Huawei Marketing Strategy Analysis: Increasing Market Share

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Added on  2023/06/11

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This report provides an analysis of Huawei's marketing strategies aimed at increasing sales and market share. It explores the Ansoff Matrix, recommending Market Penetration as the most suitable strategy given Huawei's global presence. The report also includes a BCG matrix analysis, categorizing Huawei's products as Stars, Cash Cows, Question Marks, and Dogs. Furthermore, it delves into a customer-driven strategy, focusing on demographic segmentation (targeting customers aged 18-55) and positioning Huawei as an innovation-driven technology provider with reasonable prices. The report concludes that by implementing these marketing practices and investing in advertising, Huawei can effectively promote its products and achieve its sales objectives. Desklib provides access to similar solved assignments for students.
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Huawei Analysis
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Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
Overview of the company......................................................................................................3
Marketing Strategy.................................................................................................................3
Marketing Analysis................................................................................................................4
Customer driven strategy........................................................................................................5
CONCLUSION................................................................................................................................5
REFERENCES................................................................................................................................6
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INTRODUCTION
This report assessment will be comprised of understanding of analysis and development
of marketing strategies for Huawei in order to increase the sales of respective business
organisation (Ferrell, Hartline, and Hochstein, 2021).
Objectives
To increase the sales of products by 10% within a time span of 6-8 months with effective
marketing practices.
To raise the investment in marketing practices by 20% in order to carry out efficient
marketing practices in order to increase sales of products within a duration 1-2 months.
MAIN BODY
Overview of the company
Huawei is China based multinational business organisation engaged in development and
selling telecommunication technologies in various different economic nations. For instance, the
respective business organisation is looking out for increasing the sales of their products in the
market with implementation of suitable and effective marketing practices.
Marketing Strategy
Ansoff Matrix
Market Penetration: This strategy defined in Ansoff matrix is aimed at implementation
of strategies in order to operate within the existing markets with existing products and
services. For instance, strategies in market penetration include reduction in price, heavy
marketing practices, increasing production capacity and other strategies.
Product Development: As the name suggests, it includes development of a new product
to be served with the existing market or existing customer base. Strategies in Product
development include introduction of new products, effective research and development,
innovation in existing product, etc.
Market Development: This particular strategy includes serving existing products into
new market in order to increase exiting customer base of company with further expansion
of business units. In addition to that, sub-strategies under market development include
expansion of business units to different nation or region, additional segment of
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customers, increasing brand awareness, customer education, etc. All these strategies
further facilitate in market development for a business organisation.
Diversification: This strategy is aimed at everything new including expansion of
business units with development of additional products to be served in the market.
Furthermore, it facilitates in building up a new customer base with introduction of new
products to be served in the market (Schawel, and Billing, 2018).
Referring to respective business organisation, Huawei already operates with global presence
which influences the decision-making for consideration of Market Penetration as the most
suitable strategy for the company. This particular strategy will be further facilitated with
increasing investment in marketing practices as well as increasing production capacity which
will lead to rising sales of products offered by Huawei to their customers.
Marketing Analysis
Stars: This classification of BCG matrix include products of respective business
organisation which has high growth potential as well as high market share in the market.
For instance, it includes The P series of Huawei mobile phones, Optixtrans DC908,
SmartLi UPS, etc. are some of the star products of Huawei which could facilitate
company in attaining new heights of success.
Cash Cows: It includes products and services of respective business organisation which
has a high market share but it has reached maturity as it has low growth rate. It includes
Huawei X sport AM61, Honor Band 5, Huawei GT2, etc. which has high market share
but has low growth rate.
Question Marks: This category or classification includes products of a company which
has low market share but has higher growth rate. For instance, it includes Huawei Wi-fi
Cube, Matebook X pro, Swan, etc. which could be improvised with additional investment
as well as consideration of effective strategies.
Dogs: This category includes worst products with low market share as well as low
growth rate in the consumer market. It includes products of Huawei which resulted in
being a flop in the consumer market with lack of consumer preference and demand
towards the same (Chiu, and Lin, 2019).
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Customer driven strategy
Segmentation: Demographic segmentation has been taken into consideration as it will
facilitate in selecting target audience on the basis of their age.
Targeting: Among the segmented customers, customers between the age of 18-55 has
been determined as target group of customers as it has been observed with maximum use
of digital devices among this particular segment of customers.
Positioning: The innovation driven technology at reasonable and justifying prices will be
promoted in marketing practices of company among customers in society (McDougal,
and et. al., 2021).
CONCLUSION
From the above report assessment, it could be concluded that, Huawei is among leading
business organisation engaged in telecommunication industry. For instance, Market penetration
has been determined as most suitable and appropriate strategy for respective business
organisation. In addition to that, Demographic segmentation has been taken into consideration in
order to consider the customers between age of 18-55 in order to promote products among them
with advertising the innovation driven technology used by company.
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REFERENCES
Books and Journals
Chiu, C. C. and Lin, K. S., 2019, July. Rule-based BCG matrix for product portfolio analysis. In
International Conference on Software Engineering, Artificial Intelligence, Networking
and Parallel/Distributed Computing (pp. 17-32). Springer, Cham.
Ferrell, O. C., Hartline, M. and Hochstein, B. W., 2021. Marketing strategy. Cengage Learning.
McDougal, and et. al., 2021. Telling the tale: applying a strategic brand storytelling process for
STP planning. Journal of Strategic Marketing, pp.1-21.
Schawel, C. and Billing, F., 2018. Ansoff-Matrix. In Top 100 Management Tools (pp. 31-33).
Springer Gabler, Wiesbaden.
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