---------------------------------------------
Operations Management
Introduction
The aim of this case study is to analyze the operation strategy of Galanz and asses the potential growth opportunities for Galanz in the future in a global environment. Galanz Gorup based in China was established in 1978 to offer microwave oven, air conditioners and other household appliances (Galanz, 2011).
It is a multinational company operating in more than 100 countries and regions in the world resulting in a well-known brand by being the largest professional microwave producer (Galanz, 2011). As a result they are expanding rapidly with a growth rate more than 100% each year and thus increasing their global market share (Galanz, 2011).
Through the years with the experience of manufacturing household products Galanz Group has also excelled in research of developing and improving the product features of their household appliances (Galanz, 2011).
They have through their achievements been awarded with numerous of honours on national as well on international level (Galanz, 2011).[1]
Q1.
Liang Senior saw a great business opportunity on a trip to Japan in 1991. He saw the potential increasing demand for microwaves in China. By that time microwaves was not affordable for most households in China but sooner or later the microwave will become popular in the modern cities for the Chinese households. Liang Senior exploited the business opportunity and after analyzing the Chinese market he decided to produce and sell microwaves at an affordable price.
Liang Seniors vision of producing and selling microwaves at an affordable price became a reality in few years due to the changing lifestyle in modern cities in China and new ways of cooking and preparation of food.
The low-cost strategy was the order winner for Galanz in the early stage of its development.
Galanz used the low price to enter and compete in the Chinese market