Premium Essay

Htc Case 2011

In:

Submitted By paraneda
Words 3365
Pages 14
Introduction After six quarters of record sales, acknowledges, and awards; HTC stock price, a Taiwan base handset manufacturer, started to going down in Q1, 2012. The main reasons include a fight with Apple on smartphone IP, the market reaction on the integration of the main OS suppliers (Android of Google and Microsoft Mobile) with cellphone manufacturers (Motorola and Nokia), and the launching of a new category of handset device, the tablets. Since those challenges, Peter Chou, the HTC´s CEO, recognize that is the moment to make important decisions in order to compete successfully and sustainably in the competitive mobile devices market. Among the HTC´s issues that Chou hope to resolve are: How to differentiate its strategy in a sustainable way?, What actions and strategy follow in order to manage uncertainty and to anticipate the changes of the acquisition of Motorola by Google and the alliance Microsoft-Nokia?, Will they need to develop their own OS or license another from the market?, How compete in the market of tablets? How important is for the company be leader in tablet?, and How face the Strategy IP be moving forward?

Problem: HTC is a well know Taiwanese company, recognized as one of the best handset hardware manufacturer. At the beginning they were producing handset for well-known companies such as Microsoft, Compaq, Handspring (Treo) and even Google. Later they focused in carrier operators in the US, Europe and Asia. In the last few years they were trying to introduce their products to final consumers. That is the origin of the problem, because the environment changed, from an operator pushing sell to a customer pulling purchase. That is why Apple and Samsung are doing well. They have been

Similar Documents

Premium Essay

Htc Case Analysis

...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 ...

Words: 2638 - Pages: 11

Premium Essay

Executive Summary of Htc

...NAME: SHIVANGI GUPTA SECTION:D ENROLLMENT NO. : A1506914057 ASSIGNMENT EXECUTIVE SUMMARY HTC transformed itself an ODM to one of the leading provider of telecommunication devices. Empowered with strong R&D the company enters market as a first movers with numerous innovations which prized the company with high growth and many recognitions. While innovations, partnership with giant brands, strong manufacturing facility its strength HTC also have weakness of producing pricy products, having weak shipment network, using stumble marketing strategy. Moreover, the company faces threats of intense rivalry from competitors, being substituted by cheaper products and patent. Despite all of this the Taiwanese company has many opportunities. HTC is a ‘Question Mark’ in BCG matrix. It experiencing high bargaining power from customer, low bargaining power from suppliers, medium threats of substitutes, high threat of new entrant, high competition from rivals. The company adopted growth strategy as corporate level strategy and differentiation as business level strategy. It also gives high priority in innovation strategies. Influenced by innovation strategy its organizational structure is organic. HTC should continue to produce innovative and cutting edge technology driven product to sustain its competitive advantage. It also should focuses on producing low end phones and penetrate more markets around the world. The company should produces wider categories of products and develop better...

Words: 3037 - Pages: 13

Premium Essay

E-Commerce Business Model - Htc

...HTC - 8 keys elements in Business Model 1. Value proposition Value proposition is the benefits, including the intangible, nonquantitative ones, that a company can derive from using EC. In B2C EC, value proposition defines how a company’s product or service fulfills the needs of customers. Thus, a company can fulfill the needs of customers when they can obtain four sets of values that are created by e-business. According to Amit and Zott (2011) the four sets of values includes search and transaction cost efficiency, complementarities, lock-in and novelty. It can be seen clearly in the case of HTC: * HTC’s business model actually brings search and transaction cost efficiency. It enables HTC faster and more informed decision making, wider product and service selection, greater economies of scale. This element has contributed to the satisfaction of customer of HTC when they find an excellent products and services in a wide range of smartphones with a reasonable and competitive cost. * Complementarities is also a benefit derived from using EC of HTC because HTC has bundled their and services together to provide more value to customers. For example when buying a HTC smartphone you will also find their after-sale services from HTC. * Lock-in is considered a contributor to the stickness of customers with HTC’s products. * Novelty: On February 17, 2010, Fast Company ranked HTC as the 31st most innovative company in the world. It’s smartphones and tablets powered...

Words: 1069 - Pages: 5

Premium Essay

Htc Analysis

...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...

Words: 2492 - Pages: 10

Premium Essay

Htc, Nokia

...reporters  Taiwanese smartphone vendor HTC Corp. still has a chance to regain its previously strong position in the increasing competitive mobile phone market if it can tap into niche content and segments, according to industry analysts. "HTC has some serious problems within the company," said C.W. Chen, chief researcher of the Center of Knowledge-based Economy and Competitiveness at Taiwan's state-funded Industrial Technology Research Institute. "Based on my knowledge, HTC's internal innovation management lacks efficiency, and the company had failed to carry out some really good ideas or creative thoughts," he said in a telephone interview recently. HTC's relatively weakened ability to innovate has also been evidenced by a closer tie between its partner Google Inc. and its rival Samsung Electronics Co., as Samsung has replaced HTC as Google's top partner in the Android camp to launch cutting-edge devices, Chen said. Although the world's first smartphone running on Google's Android system was made by HTC in 2008, such strong partnerships appear to have faded during the past two years when Samsung became more aggressive in supply chain integration and brand marketing, he noted. In the April-June period of 2012, HTC's shipments plunged 24.1 percent annually to 8.8 million units. The Taiwanese firm ranked fourth with a 5.7 percent share of the global market, said U.S.-based research firm International Data Corp. (IDC). The HTC figures were far below the 11.6 million...

Words: 1541 - Pages: 7

Premium Essay

Htc Coperation Marketing Plan

...information booklet for assignment submission deadline and information. | Group Members | | Group Members | | Program/Intake | | Student No. | | Module/Course/Unit | | Lecturer | Samuel Lee | Assignment No. | 1 | Assignment Due Date | 8th September, 2011 | DECLARATION: I hereby declare that the attached assignment is my own work. I understand that if I am suspected of plagiarism or another form of cheating, my work will be referred to the Academic Review Committee/Registrar, which may result in me being expelled from the program. | Signature | | Submission Date | | SECTION B: COMMENTS FROM YOUR LECTURER | ASSIGNMENT GRADE: | | | TABLE OF CONTENT S. No Page No. 1. Situation Analysis ………………………………………………………………………………………… 3 2. Marketing Communication Objectives ………………………………………………………………………………………... 4 3. Marketing Communication Strategies …………………………………………………………………………………………. 5 4. Tactics …………………….…………………………………………………………………… 6 5. Action Plan ………….……………………………………………………………………………… 8 6. Control/Conclusion …………………………………………………………………………………………. 11 1. SITUATIONAL ANALYSIS HTC Corporation has been in Singapore for only 3 years but it has created a certain level of impression and popularity. It also maintained attraction for consumers not only in Asia but also in...

Words: 2281 - Pages: 10

Premium Essay

Htc & Taiwan Deelopment

...AN ANALYSIS: HTC, THE INDUSTRY AND TAIWAN GROUP PROJECT JAPAN & THE FOUR ASIAN TIGERS SMARTPHONE TABLE OF CONTENTS INTRODUCTION ......................................................................... 3 1 Taiwan's Economic History ............................................................ 4 2 Impact of Globalization on Taiwan .................................................. 5 3 PESTEL- Analysis of Taiwan .......................................................... 6 3.1 Political Aspect ............................................................................... 6 3.2 Economic Aspect ............................................................................. 6 3.3 Social Aspect .................................................................................. 6 3.4 Technological Aspects ...................................................................... 7 3.5 Environmental Aspects ..................................................................... 7 3.6 Legal Aspects ................................................................................. 8 4 Financial Markets of Taiwan .......................................................... 8 4.1 Taiwan Stock Exchange .................................................................... 8 4.2 The Bonds Market ........................................................................... 9 4.3 The Inflation Rate in Taiwan .............................................................. 9 5 The Smartphone...

Words: 11602 - Pages: 47

Premium Essay

Htc Annual Report 2012

...LETTER TO HTC SHAREHOLDERS 4 34 50 RESULTS AND RISK MANAGEMENT CHAPTER 2 COMPANY PROFILE CHAPTER 3 BUSINESS OPERATIONS 104 CHAPTER 8 FINANCIAL INFORMATION CHAPTER 7 AFFILIATE INFORMATION AND OTHER SPECIAL NOTES 14 118 138 CHAPTER 1 LETTER TO HTC SHAREHOLDERS 1 LETTER TO SHAREHOLDERS LETTER TO SHAREHOLDERS 1 LETTER TO SHAREHOLDERS Dear shareholders, Faced with increasingly intense competitive pressure in the global smartphone market, HTC Corporation (HTC) has in the past year continued to allocate resources to product development, technological innovation, and marketing in order to satisfy consumer needs and at the same time solidify HTC's core developmental ability. 2012 saw HTC reach its 15th anniversary, marking an important milestone. In February, at Mobile World Congress (MWC) held in Barcelona, HTC started a camera and audio revolution with the announcement of its One series of smartphones. These smartphones introduced new technological advances such as "Amazing Camera" and "Authentic Sound," bringing consumers a brand-new user experience. In addition, in order to meet the needs of different consumers, HTC has successfully rolled out a variety of smartphones such as the DROID DNA, HTC J, and HTC Butterfly that deliver superior performance and eye-catching, user-focused designs. These smartphones were positively received by the market. In addition, HTC jointly launched with Microsoft the Windows Phone 8X by HTC and the...

Words: 100356 - Pages: 402

Premium Essay

Management Information Systems

...Case Study 2 Analysis HTC Corp. 1. Evaluate HTC’s performance to date. What are its competitive advantages and vulnerabilities? Financial performance of HTC compared with its main competitors 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 smart phone 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. For this part, we will take a look at handsets shipping per year, performance in different markets, and current positioning of several competitors in the industry. As...

Words: 1026 - Pages: 5

Premium Essay

Rohit

...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 strong appreciation because of this strategy. To understand the industry, we need...

Words: 2462 - Pages: 10

Premium Essay

Htc One M9 Analysis

...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...

Words: 8197 - Pages: 33

Premium Essay

Htc Info

...HTC Posted on June 16, 2012 by John Dudovskiy HTC Corporation (formerly known as High Tech Computer Corp.) is a Taiwan-based smartphone manufacturing company engaged in design, development, manufacturing and sales of mobile computers, personal digital assistant phones, touch phones and smart phones and offers its products in Europe, Asia pacific, North and Latin America, Africa and Middle East (Bloomberg, 2010). The company has gained a reputation in terms of innovation related to the features of their products as well as their design   The Evolution of HTC HTC was founded in 1997 by three business people and technology enthusiasts Cher Wang, HT Cho and Peter Chou. The founders took the roles of Chairwoman, Director of Board and Chairman of HTC Foundation, and President and CEO respectively. At the initial period of business HTC was mainly involved in partnerships with companies like Compaq, Dell and HP designing and building PDAs (personal digital assistants) for them. The most innovative and acclaimed products of these brands HTC was closely involved in include Compaq iPAQ, Treo 650, O2 XDA, and Orange SPV (Hi, we’re HTC, 2010) The company was introduced to the public as an independent brand starting from June 2006, and manufactured its first own brand product HTC Touch, which is claimed to be by the company a first finger-friendly touch-screen smartphone in June 2007. Today HTC boasts with its popular products as Touch Diamond, Hero, HD2, HD Legend, and Desire, and...

Words: 7173 - Pages: 29

Free Essay

Blackberry

...BUSN 226-Marking Rubric-Assignment #1 Your Name:___________________________________ Your Student #_________________________________ |Rubric attached to front of assignment | /1 | |Cover page and introduction & typed page numbers |/5 | |Four summaries ( if article not different from other group members, summary will not be marked) |/40 | |Direct quote and in-text reference included in each |/8 | |summary , using proper format | | |Ref Works bibliography addressing all four articles, with works cited in alphabetical order by author |/8 | | | | |Original articles attached in same order as shown in bibliography (each article different from group members) |/8 | | | | |Late? ...

Words: 5543 - Pages: 23

Premium Essay

Patent Warfare

...Patent Warfare Per your request I reviewed the lawsuit notice and believe our company can handle the matter without litigation saving us time and money. Our first course of action should be to propose collaboration with the accuser in order to continue innovation. If the accuser turns out to be a patent troll or in other terms in the business of strictly making money on infringement cases we will have the case arbitrated by a subject matter expert. I recommend we offer the accuser a chance to collaborate with a business which recently launched a great new product supported by Apple iOS and Google Android platforms. Instead of being a killer of creativity the accuser might be a legitimate technology developer such as our company. The accuser may be more interested in developing newer and better versions of its product instead of getting a onetime payout. Collaboration will save both parties time and money by avoiding a long and expensive court case. It will also benefit both parties to share research and new ideas (Laudon, 2012). Nokia and HTC are a recent example of collaborations as they entered “into a collaboration agreement to provide access to each other’s patented technology to explore future projects” (Shankar, 2014). Working together will provide our business with new innovations making us more competitive. New innovations will develop an opportunity for new registered patents to our company, providing a defense system for possible future law suits. Licensing...

Words: 856 - Pages: 4

Premium Essay

Htc Corp 2012

...Taiwan, HTC has long been an innovative force in handset industry, winning a variety of innovation awards. Being a relatively small player evolved from an original design manufacturer, it achieved a number of “First in the Market” - the first color screened PDA, the first phone with a touchscreen interface, and the first smartphone running on Android Operating System (OS) that continues to be the most popular platform over the world. What makes HTC unique is its technology in hardware together with speed of innovation, but that is not sufficient for it to sustain and succeed in the market anymore. Challenge  Definition   Going forward, after a “35% year-on-year drop in revenue that fueled a 70% decline in operating income” despite growth of the smartphone market, HTC needs to resolve a series of challenges, be it the heavy competition of the industry with many other players, how to find the right balance between being “customer centric” and streamlining the product portfolio, how to differentiate in the crowded place and promote its brand awareness/image, how to deal with change in external environment from “operator push” to “market pull”, what OS strategy it needs to pursue, or whether it should enter into tablet market. Nonetheless, the biggest challenge remains as how the company should effectively and efficiently differentiate itself in the crowded place given the resources it has. If HTC does not appropriately address these issues, the most likely case will be...

Words: 3021 - Pages: 13