Haier Group's Strategic Position in the US Market: A Case Study Report

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This report provides a comprehensive analysis of the Haier Group's strategic position and performance in the US market. It begins with an overview of Haier's strengths and weaknesses, including its market share and brand recognition, while also acknowledging competitive pressures. The report then explores opportunities and threats, emphasizing the vastness and variety of the American market. Strategic factors, core competencies, and Haier's distinctive competency are examined, with a focus on international expansion as a growth strategy. The analysis includes Porter's industry analysis, Haier's position in home appliances and consumer electronics, and the impact of Zhang Ruimin's management philosophy. The report also addresses Haier's success in entering the US market, market segmentation, and a SWOT analysis of its products in the KSA market. The study concludes with recommendations and a summary of the case study, offering insights into Haier's strategic management and future prospects.
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RUNNING HEAD HAIER’S CASE STUDY 1
Haier case study
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Contents
Contents...........................................................................................................................................2
1.Strengths and weaknesses of the Haier Group in America...........................................................3
2.Opportunities and threats faced by Haier America.......................................................................3
3.The strategic factors facing Haier America..................................................................................4
4.Core competencies........................................................................................................................4
5.Haier Group’s distinctive competency.........................................................................................5
6.The role of international expansion for the Haier Group as a growth strategy............................5
7.Porter’s industry analysis forces and how each force pertains to Haier America........................6
8.Hailer’s position in major home appliances and in consumer electronics in the U.S..................7
9.Zhang Rumen’s philosophy of management and impact of CEO Ruimin had upon the company
.........................................................................................................................................................7
10.Reason behind success in entering the U.S. markets in major home appliances and in
consumer electronics.......................................................................................................................8
11.Can Haier successfully move from being a niche marketer in the U.S. to being a major
competitor like.................................................................................................................................8
12.The role of market segmentation in Haier America’s strategic management.............................9
13.Haier’s position within the KSA Market and apply SWOT analysis of the company products
in KSA...........................................................................................................................................10
Summarization of the Case Study..................................................................................................11
Recommendations and Conclusion................................................................................................11
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References......................................................................................................................................12
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1.Strengths and weaknesses of the Haier Group in America
Strengths of Haier Group America are as follows: It is the largest market share and dealing in
the white goods. The company has secured a place in the fortune 500 companies. The products
are well trusted around the globe. The brand is considered as one of the finest brand and gained a
significant place in the market through its competitive strategy. Haier is a leading company in
China in terms of volume and attaining a significant market place. It is reaching out to the
international market and gained a significant place by providing quality services. They have a
strong and impressive conversion cycle of 10 days. Haier America obliges with top retail brands
in the USA to develop a strong network in the market... The enormous size in the market has
helped in gaining a significant market place. This is important in terms of understanding the
effective market place and regulating the purpose in order to manage the business policies
The weakness of the group is from the point of view of high level of competition in the US.
Market. This has relatively caused extra pressure on the electronic giant. The weakness includes
the expansion in the American market and developing the internal strength (Kotabe and
Kothari.2016) With such a vast presence of international brand it has become tough to manage
the market name.
2.Opportunities and threats faced by Haier America
There are wide number of varieties in the American market in terms of Home appliance. They
have an ample of opportunities in order to manage the changes in order to coordinate with the
market. It is important from the point of gaining productive insight (Piercy.2016). This is
important enough for coordinating the IT and structure in order to attain outcome. It is evident to
attain effectiveness that is necessary to arrange the benefits. In order to gain effectiveness in the
American market, the brand has to develop itself as a better market. Haier has a better
opportunity in terms of enhancing the technology. There are wider opportunities in term of
diversifying the business. It is important enough for adding up the value in order to gain
competitive advantage. There are already many companies who are already working as the
electronic company. In such a competitive market it has become important to look into the
factors that will certainty ensure growth of business (Grant.2016).
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3.The strategic factors facing Haier America
The strategic factors that are affecting the company are the implementation of the effectiveness.
This is important for the company to deliver the concrete objectives in America. The purpose
here is to signify long term growth in terms of signifying sustainable development. The strategic
role of Haier is to signify long-term goals with a purpose of attaining goals (Glowik.2016).
These are important from the point of view of delivering sustainable goals and empowering long
term planning. It is hover important from the point of delivering effective roles and
responsibility. The purpose here is to attain effective purpose and generating the long term
planning. This is significant from the point of developing competency and goals (Frynas &
Mellahi, 2015). It is purposeful from the point of attaining holistic approach and signifying
sustainable opportunity. These opportunities are important enough in dealing with the situation
and consequently approaching towards the effective role and responsibility (Lasserre.2017).
4.Core competencies
The entire group has a core competency in the electronic products. In this way it is possible to
attain the possible outcome. For generating the results, the most important purpose is to maintain
the outcome. It is necessary for maintaining a balance and putting forward the core
competencies. These are necessary from the point of view of associating the long term goals.
Haier America is stringent from the point of view of developing effective roles and making it up
to the individual expectations. The changes in the global competitive scenario in terms of
consumer durable goods are an example of strategic growth. It is important from the point of
view of gaining adequate results (Steenkamp.2017). The purpose is to stabilize the effectiveness
in terms of developing sustainable roles and preparing competent result on a long run. The basic
necessity is to manage the stability and generating pre-requisite goals. It is important from the
point of view of gearing up the stable results. It is evident from the aspect of gaining goals which
will certainly allow in maintaining the aspect. It is therefore important enough to assure the
growth and progress in the process of ascertaining capacity. This is necessary aspect that is a
must process in gearing up the goals and matching up with the individual expectations. For the
purpose of ascertaining long-term goals, it is necessary to establish cohesive result. The purpose
is to attain effective role (Schlegelmilch.2016). It is progressive from the point of view of
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generating better results which will certainly allow in matching up with the expectations. It is
evident from the point of developing results that is necessary in attaining effective roles and
responsibilities (Grosse.2016).
5.Haier Group’s distinctive competency
Being the electronic giant in the world, the company is setting up an example around the world.
This is important from the point of view of gearing the effective growth. This is significant for
generating better results. It is necessary in ascertaining the progressive scope. This is to arrange
the sustainable growth and manage the results in order to manage the progressive results. It is
evident to notice that the core strategy of Haier has to develop progressive results (Lewin,
Välikangas and Chen, 2017).
6.The role of international expansion for the Haier Group as a growth strategy
International expansion is crucial for a business organization to attain effectiveness.. It is crucial
from the point of view of gaining adequate results and matching up the expectations. This is
necessary for attaining long term result and progressive growth. The purpose here is to maintain
the growth and allocating the progressive growth (Panibratov.2017). From the point of view of
attaining the progressive growth it is crucial to develop in a better way. This is evident from the
point of view of achieving effective growth and matching up with the individual expectations.
This is crucial enough for securing better goals. The purpose is to manage the results and
organize the purpose that will ensure systematic growth. The reason behind expansion strategy is
to allocate the growth in the respective sector (Pallas.2016). It has the purpose to attain
systematic growth and arranging the long term purpose in meeting up the objectives. In order to
look forward to different opportunities it is necessary for arranging the purpose that will help in
delivering effective role. This will somehow help in managing the organizational growth and
maintain the balance on a long term purpose. It is therefore crucial from the point of view of
gaining capacity and matching up with the deliverables. The overall core competency is to
manage the systematically. The increasing opportunity has therefore helped in managing the
growth in a progressive way (Goffin and Mitchell.2016). The purpose is to fulfill the target and
allocating the necessary results under the current growth and responsibility it is necessary to
manage the growth of the organization. It is crucial from the point of view of gaining systematic
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role and opportunity (Bonache and Paz-Aparicio.2015). These opportunities will certainly allow
in gaining growth and surprisingly help in accommodating the sustainable objectives. This is
necessary for maintaining a balance and validating the purpose of accommodating the effective
organizational goals. It is of utmost importance that will allow in generating better growth
opportunities. The purpose here is clear and finally focuses over attaining growth and
maintaining a balance. This will typically allow in managing synchronized growth and
accommodating the most possible outcome. The overall result is to manage the growth in terms
of attaining significance (Armstrong et al. 2014).
7.Porter’s industry analysis forces and how each force pertains to Haier America
The electronic industry is very much competitive. The most important task is to understand the
competitor’s mindset. This will certainly allow in gaining adequate competency. It is necessary
for acquiring better understanding and assisting in gaining roles and responsibility. These roles
and responsibility is to maintain a scope that will certainly allow in managing the requisite
growth. It is however important from the point of view of gaining applicable growth and looking
onto the opportunities in order to secure long term growth. The purpose here is to gear up the
competitive results and looking onto the best possible ways to attain the growth. The market is
full of new and old competitors. Under such a condition, it is evident to put forward the most
possible and eventually important and valuable tool in order to gear up the results (Samaha, Beck
and Palmatier.2014). This is important enough for attain progressive results and managing the
real business. It is further evident in securing the positive result and putting forward the different
attainable growth prospects. This will allow in managing the synchronized growth and achieving
the progress. It is necessary from the point of view of getting the results and applying the
necessary outcome (Samaha, Beck and Palmatier.2014). The American market is full of rivals.
Under such a condition it is important to find out the right objective that will certainly allow in
meeting the objective. Fr the purpose of gaining the distinguished role and responsibility in the
market, it is necessary to manage the objective while providing with the synchronized results.
Hence for the organizations it is necessary to maintain a balance so that it is possible to gain
competitive growth. It is evident from the aspect of gaining goals which will certainly allow in
maintaining the aspect. It is therefore important enough to assure the growth and progress in the
process of ascertaining capacity (Samovar, et al. 2014)
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8.Haier’s position in major home appliances and in consumer electronics in the U.S
Haier has attained a significant market place through their effective market strategy. Their
expansion strategy has helped in allocating the results in the most possible way. This has been
helping the organization in matching up with the expectations. The purpose of getting work done
efficiently is through development of goals (Bochner.2013). This is an important process that
allow in managing the objectives and executing the plan correctly. It is therefore important
enough for directing the long term purpose and serving the continuity through management of
effective role. It is necessary for managing the output and creates a better result. The purpose is
to arrange the most effective and concrete result that will somehow assure long term
effectiveness. It is however necessary for arranging the longevity of the plan (Kraidy.2017). It is
important to attain the purpose and definitely arriving at a conclusion so that one can attain better
scope. It is necessary for managing sustainable results and managing the scope so as to attain
better goals. This is significant from the point of gaining long term purpose. The overall reason
behind the growth of Haier is to manage the equitable result. It is therefore important from the
point of view of gaining better scope and generating specific role and scope. It is important from
the point of view of developing a plan that will significantly allocate better roles and
responsibility.
9.Zhang Rumen’s philosophy of management and impact of CEO Ruimin had upon the
company
The capacity can only be managed if the organization works on distinctive core competency. It is
important enough for maintaining a balance and coordinating the supportive growth. It is
evident to manage the progressive results and allowing management of the effective roles and
polices. It s necessary for maintain a balance that can allow in coordinating the support. This is
progressive from the point of view of gearing up effective roles and progressive scope. It is
evident from the point of view of gaining the adequate scope (Kinloch and Metge.2014). It is
necessary to manage the purpose In order to sustain objectives. The purpose here is clear that
will allow in meeting the objectives. It is important enough in guaranteeing effective growth and
purpose. This is important enough for securing growth and matching up with the individual
expectations in order to match up the goals (Piercy, 2016). It is therefore important enough for
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securing the long-term effective results and purposefully achieving the objectives. This will
certainly allow in matching up with the functions and help in attaining ultimate results. For the
other international organizations, this is one of the important scopes and parameters that will
allow in attain results. This is progressive from the point of view of gaining the appropriate
results. It will certainly allow in managing the purpose. The role is important to attain
progressive growth at Haier (Chen. 2017).
10.Reason behind success in entering the U.S. markets in major home appliances and in
consumer electronics
America is a vast market with a lot of scope in term of electronic market. There are certain issues
in the management of the functions and attaining the sustainable resources. It is important to
manage the changes in order to attain the best possible result. The purpose is to manage the
synchronized growth and work on the factors that are meant to manage the growth. There can be
issues in managing the business in a developed economy like USA which already has well
established brand. In such a competitive scenario it is difficult to manage a brand in order to
establish effective goal. The purpose behind this is to maintain the balance which will allow in
managing the systematic growth (Kreuz and Roberts.2017).
11.Can Haier successfully move from being a niche marketer in the U.S. to being a major
competitor like
It is important from the point of view of managing the process. It is evident to manage the
process in order to attain significant roles. It is the core process that will allow in portraying
significant growth in order to maintain a pace. It is necessary while accompanying the growth
and aligning the results from the point of view of developing plan for Haier (Hill et al. 2014). In
order to attain significant growth and development in the organization, this is of utmost
importance and requires being proactive. It is therefore significant and formulating the goals in
order to procure necessary results. The overall purpose of the company is to attain the individual
expectations. It is must from the point of view of gaining effective role and progressive capacity.
In order to make the most significant growth, it is necessary to attain progressive technology. It
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is therefore important enough for gearing up with the support mechanism. From the point of
view of gaining adequate result and purpose, it is possible enough for asseverating calculative
growth. This is systematic from the point of attaining adequate relationship and signifying the
progress (Shi and Wang.2011).
12.The role of market segmentation in Haier America’s strategic management
Market segmentation is important to understand the aspiration of the consumers. It therefore
helps in managing the consumer behavior that allow in gaining effective measures. This is
important for generating effective results and associating the best possible outcome. This is
important from the point of generating better scope and attaining the best possible outcome
(Panibratov. 2017). This will allow in managing the requisite goals. It is important from the point
of ensuring the goals. It is therefore important enough for ensuring long term scope and allowing
growth in order to resolve the purpose. It is highly recommended in order to attain sustainable
objective and securing a significant place in order to gain objective (Tjosvold.2017).
13.Haier’s position within the KSA Market and apply SWOT analysis of the company
products in KSA
Strength: The brand is considered as one of the finest brand and gained a significant place in the
market through its competitive strategy. Haier is a leading company in China in terms of volume
and attaining a significant market place.
Weakness: upscale competition, Limited market
Opportunity: expansion opportunity in terms of product growth, wide market opportunity to
switch into other product and development
Threat: International brands can cause potential threat to the company; there is a limitation in
terms of global expansion.
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Summarization of the Case Study
Haier had a good reputation in the home appliances market creating a huge difference in the
international market. This brand is relatively new in the U.S. and had significant market shares
only in refrigerators, freezers, room air conditioners, and wine coolers. Overall the company is
experiencing an increase in the market share. The company has been facing a number of long-
term decisions in order to build an American presence. The main focus is to develop a strong
market hold and to expand in order to hold local customers. The main issue is to compete against
the brands like General Electric, Whirlpool, Maytag, and Electrolux, Sony, Panasonic, Philips,
and LG. It is focusing on developing a strong market competition. This will certainly allow in
focusing on the market in order to gain market advantage. The global market of the company
has a substantial buyer and slowly it is expanding itself in the other untouched market. Haier
approach is to develop a strong brand name by understanding the local customer needs. The
increasing business opportunity has developed brand strength. It is further important to manage
the brand effective outlook that will certainly allow in strengthening availability. It is evident
from the point of arranging the best possible outcome in order to coordinate the job in the best
possible way. The best possible way is to manage the changes in the best possible way. The
global brand strategy has a possible threat from the international brand. There is a possibility in
case the company might feel. The brand is therefore taking effective measures that will ensure
effectiveness. The purpose here is to signify growth and responsibility and attaining purposeful
growth. It is necessary from the point of attaining effective role and developing opportunities in
better way. For that reason it is evident in attaining significant growth and generating purpose. It
is necessary from the point of view of generating resources and matching up the expectations.
This is necessary for managing the purposeful growth and attaining the strategic results. The
Haier Group was a Chinese major home appliance with a goal to become the largest consumer
brand. Haier stands as one of the company in Fortune 500. Over the past 20 years, the company
had used horizontal integration and diversification strategy to expand itself in the international
market.. Haier had achieved a leadership position in China’s home appliance industry
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Recommendations and Conclusion
To conclude, the case study includes the changes that are taking place in the Haier American
market. In order to implement the changes it is evident to match up with the local market
expectations. It is highly recommended to measure the changes and to find out the best possible
results. For the good faith of the company, the Haier group is doing extremely well that is been
adding to its value. The purpose here is to attain the effectiveness by managing the desirable
goals. Hence it is concluded that, Haier is a leading company in China in terms of volume and
attaining a significant market place. It is reaching out to the international market and gained a
significant place by providing quality services. They have a strong and impressive conversion
cycle of 10 days.
References
Ang, S., and Van Dyne, L. 2015. Handbook of cultural intelligence. Routledge.
Armstrong, G., Adam, S., Denize, S. and Kotler, P., 2014. Principles of marketing. Pearson
Australia.
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