50% found this document useful (2 votes)
991 views

Project Report 2

The document discusses the mobile phone industry and HTC's business strategies. It provides an overview of the large and growing global mobile phone market. It also describes the highly competitive nature of the industry, with established players and new entrants. HTC aims to gain competitive advantage through effective business strategies that allow it to differentiate itself and perform at higher levels than competitors.

Uploaded by

Aditya Jain
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
50% found this document useful (2 votes)
991 views

Project Report 2

The document discusses the mobile phone industry and HTC's business strategies. It provides an overview of the large and growing global mobile phone market. It also describes the highly competitive nature of the industry, with established players and new entrants. HTC aims to gain competitive advantage through effective business strategies that allow it to differentiate itself and perform at higher levels than competitors.

Uploaded by

Aditya Jain
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
You are on page 1/ 28

1.

1Introduction
Mobile phones have become an everyday necessity in peoples lives.This project begins with a
basic understanding of the mobile phone industry. It gives an overview of the market size,
relevant market shares and the future growth projections. This Smartphone market attracts a lot
of companies and has become a highly competitive environment work also provides current data
about business units with respect to sales, revenue and market shares for the core products of
telecom companies.The smartphone became a standard device for modern society in the past
years. The Worlds mobile phone market is predicted to grow up to 23% in 2018. The global
mobile phone market is a highly competitive environment where a high number of firms
compete. While established mobile phone markets like the U.S. and Europe are mature markets,
there is growth in emerging markets like China. Apple, among

1.2The telecommunication industry


The telecommunications device industry had high initial capital requirements because of the
significant research and development costs required for product innovation. Firms currently in
the industry also have a learning curve advantage because of their ability to cut costs due to
production efficiencies. In addition, more difficulties would result from firms in the industry
already having access to distribution channels as well as access to software and service
providers. Proprietary technology would be another barrier due to the large amount of fixed
licenses and intellectual property rights acquired by existing firms in the industry. The only way
for potential entrants to overcome this barrier would be to bring a new innovative technology to
the industry, which would be difficult. Bargaining power of hardware suppliers is low due to the
fact that the hardware parts in Smartphones were undifferentiated.
Substitute products in the telecommunications device industry are PDAs, tablets, basic phones,
and net books. Technically they do not perform the same functions as smart phones; therefore
they are not viable substitutes. There is still a medium degree of risk that these substitutes can
fulfill the same needs as Smartphones. There may be a future risk that the demand of a
Smartphone can be absorbed by a substitute such as a web-enabled tablet.The degree of rivalry is
low to moderate. The telecommunications device industry is very concentrated and competing
1

firms had high profit margins which decreased rivalry. The smart phone industry was expected to
grow exponentially by coming years and when growth is high rivalry decreases. In addition,
loyalty to certain brands of phones and service providers would decrease rivalry.

1.3Major market players:

Apple
Samsung
Micromax
HTC
Nokia
Panasonic
Blackberry
Motorola
Karbon

Apart from these there are brands like Oppo, Xiomi, Intex
Videocon,Idea,Reliance etc which are in the market and are doing well in
their field of providing services to their customers and are in apposition of
giving the competition to their competitors in the market.

1.4 Current Scenerio of Telecom Industry in India

Today India has the second largest telecommunication market in the


world

This sector which is growing exponentially is expected to generate about


4.1 million additional jobs by 2020 as per GSMA.

Telecommunication sector is registering monthly growth rate of 0.55%

Contribution in the GPD is approximately 3%.

This is one of the fastest growing industry in India.

Mobile Phone Industry


2

Dominant economic features of the mobile phone industry

Smartphone market consists of all firms throughout the world that


manufacture and sell smartphones. The major participants in the
global market today are Samsung, Apple, Lenovo, Huawei, LG and
Xiaomi. The figure below shows that the number of traditional
phonemakers like Nokia declined in the past 5 years whereas the
shares of new Chinese brands steadily increased.

In general, the smartphone market Is fast a moving industry and characterized by

continuous introduction of new products

quickly evolving technology

high requirements to design

short product life cycles

aggressive pricing

rapid imitation of product and technological advancement

highly price sensitive consumers

The Smartphones

A smartphone is a multi-functional mobile electronic device that is run by operating


system. Beside the basic functions like calling, messages or email, it allows users to
install additional applications to custom the device to their individual needs. The
Smartphone is a unit of hardware and software that cannot switch between different
Operating systems.

1.5 Business Strategy:


3

Business strategy as the tool that manipulates the resources and create competitive advantage,
hence, viable business strategy may not be adequate unless it possess control over unique
resources that has the ability to create such a unique advantage. To gain competitive advantage, a
business strategy of a firm manipulates the various resources over which it has direct control and
these resources have the ability to generate competitive advantage.
Businesses identify their strategies of doing business in order to assist them to achieve their aims
and objectives through increasing their sales. HTC business strategy formulated by its
management has helped the company to enter numerous new markets, and also to efficiently
changes in regulatory procedures within existing markets.

Strategies adopted by telecom companies:

Efforts are made for effective advertising is done in order to make strong position In the

market.
Innovation in both commercial as well as technical aspects.
Dealers management.
Low pricing offers.
Network optimization.
Entering into each others dominant productive areas and to ensure own policies.
Providing more option to a single product like different offer For STD calls.

1.6 Competitive Advantage:


Competitive advantage is a business concept describing attributes that allow an organization to
outperform its competitors. New technologies, such as robotics and information technology, can
also provide competitive advantage, whether as a part of the product itself, as an advantage to the
making of the product, or as a competitive aid in the business process (for example, better
identification and understanding of customers).The term competitive advantage refers to the
ability gained through attributes and resources to perform at a higher level than others in the
same industry or market (Christensen and Fahey ) The study of such advantage has attracted
profound research interest due to contemporary issues regarding superior performance levels of
firms in the present competitive market conditions.

"A firm is said to have a competitive advantage when it is implementing a value creating strategy
not simultaneously being implemented by any current or potential player"

CHAPTER-2
RESEARCH METHODLOGY

2.1 OBJECTIVES OF THE STUDY:


Objectives of the study are as follows:
To study the company profile of HTC
To Study the business strategies of HTC.
To study the competitive advantage of HTC.
To study the strengths ,weaknesses ,opportunities and threats of the company
To find appropriate suggestion to improve the strategies and to improve the market
share.

RESEARCH METHODOLOGY:
Research Methodology is a careful investigation or inquiry specially to search new facts in any
branch of knowledge the research word is combined word to words, first is re and second is
search means to search again. It is also systematically way to solve the research problem.
The main function of research is to add new knowledge. In simple word research can be defined
as critical investigation search for truth facts or for certainty.
Research is a way to systematically solve the research Problem. It may be understood as a
science of studying how research is done scientifically. In it we study the various steps that are
generally used by the researcher in studying his research problem along with the logic behind
them.

2.2RESEARCH DESIGN:
A research design is the arrangement of condition for collection and analysis of data in a manner
that aims to combined relevance to the research purpose .The research design is the conceptual
structure within which research is conduct. It constitutes the blueprint for the collection,
measurement and analysis of data.
Types of research

Descriptive
Exploratory
6

Descriptive Research: The research in which includes surveys and fact finding enquiries of
different kind. The main purpose of descriptive research is description of sates of affairs as it
exists at present.
Exploratory Research: The primary objective of is to provide insight into, and understand of
the problem conducting the research. This is also known as Formulating Research study.
The research design used in this project is Descriptiv Research design.
DATA COLLECTION:
Primary data: The primary data are those data which are collected afresh and for the first time,
and thus happen to be original in character. The first hand information which is directly collected
by the investigator from the respondent is primary data.
Secondary data: The secondary data on the other hand, are those which have already been
collected by someone. Secondary data is the second hand data and is not collected directly by the
respondents.
In this project work I have used secondary data for the study.

2.4 NEED OF THE STUDY:


Today people cant even think about their work and life without the mobile phones. There are
several reasons and needs for which people prefer to buy and keep good mobile phones and why
not these devices has made our lives easy and comfortable that is just by one touch we can access
any service from anywhere. This Smartphone market attracts a lot of companies and has become
a highly competitive environment work. There are several companies which are operating in this
market therefore it is important to know what are strategies the companies are adopting to be in
the market and to have the competitive advantage over their rival firms.

2.5 SCOPE OF THE STUDY:


The study is limited to the study of the strategies adopted by the company for operating the
business. The current project is based secondary data collection method. There are different
competitors in mobile market who are in the race to serve the customers the best they can in
7

order to provide customer satisfaction. The main objective of this project is to find out what are
the business strategies and the competitive advantage of HTC. The study only shows the
Companys performance and its competition and the advantages over rival firms and not of the
whole industry. Therefore the study is confined to the strategies of the company.

2. 6 LIMITATIONS OF THE STUDY:

Limited sources of data.


The secondary data has been used in this project report therefore the findings may not be

totally reliable.
Time constraint is also one of the limitations.
There are sites which provide incomplete information which are not totally reliable for
the study.

3.1 About HTC:


Type
Industry
Founded in
Headquarter
Key people

Public
Telecommunication
May 15, 1997
Xindian district, New Taipeicity Taiwan
Peter Chou(Vice Chairman)

Cher wang (Chairwoman)


Products
Smart phones and tablets
HTC Corporation (High Tech Computer Corporation), is a Taiwanese multinational
manufacturers smart phones and tablets headquartered in New Taipei City, Taiwan. Founded in
1997, HTC began as an original design manufacturer and original equipment manufacturer,
designing and manufacturing devices such as mobile phones,

phones, and PDAs based on

Windows Mobile OS. It was the first Brew MP market to mobile network operators who were
9

willing to pay a contract manufacturer for customized products. After initially making
smartphones based mostly on Windows Mobile, HTC expanded its focus in 2009 to devices
based on Android, and in 2010 to Windows Phone. HTC is also the pioneer in manufacturing the
Smartphone with Google Android operating system. HTC primarily releases and markets its
smartphones under the HTC brand, ranking as the 98th top brand on Interbrand's Best Global
Brands.

3.2 PRODUCTS :
HTC is a Taiwan-based smartphones manufacturing company engaged in design, development,
manufacturing and sales of

Smartphones
Accessories
Tablets
Cameras

HTC is dedicated to create user experience and believe that each mobile device needs to fit its
owner and not the other way around.Few main products of HTC includeHTC's latest mobile launch is the Desire 825.The smartphone was launched in February 2016.
The phone comes with a 5.50-inch touchscreen display with a resolution of 720 pixels by 1280
pixels.

10

Desire 825

Desire 530

Desire 626 S

One X 9

Desire 816

One A9

Desire 210 dual sim

11

One E 9

One (E8)

The company offers its products in Europe, Asia pacific, North and Latin America, Africa and
Middle East The company has gained a reputation in terms of innovation related to the features
of their products as well as their design.

3.3 HISTORY AND GROWTH:


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
Today HTC boasts with its popular products as Touch Diamond, Hero, HD2, HD Legend, and
Desire, and has been ranked by Business Week as the second best performing technology
company in Asia in 2007, and third place in Business Week Global listing in 2006.Initially a
manufacturer of notebook computers, HTC began designing some of the world's first touch and
wireless hand-held devices in 1998. The company is credited with creating the first Android
smart phone, the first Microsoft-powered smart phone (2002) and the first Microsoft 3G phone
(2005). Their first major product, one of the world's first touch-screen smart phones, appeared in
2000.
In 2007 HTC acquired the mobile-device company Dopod International.
In October 2009, HTC launched the brand tagline "quietly brilliant", and the YOU campaign,
HTC's first global advertising campaign.
In June 2010, the company launched the HTC Evo 4G, the first 4G-capable phone in the United
States.
At the Mobile World Congress on 16 February 2011, the GSM Association named HTC the
"Device Manufacturer of the Year" for 2011

12

During early 2012, HTC lost much of this U.S. market share due to increased competition from
Samsung and Apple Inc.
According to analyst firm comScore, HTC only accounted for 9.3% of the United States smart
phone market as of February 2013.
On September 27, 2013, HTC announced the sale of its entire stake (24.84 percent) in Beats
Electronics. The company will close the deal in the fourth quarter of 2013 and expects a US$85
million pretax profit.
In March 2014, HTC released the HTC One (M8), the next version of the HTC One flagship, at
press conferences in London and New York City.
In April 2014, the smart phone company reported sales climbing 12.7 percent to NT$22.1 billion,
the company's fastest growth since October 2011.
At the March 2015 Mobile World Congress in Barcelona, HTC announced a new Head Mounted
Display called the HTC Vive. At the same conference, they announced the HTC One M9 (the
2015 HTC One flagship device, which was the successor to the 2014 HTC One M8) and the
HTC Grip, in partnership with Under Armor. In July 2015, HTC has announced that HTCwon't
be available until end of the year.

13

3.4
SWOT

ANALYSIS OF HTC:
Strengths:

HTC chose the right partners (giant players in software industry, such as Microsoft) to

cooperate with to enter the market with less risk.


Strength in hardware design and strong manufacture capacity: provides high quality

products with high technology and innovation.


Innovative marketing approach.
Trusted brand in China.
There is strong set up research and development in HTC which helps in knowing what
customers want.

Weakness:
Difficulty to obtain loyal fan base and brand advocates outside China
US market is critical for global smart phone industry while HTC only got 2% brand

preference to buy.
Too related on Microsofts platform which was not mainstream in the smart phone system

market.
Brand awareness is weak
Difficulty in after sales services and less care centres.
14

Threats:

Other Taiwanese competitors were catching up in the market.


Lots of new entrants jumped into handset market. (Apple, Samsung, )
Lots of new entrants penetrated into system platform market. (Apple, RIM, Google)
Financial cruch is also one of the threat because HTC smart phones are expensive and
are not affordable by many smart phone users.

Opportunities:

Smart phone category will seize 30% of the whole phone market in coming years.
Googles system Android caught attention of end users, but Google has no device for

it.
3G technology is booming and 4G has also been launched.It will raise the demand of
salephones.

15

4.1BUSINESS STRATEGIES OF HTC


Businesses identify their strategies of doing business in order to assist them to achieve their aims
and objectives through increasing their sales. HTC business strategy formulated by its
management has helped the company to enter numerous new markets, and also to efficiently
changes in regulatory procedures within existing markets.
HTC has achieved its leadership position through adopting innovative approach in production
and design Being in a leadership position has helped the company enormously to enter new
markets during company expansion.

HTC has many sources of differentiation such as quality, innovation, and style. HTC
creates a quality product for consumers by pairing great performance, reliability, and

efficiency into all of their products.


The HTC management team and the engineering team pride themselves on making the
latest and best performing smart phones in the market today and they do this by
16

partnering with great hardware and software companies to get the best performance,

reliability and efficiency out of all of their products.


The next Business strategy would be their innovation.HTCs biggest competitive
advantage is their R&D department and all of the money they put into creating the most

innovative products on the market.


Also another creation of HTCs innovation would be their highly customizable products.
Because HTC has such high customization they have been able to gain a larger customer

base by offering a great variety of options for each product.


The Company has been continuously working on the style of their products. HTC
products are very much geared towards the younger generations by making their products
look very clean and easy to use, but also looking futuristic at the same time.

Corporate- level Stratrgies


Vertical coordination:
As a phone manufacturer, HTC mainly takes different components and puts them together in an
attractive way to sell to its customers. However, throughout its history, it has taken steps to take
more control over the parts that are included in its cell phones and how it gets sold
Diversification:
HTC focuses all of its decisions and actions on the production of mobile phones. Every
acquisition, merger, partnership, and collaboration has been geared to improve the value added to
the manufacturing of its mobile phones. Therefore, HTCs level of diversification would be
described as a dominant business

4.2 PORTERS FIVE FORCE ANALYSIS:


To analyze the business strategy of HTC and to determine the competitive intensity, the Porter
Five Forces model gives an insight into the attractiveness of a market.

Competitive Rivalry within an Industry: High


The rivalry in the smartphone industry among existing players is very high. Since only a few
firms are concentrated in the market, intense price wars are driven by the major carriersThe
differentiation in product features such as camera functions, Internet accessibility, application
17

availability, and messaging functions is relatively low. Therefore, brand name is a significant
factor for success in the intense competition.

Bargain Power of Suppliers: Medium/Low


For HTC, the power of suppliers in hardware is considered moderately low mainly because HTC
mostly produces its own hardware. The hardware that is not produced by HTC is delivered by a
limited number of suppliers. HTC did not develop its own operating system and has a
dependency on other companies. Since HTC is using the operating systems of Google and
Microsoft, these companies have bargaining power over HTC.

Bargain Power of Customers: High


Analyzing customer power for HTC is problematic because the customers are end-users, service
providers, and retailers. The impact of retailers and carriers is challenging for HTC because of
the dependency on the carriers to add HTC products to their portfolios HTCs customers have a
wide choice of similar products.

Threat of New Entrants: Low


Since substantial capital requirements are necessary for research and development tasks as well
as for the operations level, the threat of new entrants is relatively low. The existence of economies of scale, which the big global manufactures favor, represents an entrance barrier for new
manufacturers. Product differentiation is extremely difficult in the smartphone market. New
entrants would need to create product differentiation in order to establish brand awareness.

Threat of Substitute Products: Low


Many products offer a variety of functions that overlap with a smartphone. These products
include digital cameras for taking photos, CPS location services for navigation, PCs for Internet
services, gaming consoles for gaming, basic phones for communication, and MP3 players for
listening to music. Furthermore, substitute products like notebooks, netbooks, tablets, and PDAs
offer almost all of the same functions of a smartphone.
18

4.3COMPETITIVE ADVANTAGE ANALYSIS:


Competitive advantage is a business concept describing attributes that allow an
organizationoutperform its competitors. "A firm is said to have a competitive advantage when it
is implementing a value creating strategy not simultaneously being implemented by any current
or potential player"

CORE COMPETENCIES OF HTC:


(1)One of HTCs core competencies is their long, close relationship with Microsoft. HTC ran
Microsofts Windows Mobile operating system. This relationship created value because
Microsoft took on a huge role to knock down some of the barriers that were blocking HTC from
growing and succeeding. Microsoft was seen as HTCs first foot in the door.
(2)Another one of HTCs core competencies would be their research and development. HTC
allocated 5% of their revenue to this area, compared to the industry average at 2%. HTCs drive
for innovation helped them embrace more of a high vibrant energy and culture for experimenting
with new ideas and technology. These skills helped HTC become highly recognized by other cell
phone related firms.

19

(3) Another core competency was their product design. HTCs customization creates value
because it reduces the number of common components used among devices, driving up the
average unit cost of components. This approach creates value for the end user because HTC is
able to take a product they previously designed and fix it in a way that satisfies their customers
wants and needs in just a few days
DISTINCT COMPETENCIES :
CHOICE OF MOVING AWAY FROM NOTEBOOK TO PDA INDUSTRY:
One key decision that HTC made to secure its future competitive advantage was to make the
risky choice of moving away from the notebook industry and into the PDA industry. This choice
was risky from the start because the company was losing money and needed a change that
created future profits to make them last.
RESEARCH AND DEVELOPMENT OF HTC:
Another large competitive advantage that HTC had over its competitors was the number of
Research and Development employees the company hired during its quick growth. Their R&D
department was given about 5% of their total revenue to devote their time on future product
development, when their competitors only dedicated around 2% of their total revenue to R&D.
THE INTER RELATIONSHIPS WITH OTHER PROMINENT COMPANIES:
Another competitive advantage of HTC would be the relationships they have created with other
companies such as Microsoft and Google. HTC first had a long relationship with Microsoft by
creating a significant number of Windows Mobile phones that would be sold around the world.
RESOURCE ACQUISITION:
HTC also has amazing resource acquisition which sets them apart from their competitors. These
resources vary from engineers and management to the software and hardware that goes into
HTCs devices.

20

CONTINOUS INNOVATION AND ADAPTATION OF TECHNOLOGIES:


HTC has very inimitable core competencies, one being innovation. The innovation and R&D of
HTC is very hard for other companies to imitate because of the significantly higher profit
margins that HTC has over other firms. This higher profit margin allows HTC to pump more
money into their R&D department to create new innovative technology.
RESOURCES:
HTC has many different resources and capabilities that were acquired to help the firm become
successful and more well-known to the telecommunications industry. One of HTCs most critical
resources is their close relationship with Microsoft. With Microsoft being the worlds best
hardware maker, Microsoft helped knock down many obstacles and challenges that HTC would
have had to take on.This include mainly the Huuman resource specially Research and
development departments. Another one of HTCs resources was their innovative design skills.
HTC employees had a passion for innovation.

CAPABILITIES:
On the other hand, one of HTCs main abilities was their research and development. The CMO
of HTC created an internal research center called Magic Labs. These labs drove innovation in
terms of product design and technology.This new generation technology introduced a series of
new smartphones that had this capability, which was to be seen as the next big thing for
smartphones.. HTC formed many of their close relationships with other firms because of their
ability to move fast and take on the next challenge in the rapidly evolving mobile phone market
VALUE CHAIN:
Research and development are the first main primary activities that create value for the customer,
as well as the firm itself. Through different methods of research and development such as HTCs
internal research center called Magic Labs, HTC is able to experiment with the latest
technology for the consumers. In the Magic Labs the innovators are known as wizards.
These wizards collaborate with each other in an open work environment to develop products that
21

meet customers needs. This creates value for the end-user because as technology grows and
expands within any other industries consumers expect the same within the cell phone industry. It
drives the company to be more innovative, which is why customers prefer HTC over other
companies.

4.5 Main Competitors


The U.S. mobile phone market, and especially within the area of smartphones, is extremely
competitive with four major brands competing for customers The smartphone category is so
intensive and competitive, four main competitors were selected to be analyzed and examined,
focusing on the benefits, both rational and emotional, the points-of-parity and points-ofdifference, and on the brand values in the competition against HTC. The four main competitors
in the smartphone market in the U.S. are Apple Inc, Motorola, Research in Motion, and
Samsung.

Apple Inc.
Apple entered the mobile phone market in 2007 with the iPhone launch. The phone was
originally designed as an extension of the companys highly successful iPod media player. The
popularity of the brand is largely due to the fact that Apple has complete control over which file
formats, programming languages, and third-party applications can run on the device, allowing
Apple to have complete control over the user experience. Apples customer and product base is
more widely spread than any other competitor, which makes the brand more significant and adds
more brand awareness to the company and its products. The fact that the popularity of one
product category can feed off to another gives the company increased brand loyalty.

Motorola Mobility

22

Another company that could be a threat and competitor in the U.S. smartphone market in the
future is the U.S.-based manufacturer Motorola Mobility, a spin-off of Motorolas former
smartphone section. Motorola Mobility generates about two-thirds of their total revenues in the
U.S. market. Their main business segments are mobile devices, wireless accessories, set-top
boxes, and video distribution system products

Blackberry
RIM was founded in 1984, and it is a leading designer, manufacturer, and marketer of innovative
wireless solutions for mobile communication. The companys flagship is its successful wireless
solution platform and handheld communication device BlackBerry. After a decade of tremendous
success, BlackBerry needed to reposition its brand. The brand was about to become irrelevant
since it only stood for technology and wireless e-mail functionality. In comparison to their key
competitors, the BlackBerry brand remains the most powerful brand for the business segment.
Although Black- Berry is a powerful brand with a high customer loyalty, it still has to focus on
innovation to draw in a large consumer.

Samsung
Samsung is a South Korean multinational corporation with a wide range of electronic products.
Within mobile phones, it has focused its development on smartphones, and it has been very
successful with its line of smartphones based on the Android operating system. In the U.S.
market, Samsung generally offers more low-priced models, bringing its average sales price
below Android competitor HTC differentiation is a big challenge for Samsung in the smartphone
market because the brand, together with companies like HTC, LG Corp, and Motorola, has a
wide variety of similarly functioned Android-based smartphones.

23

24

5.1 FINDINGS:

HTC has many different resources and capabilities that were acquired to help the firm

become successful and more well-known to the telecommunications industry.


HTC is more redependent on other companies for the operating system

products.
The brand is still unknown to large public. The brand awareness is weak.
HTC business strategy formulated by its management has helped the company to enter

for their

numerous new markets, and also to efficiently changes in regulatory procedures within

existing markets.
There are many mobile companies in market but the companies which can be called as

the biggest competitors are Apple,Smasung,Blackberry.


The company is focusing on innovative design skills. HTC employees had a passion for

innovation. They are constantly experimenting with new ideas and technology.
The company is continuously focusing and has strengthened the hardware design.

25

5.2

SUGGESSTIONS:

HTC should create an aggressive marketing plan to concentrate on building their brand

value.
The company should bring diversification into new product lines.
This will support our alternative recommendation of brand strategy because HTC will not
only be known for phones, but other technology products which will overall increase

their market share.


HTC has a solid foundation to create their own operating platform because they have
extensive previous experience with partnerships and highly qualified engineers.

Therefore it should develop its own operating platform.


Reduction in cost of production is a matter of serious concern.
The prices of smartphones and tablets are quite costly therefore there should be the

products which are easily affordable by customers.


Strategies should be made regarding loyal

26

fans

base

outside

China.

5.3 CONCLUSION
From the whole study the conclusion is drawn that HTC has many different resources and
capabilities that were acquired to help the firm become successful and more well-known to the
telecommunications industry. One of HTCs most critical resources is their close relationship
with Microsoft. With Microsoft being the worlds best hardware maker, Microsoft helped knock
down many obstacles and challenges that HTC would have had to take on. consumers. Their
strengths were their hardware design and manufacturing. HTCs design innovation skills were
noticed by many different companies, like Handspring. HTC was recruited by Handspring and
helped design the first Treo Smartphone. On the other hand, one of HTCs main abilities was
their research and development. HTC formed many of their close relationships with other firms
because of their ability to move fast and take on the next challenge in the rapidly evolving
mobile phone market. HTC was known for its speed to take a product they had designed
previously and change it so that it would fit their customer needs. HTC supporting activities is
their human resource management. HTC only recruited employees from high level engineering
companies. All of their engineers had many years of past experience. Management encouraged
them to work in an open environment and to collaborate with one another. The area where
company needs to work is the Brand management and to provide products of affordable prices.
The company has high advantage over its several competitors.

BIBLIOGRAPHY

27

Books:

Azhar Kazmi (Second edition) Business policy and Strategic management by Tata
Mcgraw-Hill Publishing company limited

Kothari C.R (1998), Research Methodology, Method and Technique, WishwaParkashan


New Delhi

Links:

www.htc.com/sea/(24-03-2016)
http://crowleyesarah.weebly.com(01-04-2016)
http:/googleweblight.com/?lite_url=http:/www.businessinsider.com/htc-one-salesstrategy-2014
www.businessinsider.com\here-htc-new-business-strategy-2015-2

http://www.themobileindian.com/news/18041_Micromax-Lava-Intexmost-trusted-Indian-mobile-phone-brands-Study

28

You might also like