China Inc., is growing more and more powerful in every aspect of geoeconomics: trade, finance, investment, national defence and offensive posture. Why her business strategy has succeeded to this extent in the last 50 years overshadowing America & EU put together is a big question in the minds of western analysts. Answer is simple: it is none other than Wei Chi.
Underlying principle of the traditional board game of Wei Chi is totally different from Chess which is most familiar to western business strategists, in that while Chess goes after killing & capture Wei Chi desires control as the end game goal. Further elaboration of this must connect the dots between space, surrounding and domination so that the opponent either abdicates or comes for a peaceful settlement.
Interestingly, the game can be played in both domestic and foreign markets with equal felicity. In domestic market, break-even price sets the tone where most modern features are incorporated in a typical consumer product that is in high demand and user friendly to the local population distinguishing of course the urbanites and the larger majority living in faraway from the hustle bustle of the townships. Household appliances is one item that fits the bill perfectly in this category.
When it comes to international market place, the control theme is configured to take into count the nuances of the buyer predilection and behaviour so that parity becomes vital criteria over and above superiority. Most products whether high tech or low tech are marginally priced lower than the current ones competing in the market. The features are almost equal or higher resulting in quality products being sold with competitive price structure.
Underpinning aspect, therefore, is not to battle for control at the centre as Chess demands but to advance on the sides and corners. The ultimate goal is to obtain initially market presence and progressively get more space, more leverage and in nutshell more market share. Importantly, every kind of electrical and electronic products churned out from Chinese factories broadcast this simple theme of craving for the market presence. Once the products have entered into the psyche of consumer recognition as quality ones, manufacturer/exporter then aims for something higher.
The magic wand of connectivity enters into the fray. Raising the goal post still higher, connectivity opens expansionary area of selling associated products of the same company. Huawei did this excellently well, after gaining market acceptance for mobile handsets in a big swig, it moved upscale in contracting for high tag items like selling mobile software and installing Telco Infra structure that results in facilitating further demand for the mobile sets indirectly.
Incidentally, 5G architecture contributes to greater efficiency in the performance of mobiles that use Huawei patented software and beamed thru Huawei built Telco infra-structure!
Cheers!
Muthu
Ashraff Rajulu
Business Strategist
Mobile: + 94 777 265677
E-mail: cosmicgems@gmail.com
Blog: Business Strategist
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