Business Case Analysis of Huawei Enterprise USA Inc.

Running head: MANAGEMENT
Management
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MANAGEMENT1
Huawei Enterprise USA Inc. is one of the communication services
providers in USA. It covers enterprise networking, cloud computing,
wireless, network energy, unified communications and collaborations,
data centre and infrastructure services (Tapia, Shah & Ionescu, 2015). The
company is considered to be a leading ICT (information and
communication technology) solutions provider. It was established in the
year 2015. It is a Texas Foreign For –Profit Corporation filed on 12th July,
2012. This paper shall elaborate on presenting business case analysis for
this firm while highlighting its business structure, governance structure
the factors that influence its performance and decision making processes
and its business practices that it has adapted in order to ensure
sustainable growth and development.
Business structure and governance structure of the company
It is to note that by means of staying a customer centric organisation and an inspiring
dedication, the company has successfully sustained a long terms growth by means of
continuous improvement of its business and corporate governance structures, its appraisal
systems and other different organisational processes (Huang, 2019). It is to note that
“shareholder’s meeting” is the authoritative body of Huawei Enterprise USA Inc. that makes
decisions on the major business issues like the capital increase of the company, the
distribution of profit, the selection of members of Supervisory Board and Board of Directors
(BOD). It is to mention that the BOD is the highest body in the organisation that is
responsible of corporate strategy, customer satisfaction and operations management. Its
mission is to lead the company forward and it exercises the decision making authority for the
operations management and corporate strategy while ensuring protection of shareholders’ and
customers’ interests. Both the BOD and the executive committee are led by the rotating

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chairmen. At the time of their terms, the rotating chairmen serve as the foremost leaders of
the organisations (Zhu & Jones, 2014). The main responsibilities of the Supervisory Board
are overseeing the fulfilment of responsibilities by the BOD members as well as the senior
management of the company, monitoring the financial and operational status, supervising the
legal compliance and internal control. Also, there is an independent auditor of the company
called KPMG since the year 2000 (Tao, De Cremer & Chunbo, 2015). It is responsible for
auditing the annual financial statements of the company.
Environmental factors are influencing the company’s performance and/or decision-making?
Political- USA has always been facing international criticism for its interventionist policies
related to the War on Terror and this is souring the foreign relations and is also fuelling the
terrorist groups while increasing the terrorism threat.
Economic- The recession in the year 2009 have influenced the economy of USA as well as
the rate of unemployment that have soared to an alarming point. However, the economy has
bounced back with a growth of about four percent during the third quarter of the year 2014 as
the businesses and customers have stepped up spending. Notwithstanding this fact, the
rapidly increasing deficit of budget has laid the economic prosperity of the nation at high risk
as the deficit at present accounts to about 505$ million.
Social- Despite the continuous effort of Huawei to fit into the culture of United Stats, it still
faces certain difficulties when it first started its operation in Plano. Americans found it
difficult to pronounce the name of the company and this caused a confusion and also the
employees working for Huawei found it difficult to adapt the Texas accent as well as the
local culture. With the same, there has been increasing illegal immigration in USA. At
present, about 11.7 million people are living illegally in the country and this is further
increasing the risk of racial discrimination.