Strength
* Solid design and innovation: HTC is one of the leading ODMs (Original Design Manufacturer) for many top-tier operator-branded devices. It owns and designs the in-house products that are branded by other operators. The solid background may step up the producing process. * R&D investment: HTC has spent 15%-20% of sales on R&D. It recently opened the new R&D offices in North Carolina and Taipei to extend products’ features and functions. This may enforce their core competence from other competitors. * Variety product line: HTC believes that smartphones shouldn’t be made for all. HTC provides variety of products every year, and this may satisfy different consumer groups. * Running Android and Windows operating system: Android phone occupied 40% market share worldwide, and is expected to take a half market share in 2012 – This is a benefit for HTC. Although Windows OS takes only 2% in 2011, however, Gartner’s analysis expected that it would grow to 11% in 2012. Investing in both OSs may help HTC to enlarge the sales volume and provide the flexibility to develop products to approach consumers’ preferences.
Weakness
* Shortage of patents’ ownership: Patent is a protection for creativity and innovation. It is also a weapon to attack the competitors. HTC is recently accused of infringing upon the patent of Apple, and lost the lawsuit. This may harm its reputation among the U.S users. * OS depends on Google and Microsoft: Cooperating with Google (Android) and Microsoft (Windows OS): HTC successfully draws attention and sales worldwide. However, as Google acquired Motorola mobility, this may increase variation to HTC and the market. * Brand awareness is weak: Due to the ODM and new-entry background, many customers don’t know that the mobile devices they have are made by HTC. This may extend the time it needs to acquire consumers and keep their loyalties.
Opportunity:
* The strong demand of