...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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...ting19890129@gmail.com Date: 26/01/2013 Table of Contents Executive Summary 1. Background 2. Business concept 3. Analysis 3.1 Industry Analysis 3.1.1 SWOT Analysis HTC 3.2 Competitor Analysis 3.2.1 SWOT Analysis Apple 4. Business model 5. Strategy Plan 5.1 Strategy 5.2 Products 6. Recommendation References Executive Summary Nowadays, there are numerous companies established and raised in two decades. To give some examples, Apple, Samsung and HTC and so on are well-known companies. Following by the internet, these companies not only reinforce its service and sell in real stores but focus the online marketing. The project aims at analyzing the high tech company of HTC and advising the company to solve problems of online marketing. This project focuses on exploring its disadvantages by comparing with other competitors. The result indicates that HTC should improve its delivery service and online service so that it can attract more consumers. 1. Background This project was prepared for HTC to make online marketing better. The definition of online marketing can be defined as decisions of investment which investors made depend on whether behaviors of the company are ethical (Hudson 2005, p. 641). The company, HTC is a high technology corporation, is founded in 1997. Initially, HTC designed the world's first touch and wireless hand-held devices in 1998, and then manufactured some of smartphones and tablets. At the beginning...
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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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...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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...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...
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...HTC Corporation, formerly High-Tech Computer Corporation, is a Taiwanese manufacturer of 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, touch screen phones, and PDAs based on Windows Mobile OS and Brew MP to market to mobile network operators who were willing to pay a contract manufacturer for customized products. After initially making smart phones based mostly on Windows Mobile, HTC expanded its focus in 2009 to devices based on the Android, and in 2010 to Windows Phone. As of 2011, HTC primarily releases and markets its smart phones under the HTC brand, ranking as the 98th top brand. At the start, HTC was not well known in the smart phone and tablets industry. However, the company’s 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 its technological and innovative approach. In fact, its brand awareness was very low compare to its competitors in the smart phone industry. Therefore, it is clear that a company of the magnitude of HTC need to do more in terms of brand awareness in order to sustain and increase its market share in such a highly competitive market. To achieve this, HTC needs to review its marketing...
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...Htc: HTC Corporation, formerly High Tech Computer Corporation is a Taiwanese manufacturer of Smartphone and tablets. Its core business is the development, production and manufacturing of electronic devices that combines the attributes of a mobile telephone device and handheld computer. Chairman and co-founder of HTC since 1997 is Cher Wang. HTC then developed the world’s first handheld personal data assistant (PDA) using Windows CE. The company initially made Smartphone based mostly on Microsoft’s and Windows mobile operating system (OS) software, but in 2009 it began to shift its core focus away from Windows Mobile devices to devices based on Android OS, and in 2010 to Windows Phone OS as well. HTC is also a member of the open handset alliance, a group of handset manufacturers and mobile network operators dedicated to the advancement of the Android mobile device platform. The HTC Dream, marketed by T-Mobile in many countries as the T-Mobile G1 or Era G1 in Poland, was the first phone on the market to use the Android mobile device platform. STRATEGIES: Porter (1980) prescribed organizational requirements for the pure strategies of overall cost leadership or differentiation. Porter recognized that differentiation and cost leadership advantages are not mutually exclusive. The task associated with cost strategy variables focus on internal operation of the business whereas differentiation strategy incorporates variables dealing principally with business’s environment. HTC is...
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...Agony and HTC: How an underdog phone maker aims to reinvent itself Agony and HTC: How an underdog phone maker aims to reinvent itself The company will use Mobile World Congress next week as a coming-out party for its new identity as a consumer gadget and mobile-app maker. It may be the most important party it ever hosts. by Roger Cheng http://www.cnet.com/news/agony-and-htc-how-an-underdog-phone-maker-aims-to-rei nvent-itself/ February 23, 2015 5:00 AM PST HTC's Creative Labs studio in Seattle's Pioneer Square neighborhood is tasked with coming up with the software experience on all the company's products. James Martin/CNET SEATTLE--I arrived in the tech-revitalized, hipster neighborhood of Pioneer Square on a crisp December morning, eager to see HTC's Creative Labs studio and meet up with the team of designers responsible for the novel interface software that fronts the Taiwanese-maker's smartphones. There was just one problem: I couldn't find the place. The typical sign with a corporate logo, emblazoned in bold letters, was nowhere to be found. There wasn't even a tiny nameplate anywhere. After a careful search, I stood before a nondescript door that was sandwiched between an Italian restaurant and a hair salon. The shops, housed in a contemporary commercial brick building, both fit in with the colorful vibe of the area, but home to a branch of a global smartphone company? "We don't do much in the official way here," said Drew Bamford...
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...Background Founded in 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...
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...tag line quietly brilliant, because HTC shouldn’t be quiet about anything it does. HTC makes great smartphones, but has gotten their clock cleaned over the last few years because they navigated around the mobile phone arena like a ship which lost its direction. HTC's new in-your-face marketing strategy is certainly going to help the company increase its market share – but hopefully HTC won’t stop its change in strategy at marketing. Let’s call it like it is, Samsung has run circles around the other smartphone manufacturers - including HTC. Samsung’s intense marketing strategy coupled with great hardware has helped vault the manufacturer into the number one spot. Even with complaints about the Galaxy S IV being too plastic or looking too much like the S III, Samsung is still going to be the manufacturer to knock off the perch. I believe that HTC is in a position to do this, but the company needs to invest in more than just marketing. The manufacturer is at a great starting point with the HTC One. But what it needs to do is make the name One have some meaning. I believe that if HTC beat out the competition by being the best at updating its firmware, that could help its image. Having hardware which is running the newest version of Android is certainly something to promote and would put HTC head and shoulders above the competition, because more likely than not, Google is going to offer a feature or experience that people will want. HTC also needs to work out whatever issues...
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