This strategy showed great success in the smartphone market, at least until 2015, when Xiaomi weakened a bit. Xiaomi's business model consists of offering as good devices as possible at low prices to undercut the competition, therefore low or even no profit from hardware purchases is accepted. Let's focus on the Xiaomi device: Xiaomi is a very successful manufacturer in the smartphone market which is, however, regionally concentrated in China. These market fields can probably offer the best growth opportunities. Huawei chose the 2-in-1 branch and Xiaomi chose the sector for slim Ultrabooks. However, one must say that Xiaomi and Huawei chose specific branches of the PC market for their entries. Also, this new participant can get the market moving by increasing the competition. Market entries by Huawei (with the MateBook) and Xiaomi are greatly appreciated even though they are acting contrary to the trend. After all, the PC market is shrinking overall, meaning that low sales are concentrated over fewer and fewer manufacturers - even now an acquisition of Fujitsu's PC operation by market leader Lenovo is under discussion. The fact that a new player appears on the laptop market does have scarcity value. For the original German review, see here.
0 kommentar(er)
