Analysis of Globalisation Drivers for Oneplus and its Strategy in India
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This report analyzes the different drivers of globalisation for Oneplus and its strategy in India, as well as the significance of the Indian market for Oneplus' growth and the possible challenges the company could face in India. It also provides recommendations for Oneplus to emerge as a leading player in the Indian smartphone market.
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TABLE OF CONTENTS INTRODUCTION...........................................................................................................................3 1. Analysis of different drivers of Globalisation for Oneplus, its strategy in India so far and reason behind success.................................................................................................................3 2. Significance of the Indian market for OnePlus’ growth.........................................................5 3. Possible challenges OnePlus could face in India going forward. What should OnePlus do to emerge as a leading player in the Indian smartphone market?...................................................6 CONCLUSION................................................................................................................................7 REFERENCES................................................................................................................................8
INTRODUCTION Globalisation has contributed in better interconnection between several countries or integration of social cultural, technology and people. One plus technology is Chinese smartphone manufacture that was founded in December 2013 and had serve more than 34 countries. Company operates its function across worldwide in consumer electronic industry and India is one of the third largest market after China and US. This report has discussed about drivers of globalisation for One plus, its strategy in India so far and reason behind its success. It has also discussed about significant of India market for Oneplus Growth and possible challenges that company may face in India. 1. Analysis of different drivers of Globalisation for Oneplus, its strategy in India so far and reason behind success Globalisation is a termed that means more interdependences of different countries i.,e sharing of resources, economic, social –culture, flow of investment and people from one country to another (Saxena, Chaturvedi and Rakesh, 2018). There are several drivers of globalisation for Oneplus that have contributed in effective growth and expansion of firm. Some of key drivers of globalisation are discussed as follows: Technology drivers:Globalisation have lead in rapid changes and development in technologies that have contributed in brining revolution in electronic industry. Innovative technology and digital media have contributed in better connection of people or they can easily share their view, ideas to each other’s. Rapid growth of internet has driven Oneplus to enhance its products category so that needs of diverse range of customers can be fulfilled in best possible manner. Growth of telecommunication industry has also lead in driving company to diversify its business operation in order to attain its objectives (Carril-Caccia and Pavlova, 2018). Concept of Digital marketing has helped company to easily generate awareness of its products and services in minds of customers thus build strong brand image and achieve its objective. Political drivers:Due to globalisation, many countries governments have adopted free trade regulations, lower tariff and trade and encourage foreign direct investment thus it provides opportunity to Oneplus to effective grow its business operation. GATT (General Agreement on
Trade and tariff) 1947 and WTO (World trade organisation) are some of the policies that have helped Oneplus to attain its objectives. Market drivers: Most of the domestic market have become more and more saturated so globalisation have provided opportunities to Oneplus to enter into different markets in order to earn higher profit margin. Needs, demand and requirements of customers related to use of more and more innovative technology are rising at rapid stage thus it have drive company to meet their expectancy in order to enjoy higher profitability (de la Escosura, 2019). So, changes in taste and preferences or more demand of products have created opportunities for Oneplus to enhance its market share. Cost Drivers: It can be stated that cost of raw material vary from country to country so globalisation have lead in reduction of overall Oneplus. Thus globalisations has helped company in brining economic of scale and reduce overall cost of company thereby delivering maximum value to customers at minimum price (Czaika and Orazbayev, 2018). Competitive drivers:With globalisation, competition level in electronic industry have increased thus Oneplus in order to earn more profit margin and market share have planned to enter into internationalmarket.Therefore,competitionhavedrivecompanytoexpanditsbusiness operation across global in order to earn and enjoy high profit share. There are several strategies that are used by Oneplus in order to effectively expand and grow its business operation in India and there are several reasons that makes it successful such as: Creating Buzz with Exclusivity:In initial stage of Oneplus, there was not much demand of products or everyone could not afford to buy phones. Strategy of Exclusivity implemented by Oneplus that state individuals cannot purchase it without invitation thus company does not have to make any retail stores or warehouse for unsold phones (Bianchi and Labory, 2018). Influencingmarketing:Companyhavemakeuseofinfluencingmarketingsuchas collaboration with Netflix India, release first look of Sacred games season 2 and claimed that it picture are taken by its phone. Thus it contributed in effective marketing or drive maximum number of individuals to visit social media pages thereby make strategy successful. Less expenditure on Traditional marketing:One plus have emphasis more use of social media platform to influence maximum number of individual to become part of organisation. It have more than 1.73 million follower on twitter and 2.2 million on Instragram so these are famous
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platform at which company mostly run campaign to generate strong brand image in minds of customers (One Plus Marketing Strategies – 9 Big Takeaways,2020). Word of mouth publicity:Company have make use of word of mouth publicity by providing qualitative products and services so that customers are motivated to promote its phones to other individuals in India so that sales volume of firm can be enhanced. Thus, use of word of mouth publicity by Oneplus has helped contributed in adding more and more customers within organisation. Maximum use of hash tag:Oneplus in order to engage maximum number of people have use of hashtags on several social media sites that have yield in gaining better outcome.Like Never settle is a hastag that have been firstly used by Oneplus for its marketing campaign that leads in attracting maximum number of individuals within organisation. This hastag means different for different people but generally it can be stated as never settle for low phone (Andrews, Gal and Witheridge, 2018). Building loyal community member: It is also one of the best strategies that have been used by Oneplus to grow its business operation in India and attain its respective objectives. Marketing manager have always tried to build customers loyalty so that people are motivated to always select its products and services rather than other competitors for fulfilment of their requirements. Affordability of devices: Organisation by focusing on reducing price of products or making it available for all individuals is able to enhance sales volume and profitability of organisation. India is underdeveloped country with most of people with low income base so making use of affordability of device have contributed in growth and expansion of enterprise in India (Arslan, and et.al., 2018). 2. Significance of the Indian market for OnePlus’ growth Population: It is the first benefit which will be seen by the organization in the long run. It had been analysed that there is good sort of population who generally resides in India, this will increase the market area coverage of the company as company will be targeting the better number of the consumer in the market, This will ultimately help the company in improving the level of sales of the company in the long run. Also, it will help the company in increasing the target market of the company(JATAV, 2018). As it had been identified that company generally used to offer product of good quality at lower price in the market. Hence, it had been identified that with the help of product of the company, company will find better sort of market in India. It
had been identified that there are many customer in India who generally used to demand this sort of product in the market. Hence, it had been identified that this sort of population in nation will ultimately help the company in enhancing the level of customer base, as well as it will help the company in enhancing level of sales of the company in long run. Developing economy: It is another important aspect of Indian market which will help the company in seeing good sort of growth in the market. As it had been analysed that in the recent time India economy is one of the most developed economy. As it had been understand that in the recent past Indian economy is the one which has developed. Also, amount of money which is present in the Indian economy is very high in number. This will help the company in seeing good sort of political as well as economical support from India (Kathuria, Kedia and Bagchi, 2019). It had been understand that there is some sort of issue as well for the company as there are variety of the different type of the organization or the company who had already enter the developing nation. This has created variety of different type of the issue for the company in the long. As oneplus is one of company which is well known for offering good quality of the product in the market it can be said that this developing nation will ultimately help the company in seeing good sort of growth and result in coming future (Collier, 2018). 3. Possible challenges OnePlus could face in India going forward. What should OnePlus do to emerge as a leading player in the Indian smartphone market? Competition:It is the one challenge which will be faced by oneplus in coming year, if they decide to go in India. As it had been identified that there are variety of different organization who generally used to offer the same type of the product which is offered by the company in the market. This will create variety of the issue for the organization to maintain their position in the market(Sawhney and Goodman, 2016). It had been identified that all the firm generally used to operate with different motive and used to innovate different product according to the same as well. For overcoming the same issue organization has to make sure that they used to develop a good quality of the product in the market, as it had been identified that there are many organization who used to offer a good sort of smart phone in the market but they generally used to lack in providing a good quality of the product for longer period of time (OnePlus leads India premium smartphone market with 29.3% share,2020). Micromax is one of such company who have seen this sort of the issue in the recent time. Hence, it has been recommended to the company that they have to make sure that they used to develop a good quality of the product in
the market which will ultimately help the company in becoming one of the market leader in Indian market (Luo and Bu, 2018). Customer base segregated:Another issue which will be seen by the organization will be targeting customer base of the company. It had been identified that India is one of the biggest nation in size and number of population in world. This certainly used to create the situation in the organization where company will find it to difficult to provide information to all the target customer base of the company at all the time. As it will get very difficult for the company to use a technique of promotion which can cover a long market of India(Behera, 2020). For overcoming the same issue in the market it had been recommended to the organization that they should use more than one type of promotional tool to cover this sort of market in India. It had been identified by me that using more than one type of promotional tool in the market will ultimately help the company in reaching more number of the customer will also help the company in getting better idea about the customer who are segregated to small nation as well (Jamnani, 2019). Hence, it can be said that to be one of the market leader in market like India, one plus has to make sure that they used to use more than one type of marketing tool in the market as it will definitely help the company in the long run of the business. CONCLUSION After going through the above report it had been concluded that there are variety of the different type of the driver which are present in the global map which will ultimately help the company at the company in seeing good sort of result in the developing nation such as India. After that report concludes that there are variety of the significance which will be seen by One plus by going into India market, significance can be Population, Developing economy etc. At the same time it had been also understand that there are variety of challenges which also be seen by the organization but with the help of good plan and action in the organization, One plus will able to overcome the same very easily in the market in coming future.
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REFERENCES Book and journals Andrews, D., Gal, P. and Witheridge, W., 2018. A genie in a bottle?: Globalisation, competition and inflation. Arslan, Y., Contreras, J., Patel, N. and Shu, C., 2018. How has globalisation affected emerging market economies?.BIS Paper, (100b). Behera, S., 2020. Does the EVA valuation model explain the market value of equity better under changing required return than constant required return?.Financial Innovation,6(1), p.9. Bianchi,P.andLabory,S.,2018.IndustrialPolicyfortheManufacturingRevolution: Perspectives on Digital Globalisation. Edward Elgar Publishing. Carril-Caccia, F. and Pavlova, E., 2018. Foreign direct investment and its drivers: a global and EU perspective.Economic Bulletin Articles,4. Collier, S. P., 2018. The downside of globalisation: Why it matters and what can be done about it.The World Economy,41(4). pp.967-974. Czaika,M.andOrazbayev,S.,2018.Theglobalisationofscientificmobility,1970– 2014.Applied Geography,96. pp.1-10. de la Escosura, L. P., 2019. Human Development in the Age of Globalisation. Jamnani, A. B., 2019. Promotional Strategies with reference to selected E-commerce players in India.Asian Journal of Management,10(2). pp.153-158. JATAV, A., 2019. Determinants of Growth of Indian Telecom Industry. Kathuria, R., Kedia, M. and Bagchi, K., 2019. Competition Issues in India's Mobile Handset Industry. Luo, Y. and Bu, J., 2018. Contextualizing international strategy by emerging market firms: A composition-based approach.Journal of World Business,53(3). pp.337-355. Sawhney, M. S. and Goodman, P., 2016.OnePlus: Crossing the chasm in the smartphone market. Kellogg School of Management. Saxena, A., Chaturvedi, K. R. and Rakesh, S., 2018. Analysing customers reactions on social media promotional campaigns: A text-mining approach.Paradigm,22(1). pp.80-99.
Online OnePlus leads India premium smartphone market with 29.3% share,2020.[ONLINE]. Available through:<indiatvnews.com/technology/news-oneplus-leads-india-premium-smartphone- market-with-29-3pc-share-638570#:~:text=OnePlus%20emerged%20as%20the %20market,new%20report%20said%20on%20Friday.&text=OnePlus%20leads%20India %20premium%20smartphone%20market%20with%2029.3%25%20share.>. One Plus Marketing Strategies – 9 Big Takeaways,2020.[ONLINE]. Available through: < https://www.superheuristics.com/one-plus-marketing-strategies/>.
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