Management Consultant Situation Presentation.
Hello. For the last two weeks we are doing our Management consultant situation on Chinese technology companies. The situation that a company is having good sales in China, but they would want to advance to the US market, what should we, as a consultation team, to come up with ideas to help them land themselves into the US.
If you want to achieve good sales, there's one undeniable fact about it- we must appeal to the US customers so that we can do well in the US.
However, how can our products appeal to the US customers? There comes the relation with the US cultures. How can we make changes to our company management to suit the US market? That is one good question. Well, we cannot deny that fact that in the US, there is some sort of inherent stereotypes against Chinese products or services. On the streets of America, Chinese products are not as common as the local brands like the US. So what should we do to revert the situation?
I find the experience of being in a management consultant situation a very enriching one. Maybe I'm inexperienced in this field. But I think that in order to achieve good sales in the United States, we must get rid of the cultural implications of the products that we want to sell in the US.
Let us take an example of Lenovo, which is a pretty successful computer technology brand around the world. When Lenovo was making its way into the overseas market, the management board was changed, with the introduction of foreign personnel to manage the company, also the official language of Lenovo was changed into English instead of Chinese. For one simple reason, people from other countries are not that willing to accept Chinese culture into a piece of technology that they will use everyday.
So that the management consultant situation that Mingchuan(23), Sherwin(21), Yikun(24) and I are doing is Meizu. Why do we choose Meizu? Well, it is a hardware company. Like Lenovo, in order to success in the United States, we must eradicate the cultural implications, to make it acceptable into the United States market. As a hardware company, it will be most easy to remove the cultural implications. We can just delete the preinstalled apps in Meizu like Sina Weibo( China's Tweeter) and Wechat(China's whatsapp) and problem solved. With the addition of apps like Facebook and instagram installed, Meizu phones can make its way into the US market.
However, we want to make the products successful. To achieve good sales in the US, we must work with local telcos such as Verizon and AT&T. Because Meizu has a weak support base outside Mainland China, it is necessary to work with these telcos so that we can better integrate into the United States Market.Also, changes to the management board of the company need to be made. Americans must be employed, as to create new ideas for Meizu, the ideas that suits the needs or popular among the US people. American values is also required to be introduced into Meizu's US base. One example is to introduce the 20% rule to the Meizu work space in order to spark creativity. Also, Meizu also needs to update their devices frequently in order to keep up with the pace of evolution of technology in the US.
Also, we agree that Meizu should target a wide range of people, not just by the low price of its gadgets, but rather how can we re imagine the mobile operating system. I believe that phone makers like Samsung will not achieve long term success, simply because its phone run the Android operating system. I can't be sure of it, but I think that, in order to make way into the US market, we must have something special to impress them. Chinese software makers are very keen onto designs nowadays,
for example, the Xiaomi brand has launched its "moving desktop" which allowed anyone to create a theme for their phones to be customized, in any design, any types of animations they want. Also, I hope that Meizu can announce a tablet that emphasizes on drawings, for professional artists to use. Currently what we have is normal tablets with a beginner's application to drawing. But I hope to change that by introducing a tablet with multiple gestures and powerful applications installed, like the Adobe Illustrator. But the impression that illustrator gives us is that, it is too complicated and hard to use. Meizu can cooperate with Adobe to introduce a tablet-friendly version of Illustrator, which can help the artists to practice their art with ease. I hope something like that will attract the attention of general American consumers.
OTHER GROUPS
When talking about other groups, they like to mention that they would want to retain the Chinese culture present in their technology companies when they go overseas. For example, the group doing Youku and Toudou(China's YouTube) stated that when Youku starts its business in the US, they must let the users in the US to upload their videos to Youku. So I want to ask them this question, what makes Youku different from Youtube? And why will the Americans favour Youku over youtube? Youtube has been a major part of their culture and always will be, but for youku, I'm pretty sure that many Internet users in the US didn't know about Youku at all? Right now, Youku has all the shows, TV dramas related to China, and those movies, including those Americans movies, can be streamed for free on Youku. In America, this is a complete infringement to copyright. It is due to the difference in culture, that I think Youku will not be widely accepted in United States, same for the Baidu search engine(China's Google).
Also, the group working on Lining(A sportswear brand) mentioned that they should follow the success story of the US brand Nike, to achieve its success in the US. I would like to ask them what can they do when Nike has dominated the world with its sportswear. Times have changed, Li Ning should not follow the success story of Nike, instead Li Ning should start its own path in the US market. Because Nike is a US brand itself, it is not applicable to the Li Ning context where Li Ning is actually based in China. While Li Ning is selling great in China, Li Ning should expand its market to nearby countries first, to achieve its globalized structure, maybe Lining can start a production line in Vietnam, assemble in China, then sale them in the US. It is a great way to reduce cost prices so that Lining can make its sportsware at low prices, which then can be more popular in the US.
Let us take an example of Lenovo, which is a pretty successful computer technology brand around the world. When Lenovo was making its way into the overseas market, the management board was changed, with the introduction of foreign personnel to manage the company, also the official language of Lenovo was changed into English instead of Chinese. For one simple reason, people from other countries are not that willing to accept Chinese culture into a piece of technology that they will use everyday.
So that the management consultant situation that Mingchuan(23), Sherwin(21), Yikun(24) and I are doing is Meizu. Why do we choose Meizu? Well, it is a hardware company. Like Lenovo, in order to success in the United States, we must eradicate the cultural implications, to make it acceptable into the United States market. As a hardware company, it will be most easy to remove the cultural implications. We can just delete the preinstalled apps in Meizu like Sina Weibo( China's Tweeter) and Wechat(China's whatsapp) and problem solved. With the addition of apps like Facebook and instagram installed, Meizu phones can make its way into the US market.
However, we want to make the products successful. To achieve good sales in the US, we must work with local telcos such as Verizon and AT&T. Because Meizu has a weak support base outside Mainland China, it is necessary to work with these telcos so that we can better integrate into the United States Market.Also, changes to the management board of the company need to be made. Americans must be employed, as to create new ideas for Meizu, the ideas that suits the needs or popular among the US people. American values is also required to be introduced into Meizu's US base. One example is to introduce the 20% rule to the Meizu work space in order to spark creativity. Also, Meizu also needs to update their devices frequently in order to keep up with the pace of evolution of technology in the US.
Also, we agree that Meizu should target a wide range of people, not just by the low price of its gadgets, but rather how can we re imagine the mobile operating system. I believe that phone makers like Samsung will not achieve long term success, simply because its phone run the Android operating system. I can't be sure of it, but I think that, in order to make way into the US market, we must have something special to impress them. Chinese software makers are very keen onto designs nowadays,
for example, the Xiaomi brand has launched its "moving desktop" which allowed anyone to create a theme for their phones to be customized, in any design, any types of animations they want. Also, I hope that Meizu can announce a tablet that emphasizes on drawings, for professional artists to use. Currently what we have is normal tablets with a beginner's application to drawing. But I hope to change that by introducing a tablet with multiple gestures and powerful applications installed, like the Adobe Illustrator. But the impression that illustrator gives us is that, it is too complicated and hard to use. Meizu can cooperate with Adobe to introduce a tablet-friendly version of Illustrator, which can help the artists to practice their art with ease. I hope something like that will attract the attention of general American consumers.
OTHER GROUPS
When talking about other groups, they like to mention that they would want to retain the Chinese culture present in their technology companies when they go overseas. For example, the group doing Youku and Toudou(China's YouTube) stated that when Youku starts its business in the US, they must let the users in the US to upload their videos to Youku. So I want to ask them this question, what makes Youku different from Youtube? And why will the Americans favour Youku over youtube? Youtube has been a major part of their culture and always will be, but for youku, I'm pretty sure that many Internet users in the US didn't know about Youku at all? Right now, Youku has all the shows, TV dramas related to China, and those movies, including those Americans movies, can be streamed for free on Youku. In America, this is a complete infringement to copyright. It is due to the difference in culture, that I think Youku will not be widely accepted in United States, same for the Baidu search engine(China's Google).
Also, the group working on Lining(A sportswear brand) mentioned that they should follow the success story of the US brand Nike, to achieve its success in the US. I would like to ask them what can they do when Nike has dominated the world with its sportswear. Times have changed, Li Ning should not follow the success story of Nike, instead Li Ning should start its own path in the US market. Because Nike is a US brand itself, it is not applicable to the Li Ning context where Li Ning is actually based in China. While Li Ning is selling great in China, Li Ning should expand its market to nearby countries first, to achieve its globalized structure, maybe Lining can start a production line in Vietnam, assemble in China, then sale them in the US. It is a great way to reduce cost prices so that Lining can make its sportsware at low prices, which then can be more popular in the US.
In a nutshell, in order to achieve fast success in a foreign and (generally)high-class market like the United States, A China-based company must reduce of it's Chinese cultural implications, as it is not widely accepted in the US. But we must keep the products the same.In the beginning of the reflection, I have mentioned the Chinese culture must be eradicated. However, my friend convinced me that Not all Chinese values or ideas are 'bad' or not appealing to US people. For example XiaoMi (A Chinese Tech Company) has many different themes that the users can into. Many people actually like this idea. We should adapt their ideas and values and get rid of only some Chinese values. We should take in both the good things from China and US and combine them into a better vision. I am convinced by his point of view, and therefore I believed that The company must localize in the US, and "convert" some traditions to the culture of the US. But we should not be just a replica of a US brand, we must start from zero, and develop an innovative and creative brand that is different from the rest, that is what stands our company out from the others.
I find this management consultant situation a very enriching one, I hope that we can learn CDE in a more enriching manner just like the management consultant situation. I know that we are not delivering a professional piece of work, but at least we get to learn about the political situation which barred the Companies from reaching the US. Americans will also find it hard to buy devices from China technological companies. I think personally, I have learnt a lot of the differences from different cultures. And with this Management consultant situation, I believe that we are really learning on Cultural differentiation Elective from the management situation as it involves two cultural changes, as the company leaves China, and enters the US.
Hi Gaoyang!
ReplyDeleteAt first look, I was impressed with the words that you wrote for this essay, it’s about a thousand words? I can see that you really out in effort into writing this reflection.
So, about your reflection, I agree with you that the main problem Chinese companies have trouble expanding out to US markets is the stereotype that the Americans have on Chinese products, thinking that the China products are bad, spoils easily. This is not true as the bad products are often things that are copied and doesn’t have brands. These can happen to any country. Thus, in order to gain the trust off the local Americans, we need to set up a headquarter in US, get support from the US and hire local US people as they will understand their own people the most.
Next, your comments on other groups are also very detailed. You have pointed out flaws on the other groups. For example, you said that Youku in China has the problem of copyrighted videos which are strictly not allowed in US. This will definitely stop them from expanding into the US market. I agree with this as there are political issues behind this. The US doesn’t want the citizens to get influenced by the Chinese. Also, Youku is mainly chinese dramas, and the Americans won’t want to watch them.
It’s really a good reflection that you have written, and you have learnt a lot from the presentations. Hope that I can work with you again in future presentation.
Ming Chuan
Hi Gaoyang,
ReplyDeleteI like how you structure your reflective journal in a sort of question-and-answer manner. It shows how much you have learnt from this management consultant scenario by answering your own doubts. I have to agree with you that a common problem of inherent stereotypes against Chinese products or services by the US people. This is nonetheless true as some Chinese products have indeed affected consumers badly such as giving consumers stomach aches, etc. These black sheep have damaged the reputation of other Chinese products. Your analysis on the 3 companies (Google, Apple, Lenovo) was rather well done. I have to agree that the group doing Youku has not really considered the uniqueness of their company compared to other US competitors such as YouTube. Why should people use the Chinese product? Therefore, some incentives and benefits are needed to enable US consumers to use the company's product. I also have to say that you really have learnt a lot from the presentations and indeed have pointed out most flaws from the groups. To conclude, I feel that you and me have indeed benefited from this management consultant scenario and have learnt a lot of different management styles from the different groups companies' presentations. I hope we will have such assignments in the future and hope that you will enjoy future CDE lessons!
Yo!
ReplyDeleteI can see that you had put in a lot of effort into the journal and it's very good! Like what Sherwin said, i also like that structure of yours. The question-and-answer type of structure really stands out from the rest. It make the journal much more appealing to others. I think that your point about getting rid of all china's culture is a bit extreme. We can still keep some in order to attract the overseas Chinese people. Not all Chinese values or ideas are 'bad' or not appealing to US people. For example xiaomi has many different themes that the users can into. Many people actually like this idea. We should adapt their ideas and values and get rid of only some chinese values. We should take in both the good things from China and US and combine them into a better vision. I also agree to you that the group doing Youku should come up with better solutions and ideas. They should really consider the fact that Youtube is too domineering in America and it is very hard for Youku to enter US market. They should also consider the copyright issues in US and the laws in US. Youku can be easily sued in US. I have to say that you had really been listening carefully in class and you have done a really good reflection. In conclusion, i like your structure but i don't really agree to you that every product should throw away all the chinese values. Hope you have a good time ahead!
-yikun
Hello! On the first look, I can see that this is definitely something you put a lot of effort with, from all of your nicely structured paragraphs. I also like the solutions for Chinese companies to break into the US market in which you came up with as it is always a pleasurable and interesting experience to read suggestions different groups came up with to solve the problem on Chinese companies having limited success in the US market. We are able to analyse each solution carefully and determine its applicability to the company. Sometimes, suggestions might be so good and interesting that maybe even the company is not able to come up with these suggestions! I also like the fact that you pointed out the problems of other groups like Li-ning and also giving another new suggestion as to how Li-ning could break into the US market. Overall, I feel that the description of the process of creating your presentation is very detailed and very good suggestions are given as to how companies like Li-ning and Meizu are able to break into the US market. Keep up the great work!
ReplyDeleteHi Gao Yang,
ReplyDeleteYour reflection is very good and has a lot of content in it. I can see that you have put in a lot of effort into this and I hope you have benefitted from this. I agree with you that the stereotyping of Chinese companies and products is quite an obvious issue for Chinese companies trying to venture into the US market. I also think that the Lenovo example is a good role model for Chinese companies that want to enter the US market. I agree that the some of the preinstalled apps in Meizu phones should be deleted and be replaced by apps like Facebook and Instagram. I also aagree that Meizu should try to work with a local telco so as to promote its brand.
Looking your reflection on other groups, I can see that you have learned a lot from their presentations. I agree with the group who is working on Li-Ning that having a lower price tag is able to attract more interest in their products. I agree with you that the culture barrier between US and China needs to be removed for the Chinese companies to succeed. Overall, I think that you have learned a lot and I hope that you have an enriching experience in CDE.