HTC is an engineering and manufacturing company, initially operating as an original device manufacturer for the PDA and smartphone markets. HTC made the decision to evolve into a branded company and experienced considerable growth. Scaling up to meet rising global demands has presented significant challenges for HTC. The leadership team is faced with aligning the firm’s global functions along with evaluating & executing a plan of attack in an intensely competitive technology-driven business climate. Evaluation
Transforming from ODM to a branded firm: CEO Peter Chou recognized the imminent threats of new entrants to the ODM space and led HTC’s evolution to a branded firm. The change was deemed necessary for the company’s long term prospects. In establishing the HTC brand, the company required a major shift from a localized to a broader, globalized mindset. HTC’s customer-focused strategy Building a Global Organization: HTC’s decision to brand necessitated the building of internationally dispersed teams to support a global organization. The company also identified the need to implement changes to the existing culture. The scope of these changes included switching to a brand mentality, the recruitment of global talent, changes in communication protocols, and new processes to support global marketing campaigns. HTC struggled with these changes as silos developed. Evolving with the trends in wireless technologies: Chou had correctly gauged the direction of the industry, moving away from a lucrative PDA business to focus on wireless technologies. The introduction of Apple’s iPhone proved to be a groundbreaking milestone in the industry. HTC’s wireless product portfolio has them well-positioned in the emerging space. In addition, the company’s branding efforts were enhanced by piggybacking off the iPhone’s success. The opportunity has now presented itself for HTC to partner with the non-AT&T wireless carriers. Recommendations
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