Preview

The Low-Price Strategy of Hasee Computer

Good Essays
Open Document
Open Document
1043 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
The Low-Price Strategy of Hasee Computer
Hasee Computer Company was founded in September 2000, and in April 2001 its products come into market formally. In 2006, Hasee captures the second largest market share of computers in the Chinese domestic market. Lenovo has the largest market share. Hasee international sales department started business with Korea Market, and now sells more than 20000 laptops each month in the international market in 2006. In 2006 Hasee won the bid and delivered 15,000 laptop computers to the United Nations.

Unique advantages let Hasee rises rapidly.

It is reasonable that the advantage of innovation results in that of cost. Among the many PC brands, because of Hasee’s unique advantage of transferring from the upstream to downstream, Hasee started by the board, the independent production of motherboard and video card in China accounted for 30% of the market share. Contrary to most domestic manufacturers that depend on imports, Hasee is the only industry manufacturer that has the capabilities of producing both computer motherboard and video card, so the cost of the Hasee computer is about 20% lower than that of the others.

Otherwise, chain operation can lower the cost of sales channels. Hasee uses chain operation to operate its sales channels, and in fact across the country Hasee has nearly 1,000 chain stores. Obviously, this method can greatly reduce the operating cost of channels.

The disadvantages of Hasee will restrict its development.

Hasee doesn’t realize the importance of service. A person who works in a transnational electric company pointed out that Hasee doesn’t emphasize the importance of service. If Hasee does not attach importance to this point, service will become the bottleneck of its operation. And in the beginning the problem of service probably may not emerge. But if the company doesn’t satisfy the customers’ need, the company will be complained about the its products and customers will lose confidence to this brand. So company should have a good

You May Also Find These Documents Helpful

  • Good Essays

    Kelly Services Memo

    • 612 Words
    • 3 Pages

    The Intel Corporation has been outsourcing production since the early 2000’s, with assembly and test facilities in the United States, Malaysia, Costa, Rica, China, and the Philippines. In fact, Intel is to launch the first microprocessor for the mass market that it has developed almost exclusively at its design centre in Bangalore in a milestone for the research and development of computer hardware in India (Leahy, 2008). Of course, Intel’s decision to outsource specific projects depends on many factors, such as production costs and labor. "It 's not just services and software that India is known for but this shows you also can do this kind of complex research and development and product design here in India," said Praveen Vishakantaiah, president of Intel India (Leahy, 2008, p.2).…

    • 612 Words
    • 3 Pages
    Good Essays
  • Better Essays

    Electronics over the past fifteen years have become an everyday essential in today’s market. The use of personal computers skyrocketed from being in higher income households to common place in almost every home. Equalus Inc. is excited to jump into the world of desktop computers and notebooks by providing service to the masses of a “build-your-own” personal system with tech help and customer service all originating within the United States. Based on a series of questions Equalus will be able to build a desktop or notebook to the user’s needs. Consumers will no longer wonder if their purchase will be able to handle what they need it to do and last for as long as they need it to. With the type of business Equalus will be bringing to the consumer the closest competition would the Hewlett-Packard (HP). This analysis of HP is in attempts to foresee any possible issues that may occur for Equalus and provide an accurate description of the market competition.…

    • 1277 Words
    • 6 Pages
    Better Essays
  • Better Essays

    Marketing Simulation

    • 1993 Words
    • 8 Pages

    Over the course of the six quarters, we made varying adjustments to our brands in order to keep up with the ever-changing competitive markets. In Quarter 2, we decided to enter the Mercedes market with The Motherboard computer. Specifically, this brand was designed to be the top of the line product that suited all the most important needs of Mercedes. Some of these needs included a fast and powerful processor, the ability…

    • 1993 Words
    • 8 Pages
    Better Essays
  • Good Essays

    1For electronic products, it has large market in the future. The market is potentially very large with apparent high profit margins at least at the early stages. What is more, there are not many European suppliers who have an electronics capability—in terms of design through to manufacture, so less competitors we have. Orders are won at this time on the technical merits of the product, not on price.…

    • 2591 Words
    • 11 Pages
    Good Essays
  • Satisfactory Essays

    in the contemporary world, an organization possessing the psychology that a competitor loss is the company's gain is essential. Having a comparative and differential advantage over your competitor is always a plus point and such a firm never faces losses , hence , junction needs to build a rationalized policy as far as quality and service of it is concerned ,to have a good reputation in the market the reason being the existence of stiff competition in the service industry.…

    • 413 Words
    • 2 Pages
    Satisfactory Essays
  • Powerful Essays

    How to Lose an Account

    • 1337 Words
    • 6 Pages

    Companies are very interested in ensuring that customers are happy with the performance of a product or the quality of service because it will affect future purchase decisions. In fact, quality may be the most important of the customer satisfaction objectives because the consequences of a bad product or poorly performed service are virtually impossible to overcome. In our case the problem is not exactly with the product but with the service. The service is poor because Tony Lagera, the service…

    • 1337 Words
    • 6 Pages
    Powerful Essays
  • Satisfactory Essays

    Indalex

    • 611 Words
    • 3 Pages

    Indalex concentrates on a competitive priority of service quality, where flexibility and quality are more of a priority than price. This is described in the case study where past and current success of Indalex is attributed to their competitive strategy being strictly based on three words: service, service, service. Indalex set out with the objective of offering a seven-day service, along with offering highly qualified assistance in designing selection for their customers. Valuing service quality, Indalex manages a close working relationship with their customers, such as responding to needs even under short notice, demonstrating how Indalex understands their factories are an integral part of their customers’ factories. I feel that maintaining reputation along with meeting the growing demand of their existing customers is crucial to the service quality strategy of Indalex. In making a decision for the capacity expansion plan, an emphasis on insuring customer satisfaction and retention is of top priority.…

    • 611 Words
    • 3 Pages
    Satisfactory Essays
  • Satisfactory Essays

    The advent of modern software capabilities like online office, online operating system, and online resources might push PC manufacturers…

    • 673 Words
    • 3 Pages
    Satisfactory Essays
  • Powerful Essays

    Cui, X. (2009). In-Depth Analysis of PC Industry in China. International Journal of Business and Management , 150-156.…

    • 10056 Words
    • 41 Pages
    Powerful Essays
  • Powerful Essays

    Revitalizing dell

    • 2067 Words
    • 9 Pages

    First, as globalization continues to develop, it is bringing both opportunities and threats to companies worldwide. The PC market is experiencing constant renewal and replacement and this results in the reducing of differentiation and the increase in price wars among competitors. In the early 1990, Dell was positioned as “focused differentiation” in the PC market and attracted a lot of customers by using their superior customer service. However, Dell’s competitive differentiation from its competitors, which is based on its “customized product”, is not its core competence anymore in 2007 since Dell’s remarkable direct model has been imitated by other companies.…

    • 2067 Words
    • 9 Pages
    Powerful Essays
  • Satisfactory Essays

    Global Expansion

    • 679 Words
    • 3 Pages

    Service companies try to focus on the service quality, developing strategies such as hiring staff in the countries it operates which makes clients develop a stronger relationship with that company. Manufacturing compaines…

    • 679 Words
    • 3 Pages
    Satisfactory Essays
  • Satisfactory Essays

    Environmental Scan - Hp

    • 7706 Words
    • 31 Pages

    The completion in the computer-industry is not only about technology, but also the extra services that companies are providing to their customers. The biggest threat that Hewlett-Packard is facing when it comes to the five forces is the power of suppliers. Suppliers have an influence on the prices of Hewlett-Packard its products, and this will result in a higher price for Hewlett-Packard’s consumers.…

    • 7706 Words
    • 31 Pages
    Satisfactory Essays
  • Good Essays

    Intel co-founder Gordon E. Moore predicted that the performance and capacity of an integrated circuit would double approximately every two years. Technology in PC industry became cheaper and affordable over time. Company’s Growth was driven by low price but revenue growth didn’t match with volume growth. This led to decrease in R&D spending. Hence almost all PC suppliers used cost differentiations as their strategy and sell to volume. The consumers are also very cost conscious and need value for money. It can be seen as market dynamics that is problematic for Apple. But on the other hand it can be seen as favorable to Apple in a way that…

    • 731 Words
    • 3 Pages
    Good Essays
  • Better Essays

    is a company that settles for the best solution for its customers. This is achieved through carrying out intensive market research on the tastes and preferences of customers. The company has identified its niche in the market which comprises of the high end consumers. It is not surprising why the company is the second electric car best seller in the world.…

    • 1173 Words
    • 5 Pages
    Better Essays
  • Good Essays

    project work on shampoo

    • 1082 Words
    • 5 Pages

    From this market survey, it can be concluded that nowadays consumers have become really conscious about the products they purchase.…

    • 1082 Words
    • 5 Pages
    Good Essays