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Haier Case - Market Entry

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Haier Case - Market Entry
Vincent Garcia - Lennart Cocquyt - Alexia Radichia - Gad Zerbib - Héloïse Condamin





Analyse Haier’s growth patterns internationally and on the domestic market
Outline the synergies and major stages of Haier restructuring process to implement their international strategy and adress the impacted corporate functions. 1.
2.
3.

Value chain outline
Business model restructuration
Domestic market

1. Analysis
2. Factors of success
4.

International expension strategy

1. Management method
2. Analysis
3. Factors of success
5.

6.

Value creation
Debate








Top quality products
Adapted and productive management style
Group capacity to restructure and stimulate other companies Value chain analysis
& good partnership

Value Chain Outline

Business model restructuration Domestic Market

International expension strategy

Value Creation

Debate

Value Chain Outline

Business model restructuration International expension strategy

Domestic Market

1984

1988

Zhang become
Manager of
Quingdao General
Refrigiretor Factory

Gold medal for product quality in national competition

Value Creation

1989

1991

Chinese market face oversupply

Diversification through aquisitions
(eg,
telecommunication, equipment…) Debate

Raise the price and move to high quality strategy

1998
Operational
restructuring

Value Chain Outline



Business model restructuration Domestic Market

Diversification and internal reorganization



7 product divisions



Glocal strategy:
◦ 4 Group-wide
« Development
Divisions »

International expension strategy

Value Creation

Debate

Value Chain Outline

Business model restructuration Domestic Market

International expension strategy

Value Creation

Debate

Market share in 2004
Refrigerator

Washing Machine

Air conditioner

28%
18%

30%

other
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