...Strategic Marketing Study Case : HTC Summary 1- Introduction……………………………………………………………………………1 2 - Analysis……………………………………………………………………….……….2 2.1-Description of HTC………………………………………………….………….2 2.2-Industry analysis…………………………………………………….………….2 2.3 -PEST Analysis………………………………………………………………….4 2.3.1-Political……………………………………………………….……………4 2.3.2 -Economical……………………………………………………………….4 2.3.3 Social………………………………………………………………………5 2.3.4Technological…………………………………………………………..….6 3 - HTC MarketingStrategy………………………………………………………..……..6 3.1-SWOtAnalysis………………………………………………………………6 3.1.1Strengths………………………………………………..…………………6 3.1.2Weakness……………………………………………..…...………………7 4 - Recomandations…………………………………………………..……………………9 1. Introduction HTC is a company that was launched in 1997 in Taiwan. This company emerged in the smartphone market with big success and broke a lot of industry sales records. This company is a good example of a rapid rise to success because of its high technological expertise and innovative ideas. At the start, HTC was not well known in the smartphone and tablets industry. However, HTC innovative design and state of the art technologies generated big interest. According to some primary research, customers who owned HTC phone did not know a lot about HTC as a company. That is to say, HTC brand awareness was not matching...
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...It's the reality of the smartphone business and a key dilemma for a company like HTC, which lacks the marketing firepower that larger rivals Apple and Samsung enjoy. This year will be a critical one for HTC, which needs to prove that it can still compete in the increasingly duopolistic market. History has already shown that a sexy, new product just enough anymore. "HTC is going up against two of the biggest spenders in the world with intensely loyal followings," said Avi Greengart, an analyst at Current Analysis. So HTC needs to do a few things it hasn't been comfortable doing in the past. For one, it'll need to get more proactive with its own marketing. It's something the company has always half-heartedly done in the past, but it will need to work harder to develop both the One brand and the HTC name. Apple and Samsung are household names, and while HTC was seemingly on its way to becoming one just a few years ago, it lost its way. "I think they need to invest a tremendous amount in marketing," Greengart said. The company will also need to break from its traditional reliance on the carriers for support, and stop kowtowing to all of their needs. That's a particularly difficult one because that had been HTC's tentpole strategy for so long. But as Apple and Samsung have moved beyond carrier exclusives and customizing phones, HTC must do the same. HTC appears to be on the right track. The company plans to roughly double its global marketing budget from a year ago, as it embarks...
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...Founded in 1997, HTC built its reputation as the behind-the-scenes designer and manufacturer of many of the most popular OEM-branded mobile devices on the market. Since 2006, we have regularly introduced many critically-acclaimed mobile devices under our own brand, and our portfolio includes smartphones and tablets powered by the Android and Windows Phone operating systems. We are dedicated to creating a customized user experience and believe that each mobile device needs to fit its owner, and not the other way around. What we make is not merely the product of focus group tests, but of observing and honoring how individuals choose to interact with technology. Our customers guide everything we do at HTC, and it’s this commitment that defines the company. PESTAL ANALYSIS: Environment: We aim to continuously find innovative ways to reduce energy consumption, eliminate waste, and reuse materials to minimize our impact on the environment and develop a sustainable footprint. * HTC is proud to be a leader in the development of new environmental technologies. * Proper management system to reduce or eliminate substances of environmental concern. * HTC have obtained the ISO 14000 series of certifications for environmental management. * HTC does not affect environment Social: HTC has always cared for the community, promoting public service as a duty and hoping to make a contribution. * HTC has Social Welfare...
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...HTC corporation, a company founded in Taiwan, and originally started as a firm that made personal digital assistants for other companies. HTC then transitioned into the fast growing Smartphone category and had emerged as the world’s fourth largest Smartphone manufacturer by 2009. But HTC is now facing big name players such as Nokia, Apple and Samsung Electronics and the competition for high-end sophisticated mobile devices has became more intensifying. CEO Peter Chou is now facing several decisions in order to move his company forward. In this first part, the performance of HTC will be evaluated, looking at the competitive advantages and vulnerabilities. In the second part the operating system strategy will be analysed. Finally, many companies are now offering their own application store, in this part we will analyse whether HTC should build its own app store or do something else. Performance of HTC and the competitive advantages and vulnerabilities. Based on the vision of Cher Wang to develop a small, hand-held computer like device, HTC developed its first PDA in 2000. HTC was commissioned to be an original design manufacturer (ODM). In the ODM business HTC manufactured smartphones for branded handset companies. The consequences were that HTC only had little responsibility for sales, marketing, or inventory management. Besides HTC designed phones for service providers such as t-mobile and Vodafone. HTC supported operators by helping them build unique value propositions and...
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...Domino’s Pizza Ansoff Matrix. To illustrate alternative corporate growth strategies, Igor Ansoff presented a matrix that fixates on the firm’s present and potential products and markets. There are possible four product-market combinations. http://dominospizzaannualreport.com.au/blog/new-product.php [Accessed on 29 Nov.2015.] http://dominospizzaannualreport.com.au/blog/new-product.php [Accessed on 29 Nov.2015.] * Market Penetration: Existing Products in Existing Markets. Domino’s used Ansoff Matrix in 2009. Domino’s by then had shares of the pizza sales and delivery market and they strove to increase their sales in the future by updating their Recipe. Here we can identify how Domino’s has targeted an already utilized market with a similar product. The new recipe was accompanied with promotional campaign to drive up sales through Advertisement. * Market Development: Existing Product in New Markets. According to Stephen Hemsley “The Chairman” stated that like-for-likes sales in German business has continued to have difficulty, going down by 4.9%, this means that pizza as an existing product being introduced in a new market like Germany there are lots to consider for example Culture in Germany is different from that of the UK. Domino’s has also expanded into new markets like Kenya, where it was received quite okay. Domino’s has also introduced Seafood Pizza in japan. * Product Development: New products in new markets. In 2014, Specialty Chicken...
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...Case Analysis --HTC Corp.in 2009 Class: Competitive Marketing Strategy Student Name: Fisher Yu 1. Evaluate HTC’s performance to date. What are its competitive advantages and vulnerabilities? Be sure to elaborate on HTC and its competitors’ positioning on performance and cost. Financial performance of HTC compared with its main competitors For this part, we will be using ROA (return on assets), ROE (return on equity), and profit margin to evaluate HTC’s abilities to generate profits and to control its cost with comparison to other manufacturers. With reference to the financial ratios of HTC in Exhibit 1a, over five years (2004 to 2008), its average net profit margin was 18.8%, return on assets 34.2%, and return on equity 59%. Its earnings per share (EPS) were 13.49, 32.81, 56.97, 50.48 and 36.64 respectively. The company is highly competitive and profitable as a whole. According to Exhibit 1a, and 6, and chart 1, same with its rankings in the smartphone sales, the ranking of the scale of its total revenue also in the fifth place, behind Samsung, Nokia, Apple, and RIM. But its revenue is rapidly growing, doubling nearly every three years. That growth rate is far better than most of the players in the industry and the average. Its return on sales ratio is among the three highest in the industry, which is an average of more than 15% percent. This indicates that HTC has a very good gross profit margin. Marketing performance of HTC compared with its main competitors ...
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...Strength: 1.HTC chose the right partners (giant players in software industry, such as Microsoft) to cooperate with to enter the market with less risk. 2.Strength in hardware design and strong manufacture capacity: provides high quality products with high technology and innovation. 3.ODM saved cost and avoid market entry risk. 4.Operator business, operators buy product from HTC and promote the sales themselves, is good for HTC to enlarge sales volume and market share with less promotion cost. 5.ODM and operator business brought high margin (20%) compared to an industry average of 5%. 6.The brand HTC was recognized by end users. Weakness: 1.Operator business requested customization module for HTC, and customization increased the cost of product and reduced margin (ASP). 2.Too related on Microsoft’s platform which was not mainstream in the smart phone system market. 3.Brand awareness is weak. Threat: 1.Other Taiwanese competitors were catching up in the ODM market 2.Lots of new entrants jumped into handset market. (Apple, Samsung, RIM…) 3.Lots of new entrants penetrated into system platform market. (Apple, RIM, Google) 4.More technology and innovation are used on smart phone. 5.Product cycles are getting short 6.Price will come down Opportunity: 1.Smart phone category will seize 30% of the whole phone market in 2012. 2.Google’s system Android caught attention of end users, but Google has no device for it. 3.US market...
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...The case finds HTC at an important junction in its growth within the mobile device industry. HTC is plagued with several challenges and faced with crucial decisions that could make or break the company’s future. Performance In the years leading up to the launch of its own brand, HTC developed strong relationships with mobile phone brands and network providers around the world. These relationships became the foundation of its success during the first few years of the smartphone era as it dominated the market under the leadership of HT Cho and Cher Wang. Right from the time the company entered the notebook computer industry, the leadership always demonstrated a great amount of adaptability and foresight – which, ironically, is what led the company to completely abandon the manufacturing of notebook computers. Upon realizing that the developments that were taking place at Microsoft aligned perfectly with its own vision of mobile computing, HTC leapt at the opportunity to become pioneers in this space. By using its first-mover advantage into the PDA space (and by extension the smartphone space), many branded handset companies and network providers went on to hire HTC to manufacture its devices. Lauded for its ability to customize products, the contract manufacturing business allowed HTC to establish itself as a leader in the eyes of handset companies and network providers. However, a key trade-off in this strategy was the lack of visibility the company was receiving in the eyes...
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...A Progressive Digital Media business COMPANY PROFILE HTC Corporation REFERENCE CODE: D030D163-1966-4A48-AE13-80DC33BF7F54 PUBLICATION DATE: 9 Oct 2015 www.marketline.com COPYRIGHT MARKETLINE. THIS CONTENT IS A LICENSED PRODUCT AND IS NOT TO BE PHOTOCOPIED OR DISTRIBUTED. HTC Corporation TABLE OF CONTENTS TABLE OF CONTENTS Company Overview..............................................................................................3 Key Facts...............................................................................................................3 Business Description...........................................................................................4 History...................................................................................................................5 Key Employees.....................................................................................................8 Key Employee Biographies..................................................................................9 Major Products and Services............................................................................14 Revenue Analysis...............................................................................................15 SWOT Analysis...................................................................................................16 Top Competitors.................................................................................................21 Company...
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...oBrochure More information from http://www.researchandmarkets.com/reports/1937897/ HTC Corporation - SWOT Analysis Description: HTC Corporation - SWOT Analysis company profile is the essential source for top-level company data and information. HTC Corporation - SWOT Analysis examines the company’s key business structure and operations, history and products, and provides summary analysis of its key revenue lines and strategy. HTC Corporation (HTC or “the company”) is engaged in the research, development and manufacture of smart handheld mobile devices. The company's major products include touch phones, personal digital assistants (PDAs) phones, and smartphones, among others. It offers products based on Windows Mobile, Android and Brew mobile platform operating systems. The company mainly offers products under the HTC brand and is involved in original design manufacturing (ODM) operations. The company operates in the Americas, Europe and Asia Pacific. It is headquartered in Taoyuan, Taiwan and employs 12,943 people. The company recorded revenues of TWD278,761.2 million ($8,850.7 million) during the financial year ended December 2010 (FY2010), an increase of 92.9% over 2009. The strong growth was primarily driven by strong growth in shipments, which doubled year on year in the wake of strong demand for smartphones globally. The operating profit of the company was TWD44,132.6 million ($1,401.2 million) in FY2010, an increase of 79.2% over 2009. Its net profit was TWD39,533.6...
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...an analysis that addresses the following: 1. Identifies and analyzes the industry and competitive environment of the mobile phone industry based on information contained in the case: HTC Corp. in 2009 including key industry and environmental trends, competitive and structural characteristics of the mobile phone industry. 2. Your assessment of the key challenges HTC faces in trying to achieve a sustainable model and long-term success in the industry? 3. Your assessment of the competitive and strategic position of HTC Corp. at the time of the case information. 4. Your assessment/identification of any major changes in the competitive situation for HTC from the perspective of the fall of 2011 that he should bring to the board’s attention based on current information available publicly. Question 1) Identifies and analyzes the industry and competitive environment of the mobile phone industry based on information contained in the case: HTC Corp. in 2009 including key industry and environmental trends, competitive and structural characteristics of the mobile phone industry. Answer 1) HTC is basically a very young high tech company, initially dealt with PDA’s and computers. But in the recent years HTC has emerged as a smartphone firm which has received strong appreciation for the design and high tech products. It has been known for interoperate the Windows OS into the mobile phone devices which sparked the revolution towards the “SMARTPHONE” industry. HTC received...
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...HTC Corporation: A Smartphone Pioneer From Taiwan This report is consistent with our signed Academic Integrity Form on file with the instructor Trevor Burns, Nancy Kong, Amir Kalantar, Colin Brown, Nav Thandi, Adam Jackson Team #1 September 23rd Critical Issues HTC must address the following issues in order to build its global market share: * Branding Strategies * Research and Development Department * Second Mover Strategies * Balance of Microsoft and Android * Loss of support from Shareholders The issues stated above indicate how HTC has conducted inefficient marketing strategies. HTC’s marketing budgets grew by 78.75% in 2010 from 2009, this has helped their global market share grow by approximately 129%. In addition, the variation of operating systems HTC provides to must be addressed as precedent from competing companies have proven success in exclusivity of utilizing one OS. The various networks offered from the HTC devices has pushed them to also open multiple research and development centers which has substantially increased their selling and marketing costs by 139.43%. The research and development centers has pushed HTC to become an innovator, by releasing the newest technologies; their decision to reject the ‘me-too’ strategy has created huge opportunity costs for them. Each dollars of equity is supported by $2548 of assets, which generated a correlating $1440 in sales, which generated a net profit margin of 14.37% Analysis Branding Strategies ...
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...Swot Analysis of Htc Strength: 1.HTC chose the right partners (giant players in software industry, such as Microsoft) to cooperate with to enter the market with less risk. 2.Strength in hardware design and strong manufacture capacity: provides high quality products with high technology and innovation. 3.ODM saved cost and avoid market entry risk. 4.Operator business, operators buy product from HTC and promote the sales themselves, is good for HTC to enlarge sales volume and market share with less promotion cost. 5.ODM and operator business brought high margin (20%) compared to an industry average of 5%. 6.The brand HTC was recognized by end users. Weakness: 1.Operator business requested customization module for HTC, and customization increased the cost of product and reduced margin (ASP). 2.Too related on Microsoft’s platform which was not mainstream in the smart phone system market. 3.Brand awareness is weak. Threat: 1.Other Taiwanese competitors were catching up in the ODM market 2.Lots of new entrants jumped into handset market. (Apple, Samsung, RIM…) 3.Lots of new entrants penetrated into system platform market. (Apple, RIM, Google) 4.More technology and innovation are used on smart phone. 5.Product cycles are getting short 6.Price will come down Opportunity: 1.Smart phone category will seize 30% of the whole phone market in 2012. 2.Google’s system Android caught attention of end users, but Google has no device...
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...information to support decision making in an organization. The are several types of information system that help people in organization that are Transaction Processing System (TPS) , Knowledge Management System(KMS), Learning Management System(LMS), Database Management System(DBMS), Office Information System(OIS), and Management Information System(MIS). There are five companies that get benefits of Information Technology and Information System in becoming international companies that are the telecommunication electronics Apple,inc, Xiaomi Inc, OPPO Electronics Corp, HTC Corporation, Samsung. These five electronics company has gone worldwide. The companies produce variety of product. The top five of the products is IPhone6 for Apple, Note 4 for Samsung, Redmi note for Xiaomi, Find7 for Oppo and HTC Desire eye for HTC. Besides the top model phone the companies also produce electronics appliances. Swot analysis Swot analysis is a study that undertaken to know the potential of an organization from the internal that is strengths and weakness and from the outer such as opportunities and threats. 1)Apple Inc. Strengths i. ii. iii. iv. v. vi. Marketing and advertising capabilities. Powerful product quality Loyal user Creative interface of products. Billion revenues and profit made every year Highly demand of orders Weakness i. ii. iii. iv. v. Expensive Limited product with specific function. No expandable memory. After launching a new product the previous product will be lame. There is...
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...Introduction This paper will provide an analysis of High Tech Computer Corporation (HTC) a Taiwanese corporation operating in the mobile phone and smartphone industry, as described in ‘HTC Corp. in 2012’ by Yoffie, Alcacer, Kim (2012). It will aim to provide an insight into some of the challenges which HTC encounters, due to both internal and external developments, and how these challenges affect the strategic position of HTC, as well as the sustainability of its future. Lastly, this paper will conclude with a strategic advice to the directors of HTC on what steps they ought to undertake in order to move HTC into the top three of smartphone producers worldwide. Overall, the major challenges which HTC encounters can be related to two facts. Firstly: HTC operates in a highly competitive, fast growing market, which is driven by innovation and technology-based developments: In 2011 annual growth of the smartphone market was recorded at 61% (Yoffie, Alcacer, Kim, 2012). Competing in a high-growth market brings various opportunities as well as complications along, some of which will be discussed below. Secondly, the fact that HTC has recently switched from solely providing via operators to selling phones under its own brand name has brought about a variety of challenges which will be discussed below. Customization versus Scalability In the past, HTC has differentiated itself by providing customized products, i.e. by tailoring products to the needs of...
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