Haier
Haier – Taking a Chinese Company Global in 2011
Haier is a Chinese consumer electronics company with its headquarters in Quingdao, Shandong, China. They were once the largest home appliance maker in China and started their business in the year 1984. In 2010, they were called one of the most innovative firms of the Business Weeks magazine. Their products are air conditioners, mobile phones, washing machines, refrigerators and televisions.
The CEO of Haier, Zhang Ruimin, wanted to create a well-known brand with high-quality products. Therfore, they started a cooperation agreement with the German manufacturer Liebherr. To improve the technology and the design Haier constituted joint ventures with Mitsubishi and Merloni. In 1989, they already had a revenue of RMB 410 million. In order to differentiate from their competitors they built a computerized center for satisfying their customers. It helps to create value and commitment to the brand. Another strategy to rise above the competition was diversification. After Leadership in refrigerators they introduced air conditioners and freezers. For this reason, Haier acquired the company Quingdao. Over a period of 15 years from 1990-2004 there were following 15 more companies. The concept was to select only those companies with good products but bad management. That’s was one way to be successful.
In the early 1990s, Haier started its business outside of China. At first they entered the markets in Germany and the United Kingdom as a contract manufacturer for multinational brands. But after beating Liebherr in a blind quality test for refrigerators, they started their business with the own brand. The aim was to establish brand reputation. Haier started in America in 1994. Because of being a small company, compared to the US companies, they entered the market with niche products, like a compact refrigerator. They just wanted to avoid a competition with the big players in the United States. As recently as Haier
Haier is a Chinese consumer electronics company with its headquarters in Quingdao, Shandong, China. They were once the largest home appliance maker in China and started their business in the year 1984. In 2010, they were called one of the most innovative firms of the Business Weeks magazine. Their products are air conditioners, mobile phones, washing machines, refrigerators and televisions.
The CEO of Haier, Zhang Ruimin, wanted to create a well-known brand with high-quality products. Therfore, they started a cooperation agreement with the German manufacturer Liebherr. To improve the technology and the design Haier constituted joint ventures with Mitsubishi and Merloni. In 1989, they already had a revenue of RMB 410 million. In order to differentiate from their competitors they built a computerized center for satisfying their customers. It helps to create value and commitment to the brand. Another strategy to rise above the competition was diversification. After Leadership in refrigerators they introduced air conditioners and freezers. For this reason, Haier acquired the company Quingdao. Over a period of 15 years from 1990-2004 there were following 15 more companies. The concept was to select only those companies with good products but bad management. That’s was one way to be successful.
In the early 1990s, Haier started its business outside of China. At first they entered the markets in Germany and the United Kingdom as a contract manufacturer for multinational brands. But after beating Liebherr in a blind quality test for refrigerators, they started their business with the own brand. The aim was to establish brand reputation. Haier started in America in 1994. Because of being a small company, compared to the US companies, they entered the market with niche products, like a compact refrigerator. They just wanted to avoid a competition with the big players in the United States. As recently as Haier