After a general review of both SWOT and Haier, this paper focuses on how Haier can make appropriate SO ST WO and WT strategies by analyzing and allocating its internal factors strengths and weaknesses as well as external environments opportunities and threats. The aim is to provide an applicable Haier model which combines SWOT analysis with strategy formulation to set an example of how SWOT assists business in developing feasible strategies, and simultaneously provides an in-depth understanding of the "glocal" strategy of Haier as one of the most successful enterprises in current China. Haier has built a portfolio of unrelated diversification through mergers and acquisitions and had decentralizing its operational risks. Haier is confronting few strategic issues which might be more rational and
After a general review of both SWOT and Haier, this paper focuses on how Haier can make appropriate SO ST WO and WT strategies by analyzing and allocating its internal factors strengths and weaknesses as well as external environments opportunities and threats.
Therefore, many economists and scholars have researched into this field and proposed some useful tools and models to help analyze and develop business strategies.
SWOT analysis is one of the most well-known and frequently used models created in the s.
Moreover, the reason why Haier is chosen as the analyzing subject should be explained here. Actually, as the most internationally distinguished Chinese appliance brand, Haier always attracts great attention from economics and researchers.
Therefore, a more comprehensive examination of Haier, especially the internal and external factors which greatly affect its strategies and contribute to its success, can hopefully offer some useful guidance for other business. Therefore, it is of great theoretical and practical significance to conduct a thorough SWOT analysis of Haier and work out an integrated model to see how SWOT can help a business to make successful strategies.
The primary purpose of this paper is to provide a good framework for understanding and applying the SWOT model in real business practices and to advance such a concrete development strategy model based on the case study of Haier.
The paper mainly consists of 6 parts: Haier Group, founded in with its headquarters in Qingdao, China, is the leading brand of white goods globally and the most valuable brand in China.
With considerable awards and achievements, Haier has involved into a giant multinational corporation. The development of Haier can be divided into four phases.
By only focusing on refrigerators, Haier was able to accumulate valuable business and management experience. In this phase, it moved from a single-product company to a manufacturer with multiple product lines and expanded its brand to include both brown goods as well as white goods.
Internally, the company restructured operations, using intangible assets to get the most out of existing tangible assets.
It gradually entered international mainstream markets, and opened foreign sales channels to deepen market penetration.
At this critical stage, Haier aims to build a local Haier brand in each geographic area all around the world. It is on the way to integrate global resources to satisfy consumers' needs all over the globe.
It involves specifying the objective of the business venture or project and identifying the internal and external factors that are favorable and unfavorable to achieve that objective Hill and Westbrook, The technique is credited to Albert Humphrey, the founding father of SWOT analysis, who led a convention at Stanford University in the s and s using data from Fortune companies.
The background to SWOT stemmed from the need to find out why corporate planning failed. The application of SWOT analysis is not limited to profit-seeking organizations. It can be used for business planning, strategic planning, competitor evaluation, marketing, business and product development and research reports.
And it may also be used in any decision- making situation when a desired end-state objective has been defined. Specifically speaking, strengths refer to characteristics of the business or team that give it an advantage over others in the industry. Weaknesses are characteristics that place the firm at a disadvantage relative to others.
Opportunities are external chances to make greater sales or profits in the environment. Threats are external elements in the environment that could cause trouble for the business. Generally, SWOT is carried out in the following steps. Third, allocate external opportunities and threats with internal strengths and weaknesses.
Based on the 3 steps, we can draw the following matrix diagram. The usual practice is to make best use of strengths while overcoming weaknesses, and to take good advantage of opportunities while removing threats.A SWOT Study of the Development Strategy of Haier Group as One of the Most Successful Chinese Enterprises Xia ChanAbstract This paper puts forward a complete and comprehensive SW International Journal of Business and Social Science (IJBSS) is a monthly peer reviewed journal.
as well as external environments (opportunities and threats. A SWOT Study of the Development Strategy of Haier Group as One of the Most Successful Chinese enterprises. International Journal of Business and Sosial Science 2(1), . caninariojana.comal Analysis + Internal Analysis (SWOT, PESTLE, Five Forces) caninariojana.comlogy 3.
Global Environment SWOT Analysis First of all, determining strengths of the company that Haier is a wellknown brand name in China with high reputation for reliable quality . Free Essays on Haier S Threats And Opportunities.
Search. Haier Case. Why was Haier so successful in China? ANSWER Haier Group became the business leader in appliance manufacturer business in China by the end of December The fact that it was the second largest manufacturer of refrigerators globally was evidence of its .
Haier Company Profile - SWOT Analysis: With production plants in every region in the world, Haier Group has become the world leader of major Geographic and Category Opportunities Haier Group’s largest 10 markets’ growth prospects Steadily growing major appliances in China. An Analytical Study on Strategic Management of Haier Muzi HE Anglia Ruskin University, UK Weaknesses, Opportunities, and Threats) 1 MBA Postgraduate studies in progress 2 Member of Chinese Institute of Certified ) to global consumers.
Haier Group is committed to providing. Journal of Contemporary Management. Journal of.