Table of Contents
Political: Political forces often influence how smartphone companies operate internationally. Particularly, the growing level of protectionist policies in some western countries, such as the United States (US) and the United Kingdom (UK), are impacting how foreign companies operate through increased government control and oversight (BBC 2019). This action limits the level of growth for smartphone companies because some of them have outsourced their services to service providers who are located in other nations. Therefore, their operations are dependent on the good political relations between countries (Tao & Chunbo 2014).
Technology: The development of the 5G network in the mobile telecommunications market is set to revolutionise the industry through increased speeds, low production costs and enhanced energy efficiencies (Vaswani 2019; Yan 2019; Wang, Zhou & Sha 2017). In addition, the growth and acceptance of smartphones, as a popular communication device, has created opportunities for companies to develop products that exploit the potential for enhanced virtual communications, such as social media (BBC 2019). These technological forces could impact a company’s business processes and market position by influencing its preparedness to embrace new technology and convey the benefits to customers (Tao & Chunbo 2014).
An increase in the number of people who use smartphones implies a growth in the market size for mobile phone companies. For example, there has been a surge in the percentage of smartphone users in the UK from 63.12% in 2014 to 75.4% in 2016 (MIC Research Team 2016). This growth signifies the potential for an increase in market share for Huawei. Table 1 below shows the company’s market share, relative to its peers.
Table 1. Huawei’s market share (Adapted from Lomas 2018).
Company | Market share (%) |
Huawei | 13.3 |
Samsung | 19.3 |
Apple | 11.9 |
Xiaomi | 8.8 |
Oppo | 7.6 |
Others | 39 |
According to the data highlighted above, Samsung has the largest market share (19.3%) for a single company, followed by Huawei, which commands a 13.3% share in the mobile telephone sector (Lomas 2018). Xiaomi and Oppo command less than 10%, while “other” smartphone companies control the rest of the market. Huawei has also developed strong links with its suppliers, such as T-mobile, Vodafone and Clearwire (MIC Research Team 2016; Tao & Chunbo 2014). They provide key components for making smartphones and have a strong impact on the firm’s operations because of their strong control of the market (MIC Research Team 2016).
Huawei’s internal environment will be analysed by reviewing its pricing, capital, quality and brand potential. One of the firm’s key competencies is its competitive pricing. Apple and Samsung have long been considered to be market leaders in this regard with few options available to purchase cheaper mobile phones. Huawei’s success has been pegged on bridging this gap through competitive pricing (Tao & Chunbo 2014). Comparatively, one of Huawei’s weaknesses is limited capital because it does not have the cash reserves that its rivals do. This constraint negatively affects the company’s effectiveness in the industry.
Similarly, compared to its peers, the Chinese firm has a weaker brand name. Consequently, it has a smaller brand following, which makes it less impactful in the market. Nonetheless, innovation and technology developments in the smartphone industry (such as the 5G technology) have created new opportunities for growth (He & Yang 2019). Lastly, lucrative global markets such as the US and India offer immense potential for growth because Huawei has not had a significant impact on any of them (MIC Research Team 2016).
Table 1. SWOT Analysis (Source: Developed by Author).
Strengths Competitive pricing good quality products | Weaknesses Limited capitalWeak brand name |
Opportunities Technological developmentNewmarket development | Threats Competition |
BBC 2019, Trade war: US hits China with new wave of tariffs. Web.
He, Y & Yang, M 2019, ‘Research on cross-layer design and optimization algorithm of network robot 5G multimedia sensor network’, International Journal of Advanced Robotic Systems, vol. 16, no. 4, pp. 1-10.
Lomas, N 2018, Huawei bags Apple’s second place spot in global market sales. Web.
MIC Research Team 2016, Global ICT Industry and Market Report: 2013 Edition, MIC, London.
Tao, T & Chunbo, W 2014, The Huawei story, SAGE Publications India, New Delhi.
Vaswani, K 2019, Huawei: the storm over the Chinese telecoms giant. Web.
Why Choose Us
Top Quality and Well-Researched Papers
We always confirm that writers follow all of your instructions precisely. you'll choose your academic level: highschool, college/university or professional, Your order will be assigned to a writer who possesses a respective degree.
Highly Experienced Paper Writers
Our team of professional academic writers has years of vast experience in academic writing, research, and formatting. So you can always be sure that your project is in safe hands.
Free Unlimited Revisions
If you believe we missed something, feel free to send your order for a free revision. After receipt of the final document, You have 10 days to submit the order for review. A revision can be submitted by logging into your personal account or by contacting our support team.
Timely Delivery and 100% Money-Back-Guarantee
We ensure that all papers are always delivered on the expected time. In any case, if we require more time to polish your paper, we may contact you regarding the deadline extension. In case you are not in a position to allocate additional time, a 100% order refund is guaranteed.
Plagiarism free & Confidential
As part of our quality assurance process, we use several writing tools and checks to ensure that all documents you receive are 100% unique and original.Each paper undergoes careful review by our editors to deliver plagiarism free essays. We also guarantee maximum confidentiality in all of our services.
Real time online chat with your writer
Our writers and support agents are available 24 hours a day 7 days a week to assist you. We are committed to providing you with top-notch customer experience. Chat with us anytime.
Try it now!
How it works?
Get your paper done in these simple steps
Give your requirements
Fill in the order form and tell us about your assignment, instructions and deadline
Proceed with the payment
Choose your preferred payment method and the writer will start writing your custom paper.
Download the final file
Once your high quality custom paper is ready, we will email it to you.
Our Paper Writing Services
We are here to ensure you dont get stuck with your coursework and assignments. Focus on your hobbies and enjoy some quality leisure time as we write your paper. You can trust our kinds of writing services.
Essays
Stuck with an essay assignment? Making an admission application? We specialize in writing high quality and engaging personal statements as well as application essays. Our professional academic essay writers are experts in writing 100% original essays according to order specifications. From compositions, creative writing to literary analysis we've got you covered.
Assignments
Professional assignment Help
Your routine homework and academic assignments are completed on time and at affordable prices. Submit your assignments and the respective subject matter expert will get it done within no time and painlessly. Better grades will be yours without any stress at all!
Research
Research and Term Papers
Every member of our dynamic essay writing team is an expert in academic research. They are all well versed with APA, MLA, Chicago, Harvard citation formats. Your research paper gets to you fully formatted and ready to be submitted. The research involved in writing your paper is always 100% original. This is part of our commitment to provide you with papers free of plagiarism.
Custom Writing
Custom Writing Services
Our highly experienced business, nursing, and psychology writers are true professionals with vast prowess at delivering outstanding work in a wide range of fields. You dont have to worry about Short deadlines anymore. Just give us the instructions and you'll receive your custom paper ASAP! We have fully qualified, full-pro writers on stand by to assist you.