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a dynamic success from OEM to OBM

a dynamic success from OEM to OBM. Group 3 Andrea Pavoncello Chiara B. Bloisi Ciro La Grotta Giulio Tartaglia Tiffany Zhang. What is interesting about this case?. The Frameworks. The Foundations …. … till today!. Some Numbers …. … showing a rapid and continuous growth.

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a dynamic success from OEM to OBM

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  1. a dynamic successfrom OEM to OBM Group 3 Andrea Pavoncello Chiara B. Bloisi Ciro La Grotta GiulioTartaglia Tiffany Zhang

  2. What is interesting about this case?

  3. The Frameworks

  4. The Foundations …

  5. … till today!

  6. Some Numbers … … showing a rapid and continuous growth

  7. History of S.E.Z.s part 1 Source: wikipedia.org

  8. History of S.E.Z.s part 2 Source: wikipedia.org

  9. See China … Source: understand-china.com

  10. … and the SEZs

  11. The Shenzen Cluster

  12. The Shenzen Cluster Players

  13. The Shenzen Cluster Players Cluster Advantages depend on Value Chain Complementarities

  14. A Cluster Competitor ZTE Competitive Clusters create competitive firms

  15. The Shenzen Cluster Advantages

  16. “Even as old reasons for clustering have diminished in importance with globalization, new influences of clusters on competition have taken on growing importance in an increasingly complex, knowledge-based and dynamic economy” ( Porter, 1990) Clusters and the National Competitive Advantage TODAY

  17. National Competitive Advantage Supportive Government

  18. From follower to leader “ the difference between a follower and a leader in the technology arena is that while leaders create new market opportunities to induce customer spending, followers jump on and take advantage of them “ Ren Zhengfei and the Latecomer Strategy Huawei has constantly spent 10% of revenues every year on R&D to become the technological leader in telecommunication equipments

  19. Samsung: a prior example for Huawei

  20. L.L.L. “Clusters are geographic concentrations of interconnected companies, specialized suppliers, service providers, firms in related industries and associated institutions in a particular field that compete but also cooperate” ( Porter, 1990)

  21. Resource Leverage Strategy: “ Real demands into solutions ”

  22. Porter’s Five Force Analysis • Industry Rivalry • lots of big and powerful competitors • chinese market is growing very fast • high exit barriers • Huawei adopts the “win-win” strategy (lots of joint-ventures) This analysis suggests to not entry in the industry

  23. Original Equipment Manufacturer …

  24. “going from sewing wedding dresses to wearing them”

  25. Own Brand Manufacturer

  26. From “Making in China” to “Creating In China” In Dec. 2008 Business Week ranked Huawei 3rd, after Apple and Google, in its World’s Most Influential Companies list

  27. Conclusions

  28. Questions,ThankYou,& Good Bye

  29. Bibliography & References • http://www.huawei.com/products/datacomm/catalog.do?id=1455 • http://edissertations.nottingham.ac.uk/195/1/06MAlixwh8.pdf • http://www.pmi.org/Business-Solutions/~/media/PDF/Case%20Study/Case_Huawei%20Technologies.ashx • http://timnovate.wordpress.com/2009/12/02/huawei-case-study-created-in-china-is-real-imminent-and-a-major-threat-to-your-business/ • http://www.adb.org/Documents/Reports/PRM-Policy-Notes/Special-Economic-Zone-Shenzhen.pdf • http://english.peopledaily.com.cn/90001/90776/90882/6663161.html • http://www.china.org.cn/english/travel/99695.htm • http://timnovate.wordpress.com/2009/12/02/huawei-case-study-created-in-china-is-real-imminent-and-a-major-threat-to-your-business/ • http://www.fusionbrand.com/pdf/from_oem_to_obm_crossing_the_chasm.pdf • http://www.hktdc.com/info/vp/a/hke/en/1/4/1/1X0040U6/Study-On-OEM-ODM-And-OBM-Extending-The-Supply-Chain-With-Added-Value.htm • http://www.emilebons.nl/publicFiles/091003investingAndJointVentures.pdf • http://books.google.it/books?id=wKr252lN-50C&pg=PA176&lpg=PA176&dq=shenzhen+huawei+cluster+company+list&source=bl&ots=zEmweqJdow&sig=7OZexcCewg4wD4ppA1j2FQVEoVw&hl=it&ei=zvrUTpGdO83N4QTr3O3EAQ&sa=X&oi=book_result&ct=result&resnum=1&ved=0CB4Q6AEwAA#v=onepage&q=shenzhen%20huawei%20cluster%20company%20list&f=false • The Economist • Wikipedia • Huawei web site

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