What factors behind huawei decision to enter canadian market

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Reference no: EM131083012 , Length: 2000 Words

Assignment

This is an excellent case study for understanding the challenges that MNCs from emerging markets face when operating in a developed economy. Imagine that you are Sean Yang. Prepare a 7-to-8 page white paper for the board of directors of Huawei Technologies Ltd. You will make recommendations for Huawei's future strategy in the Canadian market following the actions of the US, Australian and Indian governments and the adverse publicity that has followed.

Your paper for this assignment will contain the key talking points which Sean Yang will use in his face to face meeting with the company's board.

Theme of the White Paper

To analyze Huawei's position and prospects in Canada within the overall Huawei corporate strategy.

White Paper Outline

1. What were the factors behind Huawei's decision to enter the Canadian market? Use the PESTEL (political, economic, social, technological, environmental and legal) framework to analyze the external environment pertinent to Huawei's entry into Canada in the year 2008.

2. Given the rapid technological developments and expected future growth in Canada's telecommunications industry, how has Huawei responded to competition during the first three years (2008 to 2011) of its operations? Here, you may consider using Michael Porter's Five Forces Model for your analysis of the telecom sector in Canada. These five forces are the power of suppliers, power of customers, threat of new entrants, threat of substitutes, and competitive rivalry, i.e. intensity of competition. Describe how Huawei has been able to benefit from or defend against these forces, as the case may be, while implementing its growth strategy in Canada.

3. Present at least two options to the board of directors for growing Huawei's future operations in Canada. You should present the potential downside and upside of each option based on three criteria: strategic attractiveness, economic viability, and organizational feasibility.

4. Conclusions and Recommendations: Finally, recommend one of the above options to Huawei's board and explain your choice.

Required Reading: attached

DRS: Daniels, J. D., Radebaugh, L. H. & Sullivan, D. P. International business. (15th ed.) Chap. 17, "Marketing globally," p. 655-695; Chap. 18, "Global manufacturing and supply- chain management," pp. 695-728.

Celly, N., Han, M. & Lau, M. (2015). Huawei in Canada: Can It Become a Trusted Player?HK1061-PDF-ENG. Boston, MA: Harvard Business School Publishing.

Verified Expert

Huawei decided to enter the Canadian market as a result of the absence of any known telecommunications giant in the country. The move was also strategic as the establishment in Canada could give the company a gateway into the already flooded North America telecommunication markets (Moran, 2014). Moreover, it offered its products at cheaper rates as compared to companies such as Apple or Motorola. The company gained momentum in its first six months of operations as it was co-awarded a government contract along with the Nokia Siemens brand .the officials of most of the Canadian cities approved of its plans and wanted the country to become the company’s major R&D hubs. Below I will outline the main reason our company decided to enter the Canadian market...

Reference no: EM131083012

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Reviews

jrt1083012

8/29/2016 10:51:49 PM

Perfect solution, i appreciate for your hardwork , i found it quality work and received well formatted paper. i will be more with you in future..

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