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Logistics Management in China: A Case Study of Haier

Jason C.H. Chen
School of Business Administration
Gonzaga University
Spokane, WA 99258, USA
[phone]; [e-mail]

Binshan Lin*
College of Business Administration
Louisiana State University in Shreveport
Shreveport, LA 71115. USA
[phone]; [e-mail]

Lingli Li
School of Business Administration
Gonzaga University
Spokane, WA 99258, USA [e-mail] Patty S. Chen
School of Business Administration
Washington University in St. Louis
St. Louis, MO, USA
[e-mail]

Forthcoming in Human Systems Management

*corresponding author

Logistics Management in China: A Case Study of Haier

Abstract

Chinese businesses began with a weak foundation in the intense world trade environment, similar to the many other companies that grew from developing countries. How were these Chinese businesses able to compete with foreign competitors armed with strong capital structures and efficient communication networks? Haier is an excellent example of how Chinese companies have successfully adapted to and prospered in the global economy, using information technology as a strategic weapon to improve its competitive advantage and further to create collaborative advantage. Haier’s growth is miraculous: in less than two decades, it grew from a state-owned refrigerator factory into an innovative international giant. The company has become China’s first global brand and the fifth largest appliance seller in the world. What are the secrets of Haier’s success? Many researchers have conducted extensive studies on Haier’s management and found the key is Management Information Systems such as e-Commerce and logistics systems that improve business operations between its suppliers, customers, and business partners. This article recounts the journey of Haier's achievements to excellence through its MIS, and provides analyses of the company's