麥肯錫三星戰(zhàn)略1(motorola)課件

1、麥肯錫三星戰(zhàn)略1(motorola)麥肯錫三星戰(zhàn)略1(motorola)OVERVIEW OF COMPETITOR ANALYSIS FRAMEWORK1. Background informationLocationRegistered capitalManagementteamEquitystructureStarting yearNumber of employeesEra analysis4. Value chain strategy5. Organization and ownership6. Financial performanceFocus onMarketing, adve

2、rtising and promotionDistribution (channel and sales force)Organization structureOwnership structureSales Profit 2. Strategy 3. Product/market MissionVisionCorporate strategyMarket positionKey product offeringsKey customersValue propositionGeographic focusPricing2010417SHELM038JL_RAJv5iOVERVIEW OF C

3、OMPETITOR ANALYSIBACKGROUND INFORMATION1. Background informationLocationRegistered capitalManagementteamEquitystructureStarting yearNumber of employeesEra analysis4. Value chain strategy5. Organization and ownership6. Financial performanceFocus onMarketing, advertising and promotionDistribution (cha

4、nnel and sales force)Organization structureOwnership structureSales Profit 2. Strategy 3. Product/market MissionVisionCorporate strategyMarket positionKey product offeringsKey customersValue propositionGeographic focusPricing3010417SHELM038JL_RAJv5iBACKGROUND INFORMATION1. BackgMOTOROLA HAS HIGH ASP

5、IRATIONS FOR ITS CHINA BUSINESSTargeting sales of US$ 10 billion in China by 2002/2003Focusing production operations in China, as production there is about 15-20% cheaper than in Singapore and 30-40% cheaper than in EuropeSource: Analyst reports4010417SHELM038JL_RAJv5iMOTOROLA HAS HIGH ASPIRATIONS M

6、OTOROLAS CHINA BUSINESS SPANS SIX PRODUCT CATEGORIESMotorola ChinaMobilehandsetsNetworkequipmentPagersTwo-wayradiosSemi-conductorsAutoelectronics andaccessoriesMobilenetworkequipmentFixed linenetworkequipmentWirelesscommunicationsSource: Motorola websiteSet up representative office in 1987Operations

7、 include:1 holding company1 WOFE8 joint ventures26 subsidiaries12,000 employeesUS$ 3.4 billion total investment to date5010417SHELM038JL_RAJv5iMOTOROLAS CHINA BUSINESS SPANSTRATEGY1. Background informationLocationRegistered capitalManagementteamEquitystructureStarting yearNumber of employeesEra anal

8、ysis4. Value chain strategy5. Organization and ownership6. Financial performanceFocus onMarketing, advertising and promotionDistribution (channel and sales force)Organization structureOwnership structureSales Profit 2. Strategy 3. Product /marketMissionVisionCorporate strategyMarket positionKey prod

9、uct offeringsKey customersValue propositionGeographic focusPricing6010417SHELM038JL_RAJv5iSTRATEGY1. Background informatMOTOROLAS HANDSET STRATEGY COMBINES AN ATTRACTIVE PRODUCT RANGE WITH SUPERB VALUE CHAIN MANAGEMENTDeveloped a wide product range which covers all key price points and offers a wide

10、 range of functionalityInvested heavily in product localization through China-based R&D teamExpanded local manufacturing in order to reduce costs and improve time-to-marketClosely managed first-tier group of nine resellers in order to minimize price competition and facilitate order trackingCommitted

11、 handset promotionSpeedy roll-out of new releasesProvision of high-quality after-sales servicesAdvanced technologyProduct rangeValue chainCorecompetencies7010417SHELM038JL_RAJv5iMOTOROLAS HANDSET STRATEGY COPRODUCT/MARKET1. Background informationLocationRegistered capitalManagementteamEquitystructur

12、eStarting yearNumber of employeesEra analysis4. Value chain strategy5. Organization and ownership 6. Financial performanceFocus onMarketing, advertising and promotionDistribution (channel and sales force)Organization structureOwnership structureSales Profit 2. Strategy 3. Product /marketMissionVisio

13、nCorporate strategyMarket positionKey product offeringsKey customersValue propositionGeographic focusPricing8010417SHELM038JL_RAJv5iPRODUCT/MARKET1. Background inMotorola has entered the low-end of the mobile handset market since 1999. Its products are more function-driven compared with Nokias produ

14、cts, which are more fashion-drivenMotorola takes more than 50% of the share in the high-end and high-mid-end of the mobile handset market, and more than 20% of the share in the low-end and mid-low-end. Its low-end handsets represent more then 50% of its product offeringsMotorolas market share is rel

15、atively consistent across tier-cities and geographies, taking approximately 30% everywhereKEY MESSAGES - PRODUCT/MARKET9010417SHELM038JL_RAJv5iMotorola has entered the low-eMOTOROLA HAS RECENTLY FOCUSED ON BUILDING OUT ITS LOW-END PRODUCT PORTFOLIO Product positioning Dec 2000Business/professional P

16、ersonalProduct positioning Jun 2000V8088 (1.6%)Business/professional PersonalV998 (5.6%)LF2000 (2.9%)LF2000 (4%)368C (3.1%)338C (0.6%)T2688 (4.8%)CD928 (1.1%)V2188 (3.8%)V2088 (2.0%)A6188 (1.4%)V8088 (3.9%)V998+ (7.0%)P7689 (1.8%)L2000 (2.2%)LF2000 (1.7%)368C (2.3%)T2688 (6.2%)V2188 (1.3%)V2088 (1.0

17、%)366C (0.5%)T2288 (0.3%)T360 (0.3%)High High-mediumMedium-low Low High High-mediumMedium-low Low Source: Interviews, McKinsey analysis10010417SHELM038JL_RAJv5iMOTOROLA HAS RECENTLY FOCUSED MOTOROLA MODELS ARE MORE FUNCTION-DRIVEN THAN NOKIAFashion BusinessBasicFunChangeable cover Sub-100gVoice-dial

18、RecordingVibrationTri-bandWAPBuilt-in modemIR-portChinese inputLi-Ion batterySMS messagingGamesComposable/ downloadable ringer tone82106210P7689V998+L2000WWWFashionClassicPrice in China (RMB)26522878236918001452Equivalent features, Nokia more fun/fashion vs. Motorola more functionsMotorola offers lo

19、wer price models with similar features, tri-band and WAP*Nov. 2000 priceKey differences11010417SHELM038JL_RAJv5iMOTOROLA MODELS ARE MORE FUNCTSource:GFK, Sino-MRMOTOROLA HAS HIGHER SHARES IN CHINA IN FASHION AND BUSINESS SEGMENTSNokiaMotorolaModels2000ChinaTaiwanHong KongIndonesiaSingaporeFlagship88

20、50A6188Fashion-High8210, 8250V8088, V998+Fashion-Low3310T360, T2988, T2688Basic3210, 5110V2088/2188, V2288, StarTac, CD928/938Business-low6150L2000 SeriesBusiness -High6210, 7110P7689Total:12010417SHELM038JL_RAJv5iMOTOROLA HAS HIGHER SHARES INMOTOROLA HAS DRIVEN SALES INCREASES PARTICULARLY IN THE L

21、OW-END PRODUCTSMid-low(RMB1500-2500)High-mid(RMB2500-3500)High(RMB 3500)December 2000April 2001Product mixPercent of unitsMarket share by price pointPercentLow (RMB3500)Low (RMB1500)Source: Interviews, Sino-MR (Dec 2000 - April 2001), McKinsey analysisMid(RMB2000-2500)13010417SHELM038JL_RAJv5iMOTORO

22、LA HAS DRIVEN SALES INCRMOTOROLAS MARKET SHARE IS RELATIVELY CONSISTENT ACROSS TIER CITIES AND GEOGRAPHIESMarket share by tier citiesPercentMarket share by geographic areasPercentNorthWestNortheastCentralTier 1 Tier 2 Tier 3 2000April 2001SouthEastSource: Sino-MR, GfKDec 2000-April 200114010417SHELM

23、038JL_RAJv5iMOTOROLAS MARKET SHARE IS RELVALUE CHAIN STRATEGY1. Background informationLocationRegistered capitalManagementteamEquitystructureStarting yearNumber of employeesEra analysis4. Value chain strategy5. Organization and ownership 6. Financial performanceFocus onMarketing, advertising and pro

24、motionDistribution (channel and sales force)Organization structureOwnership structureSales Profit 2. Strategy 3. Product/market MissionVisionCorporate strategyMarket positionKey product offeringsKey customersValue propositionGeographic focusPricing15010417SHELM038JL_RAJv5iVALUE CHAIN STRATEGY1. Back

25、groMotorolas value delivery system strategy has evolved since 1997. Product development has been more customer oriented and new releases are catering for needs by different customer segments. Localization of mobile handset manufacturing has been furthered to a production capacity of 18 million units

26、 in Tianjin and 8 million units in Hangzhou. With increasing investment in sales and marketing, Motorola is now the strongest brand in ChinaMotorola employs PTAC, CellStart, Heguang, Eastcom, SunYin, Sinya, North Telecom, Hengxin, and Forte as its 9 first-tier resellers. It intends to reduce the man

27、y tiers of resellers that has become a disadvantage to Motorolas channel efficiencyMotorolas key strength lies in advanced technology, committed promotion, wide distribution network and quality after-sales serviceKEY MESSAGES - VALUE CHAIN STRATEGY16010417SHELM038JL_RAJv5iMotorolas value delivery sy

28、stMOTOROLAS VALUE CHAIN HAS EVOLVED OVER THE PAST THREE YEARSFrom. . . (1997)To. . . (2000/2001)Manufacturing Sales and marketingDistributionProduction capacity in Tianjin (1.5 million) and Hangzhou (200,000)Strong brand awarenessMarket share 34%50% reimport via Hong Kong Strong nationwide tiered de

29、aler network (10-15 tier A dealers)Close relations with PTTs Expanding production capacity at Tianjin to 18 million units, and at Hangzhou to 8 million unitsStrongest brand awareness in ChinaDeveloped needs-based customer segmentation Market share 30%50% reimport via Hong KongNumber of dealers limit

30、ed to 9; shared exclusivity by product Kept strong retail support (doubled marketing and sales staff since 97)Source: Interviews, McKinsey analysis17010417SHELM038JL_RAJv5iMOTOROLAS VALUE CHAIN HAS EVOMOTOROLAS KEY STRENGTHS LIES IN ADVANCED TECHNOLOGY, COMMITTED PROMOTION, WIDE DISTRIBUTION NETWORK

31、S AND QUALITY AFTER-SALES SERVICES Source:IDC 2000Key strengthsRecent development Committed handset promotionSpeedy roll-out of new releasesStrong brand recognitionPays more attention to market needs Continues to promote models with free giftsSales and marketingHas nine first-tier resellers, the lar

32、gest number among vendors Price competition among resellers is eliminated Can effectively manage the production volume with close tracking of orders from the channelsBest vendor on channel support in promotion, advertisement, service centers and fundingAltered its strategy in 2000 to employ two auth

33、orized reseller from every modelDistributionProvision of quality after-sales servicesSets up Internet-based consumer club and plans to double service stations in 2001After-sales servicesAdvanced technologyHighly localized products - strong local R&D (800 engineers, 18 research centers, investment 13

34、 b. RMB)High rate of new product introduction (9 new products in 2000)Ready for 3GProduct development18010417SHELM038JL_RAJv5iMOTOROLAS KEY STRENGTHS LIES MOTOROLA DISTRIBUTES EXCLUSIVELY THROUGH NINE FIRST-TIER RESELLERSSource: IDCRationalesMotorola employs PTAC, CellStart, Heguang, Eastcom, SunYin

35、, Sinya, North Telecom, Hengxin, and Forte as its 9 first-tier resellers.Historically assigned one Motorola model to each resellerEliminates price competitionEnables Motorola to effectively manage production volume with order trackingRecently shift strategy to have 2 authorized resellers for every m

36、odel in order to improve promotions and access to customersMotorola is the best vendor on channel support as promotion and advertisement is provided. It also helps resellers to set up service centers to handle repair and maintenance services.As the leading vendor in China, Motorolas channel strategy

37、 is of continued importanceMotorola Channel StructureMotorolas well-built distribution network plays an important role in its success in ChinaToo many tiers of resellers become a disadvantage to Motorolas channel efficiencyVendor1st-tier resellers2nd -tier resellersRetailers/retail chain storesConsu

38、mers100%21%64%3%85%12%76%19010417SHELM038JL_RAJv5iMOTOROLA DISTRIBUTES EXCLUSIVEORGANIZATION AND OWNERSHIP1. Background informationLocationRegistered capitalManagementteamEquitystructureStarting yearNumber of employeesEra analysis4. Value chain strategy5. Organization and ownership6. Financial perfo

39、rmanceFocus onMarketing, advertising and promotionDistribution (channel and sales force)Organization structureOwnership structureSales Profit 2. Strategy 3. Product /marketMissionVisionCorporate strategyMarket positionKey product offeringsKey customersValue propositionGeographic focusPricing20010417

40、SHELM038JL_RAJv5iORGANIZATION AND OWNERSHIP1. BMotorola has 8 JVs, 1 WOFE and 1 holding company in China, among which Hangzhou Eastcom Cellular Phone (8 million units production capacity) and Motorola Tianjin (MCEL, 18 million units capacity) are devoted to mobile handsetsMotorola is mainly organize

41、d along product lines, however, its WOFE in Tianjin has been reorganized to be more customer focused. Motorola Tianjin is divided into 4 sectors, i.e. Personal Communication for consumers, Commercial, Government and Industrial Solutions for corporate and government, Global Telecommunication Solution

42、s for telecom operators, and Integrated Electronic Systems for assemblersKEY MESSAGES - ORGANIZATION AND OWNERSHIP21010417SHELM038JL_RAJv5iMotorola has 8 JVs, 1 WOFE andMOTOROLA HAS 8 JVs AND 1 WOFE IN CHINA, AMONG WHICH 1 JV AND THE WOFE ARE DEVOTED TO MOBILE HANDSETSMotorola (China) investmentLesh

43、an - Phoenix semi-conductorShanghai Motorola paging productsHangzhou Motorola Mobile communi-cationHangzhou Eastcom cellular phoneShanghai zhongmei automotive electronicsHuamin Smart card,Beijing Huamin smart card system manufacturingMotorola Tianjin (MCEL)Established yearProduct offering19951995200

44、02000199919981992SemiconductorPagerGSM and CDMA networkMobile handsetsAutomotive electronicsSmart card system and productMobile handsetsMobile infrastructureSemi-conductorsTwo-way radiosBase stationsHandset accessoriesWith Ansenmei and Leshan RadioWith Shanghai Radio (SRCEM)With Eastcom and Putian42

45、%With Eastcom and PutianWith Shanghai GEWith Sino-overseas construction information100%Source: Motorola press release22010417SHELM038JL_RAJv5iMOTOROLA HAS 8 JVs AND 1 WOFE MOTOROLA IS ORGANIZED ALONG PRODUCT LINES, HOWEVER ITS WOFE IN TIANJIN HAS BEEN REGORGANIZED TO BE MORE CUSTOMER FOCUSED R&D Han

46、g Zhou/ShanghaiManu-facturingSalesServicesManu-facturingSalesServicesMotorola China Personal communication Commercial, government and industrial solutions Global Tele-communication solutions Integrated Electronics Systems Asia tele-communication product manufacturing site (planned)R&DManu-facturingR&DManu-facturingSalesR&DManu-facturingSalesR&DManu-facturingMobile handset* pager*In 2001, 18 million units capacityGSM, CDMA Mobile network and handsets GSM, CDMA Mobile networkMobile handsets*In 2001, 5 million units production8 m