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Huawei Report Case Solution & Answer

Huawei Report Case Solution 

1.Introduction

HUAWEI is one of the largest manufacturers of mobile phones in China. As a corporation, it has many branches in different countries all over the world. When it comes to smartphone technology, the company has its roots firmly rooted in the U.S. and European markets but also heavily invested in China. As of June 2021, over 20% of the company’s revenue was from the Chinese market. HUAWEI manufactures not only smartphones but smart phones, tablet computers, digital camera and camcorders, digital watches, baby monitors, televisions, medical equipment, industrial equipment and consumer goods.

In recent years, the Company has expanded into a comprehensive range of global products and services. Many of these are derived from the Company’s extensive research in the telecommunications industry, which has led to the development of some groundbreaking innovations such as VoIP (Voice over Internet Protocol), Bluetooth, Wi-Fi, Global Positioning System, Digital Camera, Video recorder, and other technologies. Some of these products have been found ways of securing our nation’s safety and enhancing our national security.

Industry executives said that they are “very pleased” with the recent acquisition of XO Communications, an award winning company based in China. It provides equipment for commercial and residential uses, with operations in Europe and the U.S. The acquisition of XO Communications will enhance the Company’s ability to serve customers who demand high quality wireless communications solutions, and at affordable prices. This acquisition is the latest addition to the Company’s expanding product portfolio. A recent article in the Wall Street Journal highlighted some of the Company’s newest offerings. One of these products is the Qwest Network Capability, which is being used in conjunction with Qwest’s Gigabit Internet service to meet the needs of residential customers in the Denver and Illinois areas.

Industry executives found ways of thanking the people of Huawei for helping to establish the strong international presence of the Company. This includes the acquisition of a substantial number of intellectual property assets in the field of digital semiconductors. This acquisition was made in an effort to strengthen the Company’s ability to secure the leading supply sources of the transistors and memories necessary for innovative products. Experts believe that this investment will help to strengthen the Company’s position in the global market for personal computers and networking systems.

Critical success factors/assumptions that underpin the strategic options

One of the many reasons why experts were so pleased with the acquisition of XO Communications by Huawei Company was because they felt that it proved that the two companies share a vision of long-term success. They were able to work with the Chinese company to form a close partnership that has spanned many business transactions over the years. In fact, they have long worked together to form alliances with national security agencies across the globe. They also find ways of thanking the people of Huawei for helping to shape the future of the Company in the global arena.

The relationships forged by the people of Huawei and XO Communications has enabled the two firms to build solid, trustworthy relationships that will benefit both parties for many years to come. In fact, some national credit rating agencies view the purchase of XO Communications as a positive step forward in strengthening the relationship between Huawei and the United States. In fact, some credit ratings agencies are publicly expressing their appreciation for XO Communications because of the purchase of this subsidiary. This is because they feel that the acquisition of this great semiconductor firm has strengthened the relationship between the two companies. They also view the move as an important step forward in increasing the strength and security of American businesses in China.

Strategic option and accompanying business objectives

Advertising and Revenue

This is the method toward communicating the message to the customers. This is a important communication that views us out from our rivals. It uses both straight and advanced methods for showcasing. It sells its phone through an online business network likewise which is furthermore a important network of endorsing. A few examples of Huawei’s showcasing and deals movements are-transactions power, spreading, special movements, calculating, channel resolve, mentioning and collecting-relatives with channel persons. It additionally takes worldwide stars like Lionel Messi, Saina Nehwal as brand ambassadors to advance Huawei. The encouraging systems can either be push or pull,depending upon the Huawei’s business goals, brand image, thoughtful-essentials and current residual on the posts.

It is expected that other national credit rating agencies will soon see the positive effects of the partnership created by XO Communications and Huawei Company. This is because the purchase of XO Communications enabled the two companies to strengthen their alliance even further. As a result, they now can focus on providing advanced technology to companies in China that might be expanding their business in the future. It is expected that other national credit rating agencies will soon see the benefits of expanding their business with the help of such complementary partners like Huawei.

Problems/ risks Identified

Economic Uncertainty

The start of an economic decline may require Huawei to change their plans. Demand for your firm products and facilities may be less than the firm expected. So in this case of economic uncertainty the firm may decide to reduce the advertising-bud get to reduce costs.

Competitive Features

The good-environment of businesses finishing a small business is always changing. New rivals are entering the market. Existing rivals-introducing new products and services and taking hostile-actions such as price decrease. So Huawei has to change the plans and enterprises to be safe from the actions of rivals.

Launching Costs Higher Than Expected for the New Product

During development, sometimes the firm is unaware of the actual cost of the product for example they did not apportioned the cost accurately so they cannot determine the final cost of the product accurately. So it is also a major problem for Huawei.

Monitoring and control system for the implementation of strategic Objectives

Once the planned-analysis has been done, the further action in the strategic procedures is to make the planned objectives. During this time, the administration are obvious why their firm-occurs and how they will work towards achieving their goals. Strategic analysis stats the data about the liking’s of consumers, rivals, and the firm-assets and abilities. Now is the time to start planning for success.

Strategic objectives

Planned-purposes which are the main objectives of Huawei: tell what the Huaweiwill do to attain their goal. Planned purposes are often a form of operational purpose – e.g., to introduce a new features in the product, increase profits, or improve it’s position in the market.


Three types of  Strategy
Planned-perspective SuggestedAct
Business-Level Strategy Expansion Riseof firm’ssales by 25% ·         Bring a fresh product.

·         Increase of its presence in different regions.

Commercial-Level Strategy Expansion Raise thefirm’ssales by 10% ·         Get a rival.

·         Increase it’s presence to a new nation.

·         Makeprofessional workings in a new sector.

Overseas Strategy Expansion They will get 10% overall market share in a new nation ·         Export products to that country.

·         Get a local firm in that nation to attract and understand their customer needs and wants.

Recommendation:As Huawei is and should be working on the third strategy because of its international preferences and innovative features in it’s products.

  1. Strategy of the Huawei Company

Since its establishment in 1997, the Huawei Company has grown by leaps and bounds. It has established numerous partnerships in the telecommunications sector and has created multiple network infrastructure products and services. Today, it has emerged as one of the most important players in China’s high-tech arena. It is a global leader in communications and has expanded aggressively into other markets such as electronics, software, telecommunications, digital media, military applications and consumer electronics.

The Company has also established several key manufacturing and distribution hubs in China and Hong Kong. This has made it a key player in the China market. It has also developed a great network of joint ventures with various other Chinese firms including HUAWEI CHEAPAN, GERELYTA WETTERS, ZTEYIN CHEAPAN and other Chinese firms. All these ventures have been crucial for the Company’s growth. In turn, these joint ventures have provided excellent opportunities to the workers at Huawei.

In 2021, the company launched the Ztei brand. It was named after the city of Huawei in the Guizhou Province of China. It is the fastest growing mobile phone carrier in China. In recent years, the Company’s revenues have grown tremendously and it attained the 2nd position in the world’s largest electronic appliance market – Smartphones. This achievement is due largely to the expanding reach of Chinese ratings agencies to help promote the Company.

In May 2021, the Company signed an agreement with the Chinese Ratings and Research Association (CROA) for the purpose of promoting the Company across the Chinese marketplace. At that time, the Company had already started building a robust mobile device portfolio. The agreements signed by the Company with the Chinese ratings agencies will greatly enhance their ability to penetrate new markets in the East. This agreement provides additional opportunities for the Company to expand its business in China and strengthen its presence in other Asian countries, as well……………

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