Академический Документы
Профессиональный Документы
Культура Документы
Outline
Brief History of HTC Where we are now Vision and Mission External Analysis CPM EFE Summary Internal Analysis IFE
Strategic Analysis SWOT Matrix SPACE Matrix Grand Strategy Matrix IE matrix BCG Summary Possible strategies QSPM Recommendations Strategic implementation and desired results
History
designer and manufacturer of many of the most popular OEM-branded mobile devices on the market.
Since 2006, they have regularly introduced many critically acclaimed mobile devices under our own brand, and our portfolio includes Smartphones and tablets powered by the Android or Windows Phone operating systems.
Apple in 2005
Recently HTC has introduced the EVO 3D And HTC 7
Mini Mac
Now your photos can have as much depth as the moment itself HTC EVO 3D captures your photos and videos in 3D, plus you can view them without the glasses. The stunning 4.3-inch display gives you crisp websites, vivid images and incredibly fluid videos.
iPod Shuffle
HTC 7 Surround has been designed to ensure it sounds as stunning as it looks. Services . Slide out the speaker and surround yourself in sound. Share your favorite music and videos with your friends in virtual surround sound.
Mission of HTC
According to HTC (2010), its mission is: To become the leading innovative supplier of mobile information and communication devices by providing valueadded design, world-class manufacturing and logistics and service capabilities. Components present in mission statement Self-concept Philosophy
Industrial Analysis
We did industrial analysis of the company using porters five forces. Competitors market share Android 25% Symbian 37% Apple 17% RIM 15% windows Mobile 3%
Threat of new Entrants The Smartphone market being highly competitive has a significant threat of new entrants. Threat of Substitute Products Mobile phones etc. are based on similar architecture and are converging into the same segment. So there is a risk that the demand of Smartphone can be absorbed by a substitute such as a web-enabled tablet. Competitive Rivalry within Industry Existing competitors are the biggest challenge in the market. This is the biggest force in play. Brand development and innovation key to sustainability.
THREATS:
1. Rapid technological change. 2. Intense competition. 3. Stringent regulation. 4. Difficult to make HTC phones customer first preference when Apple, Nokia and BlackBerry phones are in the market (customer loyalty). 5.Numbers of products are less as compared to the competitors TOTAL 0.13 0.08 0.02 0.11 3 3 1 3 0.39 0.24 0.02 0.03
0.11
0.33
1.00
2.8
STRENGHTS:
1. It is the leading maker of PDAs smart phones in the world. 2. There is the strong setup of R&D in HTC. 3. HTC caters the customer national and internationally and the numbers of customers. 4. HTC smart phones equipped with windows vista, Android OS, HD video recording, multiple touch system. 5. Industry recognition and awards. 6. Financial performance. 7. Expending market share in sectors.
4 3 3 2
WEAKNESS:
1. HTC is not very much recognized brand in the market as compare to the Apple, Nokia and Blackberry. 2. High manufacturing cost of HTC. 3. Declining liquidity ratio. 4. Patent infringement litigation. 5. Small range of cell phones model as compared
1 2 2 1
SO STRATEGIES
3. Increasing market share by providing innovative 3. Overcome short term debt by strategic alliances (W3, products to customers as compared to rivals (S7, O7). O2). 4.Bring out new products in collaboration with experience partnership(S8,O2) 5.Acheived many rewards and recognition by Beating electronic rivals(S5,O2)
ST- STRATEGIES 1. Introduced new products to gain customer trust (S4, T4, and T5). 2. Compete with rival by focus on performance, Technological advancement and brand recognitions and awards (S5, S6, S7, T2, T1). 3. Compete with rivals by providing services to customers nationally and internationally (S3, T2). 4. Enlarge sales volume and market share with more promotional activities as compared to rivals (S7, T5).
3. Compete with rivals with new techniques (T2, W6, and W1). 4. Supported by technology launches and threaten by popular and highly in demand brand because of high cost (W2, T1, and T5). 5. Less brand awareness leads to lower marketing/sales (W1, T5).
FINANCIAL STRENGTH
1. Purchase all legal rights. 2. Overcome short term debt by strategic alliances. 3. It is the leading maker of PDAs smart phones in the world and there is strong setup of R&D in HTC.
RATINGS 3 3 5 11
INDUSTRY STRENGTH 4 1. Compete with rivals by providing services to customers nationally and internationally. 4 2. Defect in BlackBerry sales decline product brings out HTC product. 6 3. Producing 3G technology in response to rapid technological change. 14 ENVRIONMENTAL STABILITY -2 1.Compete with rivals with new techniques 2. Supported by technology launches and threaten by popular and highly in demand because of high cost. 3. Less brand awareness leads to lower marketing sales. 4.Compete with rivals by focus on performance, technology etc. COMPETITIVE ADVANTAGE 1. HTC has long experience with network suppliers. 2. Introduced new products to gain customer trust. 3. Enlarge sales volume by market share with more promotional activities as compared to rivals. 4. Put attractive features to the products. 5. Keep cost low to attract customers. -3 -2 -5 -2 -4 -5 -6 -3 -16
CONCLUSION
ES= -16/4= -4 IS = 14/3 = 4.67 CA= -16/5= -3.2 FS = 11/3 = 3.667 Directional Vector coordinates: x-axis: -3.2 + 4.67 = 1.47 Y-axis: -4 + 3.67 = -0.33
CONSERVATIVE
FS
6 5 4 3 2 1
AGGRESSIVE
CA
-7 -6 -5 -4 -3 -2 -1 1 -1 -2 -3 -4 -5 2 3 4 5 6 7
IS
DEFENSIVE
ES
-6
COMPETITIVE
Low 0.0
Stars
High +20
EUROPE
INDUSTRY GROWTH
ASIA
RATE
Medium 0
Cash Cows
Dogs
Low -20
ANALYSIS OF BCG:
All three regions i.e. Asia, Europe and America lie in the first quadrant that is QUESTION MARK, means HTC needs to penetrate its market to bring these regions in STAR. HTCs demand has been growing rapidly among upper-middle and working class due to its introduction of ANDROID phones which are more attractive and have more functions and features compared to NOKIA.
E F E W E I G H T E D
S C O R E
DIVISION REVENU E Billion ($) ASIA 47.7 EUROPE AMERIC A TOTAL 90.1 141 278.8
PROFIT % 25 36 39 100
IFE
EFE
ANALYSIS OF IE:
Asia region lies in weak quadrant and HTC after entering into new market INDIA need to put its huge money on advertising. They need to sow many HYV (high yielding variety) seeds to harvest well, like showing effective ads that should particularly focus executive class. They should not advertise their android phones only, but their windows phones and tabs as well. However, America and Europe lie in the medium quadrant means they are doing little well, still they need to strength their position through the strategy of product development to move to strong quadrant. As its rivals apple and Samsung have already captured a huge market and Motorola is also coming up with new range of android phones, so HTC needs to keep an eagle eye on its rival and must respond to the public demand as both America and Europe are the high profit yielding areas for HTC.
Quadrant II
Quadrant I
Concentric Diversification
Conglomerate Diversification Horizontal Diversification Retrenchment Divestiture Liquidation
Quadrant III
Quadrant IV
OPPORTUNITIES: 1. HTC collaborated with Google and launched their 0.12 cell phones with Google Android OS install in it.
2. Strategic partnership with Beat Electronics by acquiring 51% shares. 3. Patent agreements. 4. Industrial growth rate is high for HTC. 0.11
4.00
0.48
2.00
0.24
3.00
0.33
3.00
0.33
0.05 0.10
2.00
3.00 3.00
0.2
0.21 0.24
3.00
4.00 4.00
0.3
0.28 0.32
5. Increasing demand for Touch screen phones with 0.07 3G technology. 6. Manufacturing units in Brazil. 0.02 7. As BlackBerry is an executive phone, HTC 0.08 should also try to reach the executive level. THREATS: 1. Rapid technological change. 2. Intense competition. 3. Stringent regulation. 4. Difficult to make HTC phones customer first preference when Apple, Nokia and BlackBerry phones are in the market (customer loyalty).
RECOMMENDATIONS
STRATEGY 1: LOWER ITS MARKET PRICES:
The fact that Apple's new phone isn't significantly cheaper than its previous iPhone 4 offering should allow HTC to increase market share in key emerging markets with its cheaper Smartphone models.
Forward Integration
Backward Integration Horizontal Integration Market Penetration Market Development
*
* * * *
*
* * * *
2
2 2 2 2
Product Development
Concentric Diversification Conglomerate Diversification Horizontal Diversification Joint Venture Retrenchment Divestiture Liquidation
*
* * * * * * *
2
1 1 1 1 1 1 1