This website uses cookies to ensure you have the best experience. Learn more

China Mobile's Marketing Strategy: Assessing Its Effectiveness And Making Tentative Recommendation

6343 words - 25 pages

Chapter 1.0INTRODUCTION1.1 Background"WHICH is the biggest mobile-phone market in the world? The answer, since July, is China's. A country in which, until a few years ago, the only people who could afford mobile phones were triad mobsters now has 121m users. BDA, a Beijing consultancy, forecasts that the number will rise to 370m by 2005, enough to persuade many investors--even after telecoms shares have dived all round the world--that China was, and would remain, a magic market." (A billion voices calling? Mobile phones in China, 2001, p1)'The magic market' of China has been a recent event, yet the seeds of this market were sown in 1976 after the death of Chairman Mao. China initiated a series of economic reforms at this time, and the telecommunications industry was seen as vital to economic growth (Harwit, 1998, pp4-6).However, it was not until the 1990s that the pace of reform was quickened when China's telecommunications market changed drastically (Harwit, 1998, p1). A key part of this change was to split up the monopoly China Telecom into four state-owned companies, which are China Telecom, China Netcom, China Mobile and China Unicom with relatively distinct but to some degree overlapping markets (Pangestu and Mrongowius, 2002, pp5-7).China Mobile rapidly became the largest mobile phone operator in China. In 2001, its asset was more than $32.74 billion and it had 100 million subscribers. Until 2002, these figures have grown to over $38.8 billion and more than 138 million subscribers (China Mobile Company Profile, 2004, p1). However, the continued good performance of China Mobile is threatened by a number of factors.These threats come from a number of places, the most important of these being the fierce competition with the three other state-owned companies. However, this competition will be increased in 2007 when the WTO Basic Telecommunications Agreement comes into effect, allowing foreign companies access to China's telecommunications market (Yang, 2003, p3). This pressure is reflected in the fact that the Mobile Phone Revenue per User has dropped 50% in the past three years (Yang, 2003, p3) to a figure of RMB100 Yuan (Reuters, 2004, p1). Another major threat faced by China Mobile comes from China Unicom, which has gained significant strategic advantages through its security of exclusive rights to use the new CDMA network technology (Yang, 2003, p3).All of these mean that China Mobile's marketing strategies, especially its advertising strategies, will become the most important element of its sustained and successful growth. The challenge for China Mobile is to gain and maintain market share, and continue to seek future growth."WINNING CLIENTS is one thing; keeping them an entirely different challenge... companies have to adopt proactive strategies to retain hard-won customers." (How to maintain loyalty among 'risk' customers, 1999, p1)Therefore, the application of successful advertising strategies is a critical factor for attracting new...

Find Another Essay On China Mobile's Marketing Strategy: Assessing its Effectiveness and Making Tentative Recommendation

Marketing Strategy in China – The case study of B&Q

2813 words - 11 pages behaviour by Chinese supermarkets. International Review of Retail, Distribution and Consumer Research, 11(2), 159-76.Jonathan Reynolds - Christine Cuthbertson (2004) - Retail Strategy - Elsevier Agarwal. J. & Wu. T, (2004). China's entry to WTO: global marketing issues, impact, and implications for China. International Marketing Review, 21(3), 279 - 300.AppendicesKingfisher's Global Market Rajendra P Mahadevappa (200782546) Page PAGE \* MERGEFORMAT 13

The Effectiveness of Marketing Strategy Used in Online Business Among Young Adults

2457 words - 10 pages http://www.aldricharchive.com/inventors_story.html Aziz, N. A., & Ariffin , A. A. (2010). 23. Exploring Consumers Attitude towards Web Advertising and its influence on Web Ad Usage in Malaysia. Retrieved from http://www.ukm.my/penerbit/jurnal_pdf/jurus_pdf/jp31-05-lock.pdf Bauer, H., Barnes, S., Reichardt, T., & Neumann , M. (2005). Driving consumer Acceptance of Mobile Marketing: A Theoretical Framework and Empirical Study. Journal of Electronic

The New Marketing Strategy for Coca-Cola (China): COOPERATION WITH I.T. COMPANIES

4580 words - 18 pages ml bottles, with the images of warlocks and other characters from the World of Warcraft. This further ties the soft drink with the computer game. Overall, we can see that the computer gaming campaign is actually the heart of the company’s marketing strategy in China, though the company still promotes its products through traditional print media and television advertisements. It is seen that the Coca-Cola Company is very successful and effective in

This report is required to choose a business operating in the tourism sector and describe how the business segments its market and how this segmentation is reflected in its marketing strategy

3605 words - 14 pages introduce an understanding of market segmentation and marketing strategy integrated with the exiting business - Dreamworld. It clarifies how Dreamworld - the largest theme park in Australia segments its market, and how the segmentation is reflected in its marketing strategy.Firstly, the report indicates the background of Dreamworld market. It describes how Dreamworld segments its market and identifies the marketing strategies applied by

What do you understand by the term marketing environment? Describe how a company may control and/or adapt to its marketing environment so as to develop an efficient strategy. Give suitable examples

1070 words - 4 pages organisation's public face. If the company's staff speak badly about the company to outsiders, the outsiders are more likely to believe what they hear than to believe the company's promotional campaigns.As can be seen, a company needs to look after all of its environments to be able to develop an efficient strategy in making itself profitable. No company has a perfect balance between all these factors though a few are quite close and so have made themselves

Sasfin Strategy Analysis and Recommendation

3819 words - 15 pages . To continue serving these clients will present a conflict with its strategy of serving SME's. A recommendation will be for Sasfin to look at a cooperative strategy with a large bank that will complement and increase the firm's competitiveness without necessarily loosing focus of its strengths.5) A business that depends on only one or two people is riskier in the buyer's mind, and therefore is less value. Buyers don't like one man brands. Building

marketing strategy and mixed strategy

1383 words - 6 pages communication channels to deliver a clear, consistent, and compelling message about the organization and its brands The Need for Integrated Marketing Communications 14 -18 Copyright © 2012Pearson Education, Inc. Publishing as Prentice Hall Integrated Marketing Communications Strategy 14 -19 Copyright © 2012Pearson Education, Inc. Publishing as Prentice Hall A View of the Communication Process The Communication Process 14 -20 Copyright

China and its Culture

2021 words - 8 pages ” and has a population of over 17 million people (The China Post). It has been a major tourism site due to its history that included the 2008 Olympic Games. Some of the major attractions it offers are the Forbidden Palace a.k.a. The Palace Museum and the Temple of Heaven. The largest metropolis of China and one of the largest cities in the world is Shanghai where the Chinese Stock Exchange, Oriental Pearl Tower and the Shanghai Pudong

Decision-Making and Strategy Development

2209 words - 9 pages were made--rather than getting everyone down the line involved in building in quality in the first place, as eventually happened through the TQM (Total Quality Management) movement. Indisputably, a similar trend is emerging in the fields of decision-making and strategy. Traditionally, many companies regarded strategy development as an exercise in which specialists "programmed" the right products and services into existing markets. According to

Recommendation for Walmart, Inc and its Online Presence

732 words - 3 pages To: CEO of Wal-Mart Stores, Inc. From: Gaylord Paul Garcia Date: February 16, 2014 Re: The future of Wal-Mart. I. Bottom Line Recommendation Expanding Wal-Mart’s online presence is the most important opportunity that will help position the company more strongly for 2014 and beyond. Online retail and shopping sales has been growing consistently every year, not just in the US but worldwide. Not only does online shopping give customers more

Assessing International Marketing Opportunities for Small-and Medium-Sized Companies

3368 words - 13 pages opportunities and threats of firms that involving the profitability prediction in the selected markets. Step 3: This is an approach toward the internal environment of firms by assessing firms’ internal factors to pinpoint the organizational strengths and weaknesses. These important aspects shape the firms’ competitiveness and accordingly formulate firms’ strategy. The following table indicates the analysis process, its objectives in each stage and the

Similar Essays

Ericsson's Marketing Strategy In China Essay

1659 words - 7 pages Ericsson's China StrategyThe tie between Ericsson and China may be traced back to more than one century ago when the first batch of Ericsson telephone sets - 2,000 in all - were shipped to Shanghai. Being a giant telecommunications company of world renown, Ericsson makes a point of localizing its widespread branches and merging itself with local economies. The localization of Ericsson (China), considering the great market in China, is a very

Go Pro And Its Strong Marketing Strategy Versus Contours

639 words - 3 pages sports and camera experts and was even chosen as one of the perfect pieces of gear by Outside magazine. Unfortunately for Contour, GoPro topped this list as well as pretty much every other type of list. Competing as the number two brand proved to be too big a feat for Contour and it closed its doors in the summer of this year (Griffith, 2013). One of the founders of Contour, Marc Barros, believes that GoPro’s marketing strategy was one of the

Business Analysis: Dyson And Its Strategy For Marketing

1496 words - 6 pages from its team work and strong determination towards innovation. Chen, Zhu, Yu, & Noori, (2012) highlights that unique and dynamic innovation in any organization is only possible when specific organization is more determined and enthusiastic about developing unique and significant strategy for their growth. Supportable and creative product design or even equivalent design for new uniqueness is considered to the best and most efficient way to

1989 Tiananmen Square Massacre In China And Its Resulting Effects On Chinese Policy Making And Politics

1193 words - 5 pages In 1989, government corruption and rising inflation caused much of China's population to respond to a student revolt for democracy. This ignited an historically significant confrontation with Chinese Communist Party authorities.On June 3 and 4, 1989, the Communist People's Liberation Army in China brutally crushed supporters of democracy who marched on Tiananmen Square in Beijing. Hundreds of students and others were killed, with 10,000 people