ENHANCE ACTION PLAN OF INDONESIA’S CHINESE SMARTPHONE COMPANY TO STRENGTHEN VALUE CREATION

• Main Author: Jiaqi, He
• Format: Theses
• Language: Indonesia
• Online Access: https://digilib.itb.ac.id/gdl/view/74442
• Institution: Institut Teknologi Bandung

Indonesia has a huge demographic dividend and market development potential and has become the preferred international station for smartphone manufacturers. Samsung, Xiaomi, OPPO, etc. have their own advantages in product positioning, channel construction, etc. As the smartphone market structure gradually stabilizes, product homogeneity and market competition are further intensified. Through strategic and financial data analysis methods, this research comprehensively uses strategic analysis tools to make recommendations on how the Chinese Smartphone Company can outperform their competitors and increase their market share. The main issue facing Chinese Smartphone Company is even current capture leading market position in cell phone, however, the financial results did not yield at the desired level. How to expand market share and improve delivery financial performance are the main research objectives. In the strategic analysis part, understand the competitive advantages and disadvantages of products through internal and external environment analysis. In the part of financial analysis, the author selects financial report data from 2016 to 2021 to empirically analyze the performance of Chinese Smartphone Company in Indonesia. The results found that after entering the Indonesian market, Chinese Smartphone Company quickly developed and became industry giant with effective penetration strategies, and the increase in market share is also not based on the premise of sacrificing profits. The company still maintains healthy profitability, and profitability is expected to improve further. This paper draws the following conclusions: (1) Current marketing strategy set in 2014-2015 works well during business embryonic period in capturing market share. (2) In order to improve the business and its financial performance the following suggestions may be appropriate: a. Cost efficiency, b. Further optimized strategies, c. Intensify products diversification, d. Invest in new business. (3) With the increasingly fierce competition in the mobile phone market, in order to further improve channel construction, the company can develop network channels with low construction costs and expand the product line to orientation develop high-end products, so as to access to high-income customer groups. Through the research, it is recommended that Chinese Smartphone Company actively integrate and optimize sales channels, expand product lines, and achieve diversified operations through the Internet of Things.