data of a comparison between Apple and Samsung. Apple retail was increasing over Samsung in the smartphone market. Samsung used to rule the mobile market until Apple started its iPhone series. Even now Samsung is trying to give a head to head competition with its new Note series. But Apple being Apple, think different (Apple's tagline) and released iPhone X to blow out every other phone from the market.

    Read More

  • Emergent Strategy Case Study

    1931 Words  | 8 Pages

    Emergent strategy When change happens, an organization changes its strategy, which in turn, changes its structure, organizational culture, recruitment standards and etc. It indicates that strategy process is part of change process. As mentioned before, most change initiatives fail, no least because not engaging all employees in the process towards change (Stanleigh, 2008). We suggest that emergent strategy is a central part of successful change. One reason for this being that the foundation of emergent strategy is to involve more people in strategy making process (Mintzberg et al., 1988).

    Read More

  • Apple And Samsung Comparison Essay

    700 Words  | 3 Pages

    Today, almost every person caries a smart phone with them and some can’t survive the day without it. There are many companies and manufacturers who build smart phones like the popular ones such as Htc, Nokia, Samsung, Apple, Huawei, Motorola, Sony and many more, but what makes those companies not alike are the phones they release through the years, but are they that different? To compare, let us take an example of two leading rival companies in the field of smart phones, Samsung and Apple, who newly released their flagship devices, the Samsung Galaxy Note 4 and the Apple iPhone 6 plus. The Samsung Galaxy Note 4 features a 5.7 inch Super Amoled touch screen, a 16 megapixel back facing camera, an octa core processor with 3 gb of Ram and a 3220 mah battery whereas the Apple iphone 6 plus comes with a 5.5 inch retina display touch screen, an 8 megapixel back facing camera, dual core processor with 1 gb of Ram and a 2915 mah

    Read More

  • Maxis Porter's Five Forces Analysis

    1306 Words  | 6 Pages

    3.2 Industry conditions (Porter 's Five Forces Analysis) Five forces which would impact an organization 's behavior in the market. Understanding the nature of these forces provides organizations the required insights to enable them to formulate the appropriate strategies to be successful in their market (Thurlby, 1998). 3.2.1 Threat of new entrants (high entry barriers) High capital investment for competitor entry into telecommunication industry. Companies in this industry maintain development, spend fairly large amount of capital on network equipment and incurred high fixed costs. Besides, technologies are also considered as barriers for new companies to enter the market.

    Read More

More about Strategic Change In Huawei

Open Document