Huawei: A Case of Marketing Management: Realizing the Competitive Advantage of "Second Substitution"
With the saturation of the communication equipment market, Huawei put forward the strategy of "cloud management" and entered a broader "cloud" world. The three-dimensional structure of "cloud" covers almost all fields of the future Internet, and the space is huge, which puts Huawei in a different competitive field. Competitors ("friends") are no longer just "old partners" such as Ericsson, Nokia Siemens, Cisco and Nortel, but IT giants such as Google, Amazon, IBM and Apple.
According to Ren, Huawei can be the "iron sheet" of "management", that is, the communication and network parts of "cloud" system; Recently, Huawei announced the development of "ultra-wideband" products, which is a sign of its efforts in "management". At the "end" level, with the help of "Hisilicon" chip, Huawei mobile phone has more advantages in the value chain, more room for strategic maneuver, and is also conducive to the innovation of customer experience. At present, it has entered the first camp of global mobile phones, and will launch a magnificent "Three Kingdoms Kill" with Apple and Samsung in the future. "Glory" mobile phone operates independently, opening the way for young consumers and expanding the future consumer electronics market.
Huawei is an enterprise with "ambition" (strategic ambition), and it is likely to become a dazzling star in the future on the broad stage of "cloud". In addition, Huawei is opening up a new battlefield and starting to enter the new energy field related to the Internet.
The "First Substitution" in the Domestic Market
In the late 1980s and early 1990s, Huawei and other "Greater China" enterprises (Julong Communication, Datang Telecom, ZTE and Huawei Technologies) all started from the domestic market. At that time, there was a big gap between domestic communication equipment and foreign countries. Take digital program-controlled switches as an example. At that time, there were no domestic products in the domestic market, but all of them were imported (the products in the United States, Europe, Japan and other countries quoted very high prices).
Shortly after its establishment, Huawei was not satisfied with the agency and imitation of low-end products, concentrated its efforts and even made a desperate attack on digital program-controlled switches, and made a breakthrough in the mid-1990 s, which not only won market space, but also forced foreign imported products to cut prices sharply. In addition to digital program-controlled switches, Huawei's network communication products (such as routers) are basically based on the path of "imitation-innovation-substitution" to gain advantages in the domestic market.
The substitution of foreign products in the domestic market is called "one-time substitution". This kind of "substitution" is of great significance to the economic development of late-developing countries, and it is the only way for late-developing economies to realize industrialization and catch up with developed economies. If all major industries realize this substitution, the national industrial system will basically take shape. Looking at China's industrial fields, the substitution of communication equipment is the most successful, on the one hand, because of the role of government policies (giving certain protection to national industries), and on the other hand, because of the fruitful efforts of a group of enterprises with high degree of marketization represented by Huawei.
In contrast, the import substitution of civilian cars is the least successful. The main reason is the non-market-oriented way of opening the market to foreign capital and protecting the original state-owned automobile manufacturing enterprises (opening the market to foreign-funded enterprises but not really getting technology; Through the compulsory joint venture between foreign-funded automobile enterprises and state-owned automobile enterprises, the latter's "control dividend" is guaranteed, but the technical ability and management ability have not developed. A certain degree of monopoly has pushed up the price of products and affected the interests of consumers. And private automobile enterprises have been in a state of "marginal survival").
It can be seen that without real market competition, there can be no industrial development and growth. Currently in the fields of equipment, materials, electronic components and so on. Import substitution continues to occur in the domestic market.
"Second Substitution" in the International Market
When Huawei has a certain position and advantages in the domestic market and human resources have accumulated to a certain extent, it will shift its strategic focus to the international market in time and stage the story of "substitution" again abroad. Only this time it penetrated into the market territory of foreign industrial giants. If the "primary substitution" of the local market depends on the factors and conditions related to geography, then the "secondary substitution" really bears witness to the competitiveness of enterprises.
It is particularly noteworthy that when the "secondary substitution" was transferred from underdeveloped markets to developed markets (Europe), the connotation of "substitution" changed: some high-end markets dominated by foreign brands for a long time began to loosen. This is related to the global financial crisis and economic recession, because foreign established operators are also reducing investment and looking for cheap and high-quality emerging equipment and system suppliers. In this sense, the recession cycle may have certain positive significance for challengers like Huawei.
Friends will definitely ask: How does Huawei achieve "two substitutions" in domestic and foreign markets? What is the reason behind the "substitution"? I think there are three main reasons and competitive advantages: the advantage of product price, the advantage of customer-oriented technological innovation and the advantage of customer relationship management.
The irresistible advantage of product price.
As a late-comer challenger, Huawei is generally a technology learner and digester (not excluding some aspects of technology leadership), and its advantage mainly lies in the ratio of "customer utility" and "customer cost" (product price plus transaction cost, the former is the main one). To put it bluntly, the price is more competitive when the product performance meets the basic requirements of customers and is close to, equivalent to or even partially surpassed by foreign competitors. Compared with international mainstream brands, Huawei's approach basically belongs to "destructive innovation".
The main cost of communication and network products lies in development, and the main part is the labor remuneration of knowledge workers (according to economics, these products condense a lot of intellectual labor). Behind the cost-effective advantage of Huawei products is the cost-effective advantage of knowledge-based talents. In the 1980s and 1990s, when most people's understanding of China's demographic dividend and labor resources advantages was still limited to low-end labor (a large number of processing labor-intensive enterprises emerged in the Pearl River Delta and Yangtze River Delta), Ren keenly found that in the global human resources market, the advantages of high-end labor in China were equally huge.
The first is adequate supply. Although China's higher education system has been widely criticized, engineering education has been relatively complete and of high quality since the adjustment of university departments in 1950s. China has almost the largest group of engineers in the world (lacking leading talents in high-end innovation). From the end of the 20th century to the beginning of the 20th century, the ability of state-owned enterprises and scientific research institutions to absorb engineering and technical personnel declined, and a large number of private enterprises did not attach importance to technical personnel. Huawei, which is at the forefront of reform and opening up, is attractive in terms of geography, treatment and organizational atmosphere (Huawei is based on "strivers" and many traditional state-owned enterprises are based on "interpersonal relationships"), and has absorbed a large number of graduates and young people majoring in engineering and technology. In this regard, Huawei has more vision and foresight than many "grassroots" private enterprises (putting forward "priority growth of human capital" in strategic thinking), and is more courageous in action, and even has the saying of "predatory" talent introduction. Today, people are still telling the story of how Huawei "monopolized" graduates from several universities of posts and telecommunications in its early days.
Secondly, the "price" is low. At the end of the 20th century, the average salary of engineers in China was roughly equivalent to one fiftieth (even as high as one percent) of that of similar personnel in mature human resources markets in the United States, Japan and Europe. While the monthly salary of engineers in China was only 65,438 yuan+0,000 yuan, it has reached tens of thousands in Europe and America (converted into RMB). Such a human resource market provides Huawei with good conditions for acquiring high-quality talents, enabling Huawei to quickly accumulate and increase human capital through interest leverage and career vision.
Because Huada has basically not enrolled students for ten years, Huawei lacks experienced R&D personnel and cannot form a stepped technical team. We can only reuse "student soldiers" and push a group of childlike children in Ren's eyes to the front line of technological development. God helps Huawei, and a group of "talented teenagers" have created impressive achievements. This practice of moving and compressing the career life cycle of talents magnifies the cost advantage of human resources (Huawei uses younger people for the same position, and the labor cost is usually lower than that of older people).
In recent years, great changes have taken place in China's engineering and technical talent market. The first is the reduction of qualified supply. The expansion of university enrollment leads to the dilution of educational resources, which is not conducive to the improvement of educational quality; The proportion of outstanding students who are willing to engage in engineering and technical work has decreased; Even if enrollment expansion is not considered, the quality of university education in recent years is worrying (impetuous atmosphere and its influence on educational ethics); A new wave of studying abroad has taken shape ... followed by rising wages. Due to scarcity, high housing prices and inflation, the salaries of engineers and technicians in China's human resources market have been rising all the way, and the gap with developed countries such as the United States, Europe and Japan has been reduced to three to five times in some developed areas of China ("North, Guangzhou and Shenzhen"). If this trend continues, the comparative advantage of China's economy will shrink or even disappear.
Customer-oriented technological innovation
China enterprises, represented by Huawei, had a weak technical foundation at the beginning of their business. Only according to the customer's needs can we innovate on the application technology level, improve the local functions of products, and "man-machine" interface or reduce the operation and use cost of products. The key to this practice is to have a deep and accurate insight into the neglected and indifferent wishes of customers and make targeted responses in technology and products. When the overall technology is backward, we can understand customers a little better, so as to learn from the continuous progress of technology. This is the key to the growth of catch-up enterprises.
The following are some technological innovations that have been recognized as milestones since Huawei was founded:
The first time was to develop CC08 switch in the early 1990s, replacing copper cable widely used in Europe and America with optical fiber, which solved the problems of construction, operation and maintenance of long-distance communication network in China rural market.
The second time was in 265438+ in the early 20th century. Huawei has developed a "distributed wireless base station solution", which has solved the problems of difficult site selection and high operation and maintenance costs of European customers, and greatly increased the spatial scope of site and equipment location (street pillars, roofs, corridors, basements, stairwells, etc.). ), and greatly reduced the construction cost and operation and maintenance cost.
Thirdly, in recent years, according to the special national conditions (2G, 3G, 4G…… .....................................................................................................................................................
At present, Huawei has become a global leader in some technical fields, and is moving from "fast follower" to "ICT leader and customer inquiry object". In the past 20 years, Huawei has obtained nearly 40,000 patents. According to a friend of mine who works in the relevant state departments, Huawei's independent innovation achievements account for 2/3 of all the achievements of all enterprises in China.
Why can Huawei surpass a large number of domestic enterprises and truly realize technology-driven? What is the reason for Huawei's continuous technological progress? In addition to the above advantages of human resources, the main factors are ideas, policy orientation and mechanism design. In short, it is caused by strategic behavior that pays attention to long-term growth and competitive factors.
First, from a guiding point of view, Huawei emphasizes all new technology development and application, and should pay attention to "delivering value" (that is, the functions and benefits obtained by end customers).
In other words, technology is not technology for technology's sake. Leading enterprises in the industry, especially those with technological advantages, often fall into the innovation trap, that is, innovate beyond customer needs. This is the reason why clayton christensen analyzed "the failure of big enterprises" in "The Innovator's Dilemma", and it is also the case that Ren Zheng Fei is here to take strict precautions. In Huawei's view, as long as we adhere to customer-oriented technological innovation and flexible organizational forms and mechanisms, we can avoid the "innovator's dilemma."
Second, Huawei's resource allocation continues to tilt and "pressure" on R&D (R&D expenses in 20 16 years are expected to exceed10% of sales); Even in the initial stage of our business, under the difficult conditions and lack of funds, we insisted on investing in "technology".
Huawei believes in "deep scouring beach and low weir" in its growth strategy. The former sentence means that even in difficult times or when the industry is depressed, enterprises should practice their internal strength and forge their core technical capabilities. Although many domestic enterprises talk about technology orientation, when they need real money, they are vague and retreat, revealing the true face of "small production".
Third, according to the global distribution of customer resources and R&D talent endowment, R&D institutions are established around the world.
For example, if Russians are good at mathematics, then focus on algorithm software; French people feel romantic and artistic, so they mainly study design aesthetics. ...
Fourth, R&D activities and institutions are stratified, and basic research is separated from applied technology and product technology, focusing on long-term strategy and future advantages, and allocating resources for basic research.
As we all know, Huawei has a research institute named "20 12", which comes from the name of a disastrous movie. It is not only to enhance the crisis consciousness of enterprise development, but also to explore the technical path to solve the problem from the perspective of the future survival and destruction of human society.
Case Analysis of Marketing Management II Man Ting: Launching the War of Overlimit of Holiday Villa Sales.
In the second half of 20 15, a sales model of "selling houses with 50 shares" was born, which was different from traditional real estate marketing and immediately attracted close attention from both inside and outside the industry. At the same time, with the theme of "buying a house in partnership and taking vacations by turns" and the purpose of purchasing, booking, exchanging and serving holiday villas and apartments, the WeChat distribution platform for holiday houses in Manting.com and Man Ting has also been launched. Whether it is a business model or a sales model, Man Ting is at the forefront of the market.
Is there any room for survival in this new model? In this regard, Man Ting director Huang Yan said. Com believes that the holiday villa buyers are entering the U-shaped era, which is also the reason for the birth of the Man Ting model.
Villa sales are in a U-shaped dilemma.
We know that in recent years, real estate sales have entered a slow stage, especially holiday villas, which have touched the ceiling because of their high total price and low utilization rate.
At present, the user groups of holiday villas are entering the U-shaped era. To put it simply, its buyers have highlighted two problems: First, the product is misplaced. Buyers who live mainly have limited time to go on holiday every year, and as a result, most of the villas they buy are idle, which makes buyers feel pain. The second is the dislocation of the customer base. As an investment group, investing in villas takes up a lot of money, and it is difficult to recover the cost in a short time, which leads to the low enthusiasm of investors. In addition, the high threshold for investing in holiday villas has also blocked many small investors. In fact, these two prominent U-shaped trends have enabled Man Ting to find a new business model and solve these problems.
Man Ting's original new model of "selling 50 shares in a house" has been appraised by some authoritative organizations as "subversive revolutionary significance for China's tourism and holiday real estate and tourism". Simply put, a partnership corresponds to a holiday property (or purchases a holiday property), and the annual use time of the holiday property is divided into four weeks (Golden Week, Peak Week, Average Season Week and Off-season Week), with ***50 holiday weeks. According to the different values around, the price of each holiday week is designed and the corresponding partnership share ratio is divided for sale.
There are two characteristics here: first, it has the characteristics of collective initiative, and it is divided into 50 sales from the source of sales, which fundamentally solves the problem of * * * enjoying free time. Second, it has the characteristics of personal exchange, and Man Ting provides an exchangeable and replaceable share exchange platform. On the platform, everyone is not only the owner, but also the sharer and the beneficiary of resource exchange.
The Four Fulcrums of Man Ting Model
It is not enough to have a good business model, but also to have a strong guarantee. To this end, Manting.com has made a layout from four aspects: law, profit, sales and service, and gradually improved and consolidated it, thus forming a strong fulcrum of the Man Ting model.
legal ground
Man Ting's sales model is based on "People's Republic of China (PRC) Partnership Enterprise Law", in the form of "limited partnership enterprise" to complete the purchase of houses and the registration of property rights, and divide each holiday property into 50 property shares, so as to realize the partnership shareholding of members. The general partners (GP) of "Limited Partnership" are all held by Man Ting Asset Management Co., Ltd., which belongs to Man Ting, and they exercise management responsibilities for holiday properties according to law and bear unlimited joint and several liabilities.
Man Ting is an innovative practice of timesharing mode represented by RCI abroad in China, and draws on many advantages of timesharing mode, finally solving the core crux of timesharing promotion in China: property rights and services. In order to ensure the safety of customers' property, Man Ting also entrusts the real estate license held by the partnership to a third-party authority for supervision, so as to protect the property rights and interests of all partners.
Profit guarantee
Investment and profit are the most important considerations. From the investment point of view, because Man Ting will divide a villa into 50 shares, its price will inevitably decrease, which will lower the investment threshold. At the same time, the annual return on investment is not high because of the previous property-based hotel villas making money in the peak season and losing money in the off-season. However, the one-year holiday is divided into off-season by weekend holiday rooms, and buyers with investment needs can invest in the Golden Week and peak season with high investment returns and low risks, and entrust the management to share higher investment returns. Man Ting has a special team responsible for the service and operation of holiday villas, which can make investors feel more at ease. From the perspective of holiday residence, it is equivalent to 1/3 of a five-star hotel? Enjoy a higher quality holiday service at the price of110.
In the future, Man Ting will also integrate global tourism and holiday resources: investors can choose global investment, and tourists and vacationers can also take turns to spend their holidays or replace villa resources on the global platform.
Sales cloud
With the continuous progress of mobile Internet technology, especially the rapid development of WeChat, more and more enterprises begin to implement circle marketing and micro-distribution with the help of WeChat platform. After Man Ting did not lag behind, it specially opened a "micro mall" and developed a WeChat distribution platform. Huang Yan said: "Man Ting is the first marketing platform to divide a house into 50 sales, the first platform to divide holiday houses into golden week, peak season week, flat season week and off-season week, and the first national broker distribution platform with a commission as high as 12%."
selling point
Man Ting has established a "home+"holiday service system, which can realize a variety of service functions: weekend holiday room reservation, exchange, transfer and other Man Ting network platform services; Daily management services of holiday homes provided by hotel management companies; "housekeeper-maid-maid" style home+exclusive holiday service during holiday travel; The weekend vacation home entrusts short rent service or weekend vacation home investment management service. In addition, it also includes holiday itinerary planning, holiday housekeeper planning, private family banquet customization, airport pick-up and drop-off arrangements, and housekeeping services.
Yan Huang also pointed out that "in order to realize the service guarantee of holiday safety, Man Ting also provides one-stop and seamless 24-hour holiday safety service guarantee for Ruibao Health Industry (Holdings) Group, the largest life rescue platform in the United Nations, with resources covering the whole country 1230 second-class first-class and above network hospitals."
A set of marketing combination boxing of "innovative mode+platform+management+service" has started the over-limit war of holiday villa marketing in China, and every step taken by Man Ting has attracted much attention and expectation.
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