国际商务组织12.doc

CONTENTS 1.0 Introduction 1 2.1 Historic Context 1 2.2 The Development of Expansion 2 3.1 The Strategies for Research and Development 3 3.2 Production Unit and Global Position 4 3.3 The Adjustment for Local Criteria 6 3.4 Pricing, Distribution Policies and Logistics 7 3.5 Communication Strategy 9 1.0 Introduction Huawei Technologies Co. Ltd. is a Chinese multinational networking and telecommunications equipment and services company headquartered in Shenzhen, Guangdong. It is the largest telecommunications equipment manufacturer in the world, having overtaken Ericsson in 2012. 2.1 Historic Context During the 1980s, Chinas government tried to modernize the countrys underdeveloped telecommunications infrastructure. A core component of the telecommunications network was telephone exchange switches, and in the late 1980s several Chinese research groups endeavored to acquire and develop the technology, usually through joint ventures with foreign companies. (Wikipedia, 2015) The former deputy director of the Peoples Liberation Army engineering corp, Ren Zhengfei, founded Huawei in 1987 in Shenzhen. Rather than relying on joint ventures to secure technology transfers from foreign companies (which were often reluctant to transfer their most advanced technologies to Chinese firms), Ren focused on local research and development to produce the switches through reverse-engineering of foreign technologies. At a time when all of Chinas telecommunications technology was imported from abroad, Ren hoped to build a domestic Chinese telecommunication company that could compete with foreign competitors (Peilei Fan, 2006). The companys first major breakthrough came in 1993, when it launched its CC08 program controlled telephone switch. (Mashpedia, 2015) It was by far the most powerful switch available in China at the time. Huawei also gained a key contract to build the first national telecommunications network for the Peoples Liberation Army, a deal one employee described as small in t