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Motorola in China

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Motorola in China
Executive Summary

In a prominent level of integration worldwide economy today, people are more concerned about the phenomenon of intermediary corporations and multinational companies renounce the traditional research and development form in the host country where they have set up research and development centers.
In this report I will discuss about Motorola’s reasons to enter China and commit itself as a local company. Moreover, I will talk about the localization strategies in china and its market position. Apart from that I will illustrate the PEST and SWOT analysis of Motorola’s localization strategy in China.
Furthermore, I will discuss the characteristics of Motorola as the big emerging market in China.

Table of content
Contents
Executive Summary 2 Table of content 3 Abbreviations 4 Introduction 5 Main body 6 Reasons for Motorola to enter China 6 Strategies adopted by Motorola to enter China. 8 Operation strategy of Motorola 9 Framework analysis of Motorola operations in China 10 India and China Global Trends 12 Conclusion 13 References 13

Abbreviations

PEST – Political, Economical, Socio-cultural, Technological
SWOT- Strengths, Weaknesses, Opportunities, Threats
SEZ - Special Economic Zone
CAMP - China Accelerated Management Program
R&D - Research and Development
IDEN – Integrated Digital Enhanced Network
SARS – Severe Acute Respiratory Syndrome
MNC – Multi National Companies
ITO - International Trade Organization
BPO – Business Process Outsourcing
BRIC – Brazil, Russia, India, China
GDP – Gross Domestic Product
USD – United States Dollar
SMIC – Semiconductor Manufacturing Internal Corp

Introduction

In 1987 Motorola established a delegate office in Beijing. It was dealing with exportation of telecommunications gear and semiconductor to China. Due to the increase of competitions from other companies, Motorola decided to move some of its industrialized activities to China. In 1992, Motorola China



References: Pearson (2004) Motorola in China. Available at: http://www.pearsoned-asia.com/comp/chow/instructors/preview/BS-Ch33.pdf (Accessed: 18 March 2012) Needle, D (2010) An Introduction to Business and its Environment. Myilibrary [Online]. Available at: http://0-lib.myilibrary.com.brum.beds.ac.uk/SearchResults.aspx (Accessed: 10 March 2012) Ghauri, P and Cateora, P (2006) ‘International Marketing’, Motorola in China. International Business Environment [Online]. Available at: https://breo.beds.ac.uk (Accessed: 22 March 2012) PubMed (1987) ‘The population on the mainland of China totals 1.07244 billion. Available at:http://www.ncbi.nlm.nih.gov/pubmed/12315472 (Accessed:22 April 2012). Emerald Strategic Direction (2002) ‘The reasons behind Motorola’s success in China’, what makes Chinese joint ventures a success,’ 19 (2) [Online]. Available at: http://www.emeraldinsight.com/journals.htm?issn=0258-0543&volume=19&issue=2&articleid=869312&show=html (Accessed 12 April 2012). Wen-Cheng, C., Ying-Chang, C. Kuo, C. and Ying-Chien, C. (2010) ‘A Case Study on the Motorola China’s Localization Strategy’, [Online]. The Journal of International Management Studies, 5 (1) [Online]. Available at: http://www.jimsjournal.org/7%20Wang%20,Wen-Cheng.pdf (Accessed: 10 April 2012). Hamilton, L. and Webster, P.(2009) The International Business Environment. Oxford: oxford university press. Mack, L (2012) Chinese Culture. Available at : http://chineseculture.about.com/od/businesseconomy/a/Chinas-Special-Economic-Zones-Sez.htm ( Accessed: 30 April 2012)

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