Transnational strategy
Huawei has already passed the international strategy and multinational strategy. Now it is in the global strategy. At the moment, Huawei is entering into the field of transnational strategy through continuous reform. This will help Huawei to establish a brand image, integrate capital, and closely align its service and business models with the local market Specific requirements provide a solid foundation.
Strategic alliances, cooperation and joint ventures
Since 2007, Huawei has cooperated with these international companies in a variety of forms, ranging from simple product sales (NEC sells Huawei data communications through the OEM market in Japan). Cooperation, R & D and sales between Siemens and Huawei had set
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Huawei invests more than 10% of its revenue every year in R & D, This proportion is 15% -17% and about 3 billion yuan annually. Dallas in the United States, Bangalore in India, Stockholm in Sweden, and Moscow in Russia all have Huawei's overseas research institutes. After the overseas technical staff return, they often become the software development or management backbone of the Huawei technology company. In 2001, Huawei R & D system started to implement CMM management (Capability Maturity Model). According to Techrepublic.com, the CMM describes a continuum of characteristics based on how well your company or organization follows common and repeatable processes to get your work done. Organizations that use the CMM for software development describe their level of standardization against CMM benchmarks using a scale of 1 to 5. After eight months of certification in January 2003, Huawei India Institute officially passed CMM Level 5 international certification and became one of the very few companies that achieved CMM Level 5. At present, Huawei invests more than 10,000 R & D teams and 70% of R & D funds for product development based on current customer …show more content…
China's increasingly becoming one of the biggest manufacturing centre in the world, because of this reason, it has given Huawei a greater cost advantage in equipment manufacturing. In addition, China's huge market capacity makes it possible for Huawei, which occupies the majority of the market, to realize economies of scale on a manufacturing scale. Compared with developed countries, a large number of low-cost knowledge-based talents in China make China have strong potential in research and development such as:
Since Huawei was established in 1988, it started to enter the international market only in 1995. Compared with the foreign communications equipment giants, Huawei is still only a new entrant. However, Huawei takes full advantage of the backwardness and adopts a combination of imitation and independent development. With a relatively low investment, Huawei develops products in a short period of time and participates in market competition at a lower