Suzanne Frey, an executive at Alphabet, is a member of The Motley Fool's board of directors. How they compare to your brand. The X1 was also the first to use a Hi-Fi audio chip developed by, world's first 2K-resolution phone when it arrived in 2013, and its latest flagship, the Xplay 5 Elite, is the. It first established an overseas presence in Thailand, then throughout Asia, the Middle East, and Africa -- resulting in nearly 20% of its sales coming from outside of China in 2015. Lower smartphone capabilities and functionalities compared to major competitors such as Apple and Samsung 3. Micromax. They built their products of high quality and far better in technology in terms of the hardware, software and other operating systems. Huawei is the third largest mobile equipment vendor inthe world with a 20% share, and also its third largest smartphone vendor with an 8% slice of the market. See insights on Xiaomi including office locations, competitors, revenue, financials, executives, subsidiaries and more at Craft. Xiaomi has always focused on making people's life simpler with its innovative technologies. Continue reading more about the brand/company. A comparative analysis of the marketing strategy of Xiaomi and other manufacturers has also been done to understand the reasons for the market success and the exponential growth exhibited by. Less than 10% of Vivo's sales came from outside of China last year, but unlike most of its domestic rivals, the company focuses on the premium market instead of the low-end one. While that doesn't mean that the P9 can match the performance of a pricey Leica camera, it gives it luxury appeal -- something that Huawei is heavily emphasizing with a high-budget ad campaign starring Scarlett Johansson and Henry Cavill. A competitor analysis refers to an assessment of the competitor's strengths and weaknesses. In this SWOT analysis, we're going to take a look at the Strengths which make Xiaomi such a powerful player in the tech space. Ross, J. You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Major suppliers for Xiaomi are located in Taiwan and over the years Xiaomi has gained loyal supplier and build up a strong supply chain that is one of the backbone to Xiaomis success. Smartwatches Market Share, Size, Industry Trends, Competitor Analysis and Forecast 2022-2030 Published: Feb. 21, 2023 at 5:34 a.m. Moreover, the report contains analyses of Xiaomi leadership, organizational structure and organizational culture. Samsung was bumped off the top five into the "others" category. Retrieved July 16, 2017, from http://fortune.com/2017/01/24/china-smartphones-oppo-vivo-huawei-xiaomi/ There are several brands in the market which are competing for the same set of customers. (SPACs), Transportation, Infrastructure & Logistics. consumer electronics, semiconductors, telecommunication equipment, home appliances, automotive and many more. The Utilities theme has 30 constituents at this time. The report also comprises discussions of Xiaomi marketing strategy, ecosystem and addresses issues of corporate social responsibility. . SWOT Analysis of Xiaomi SWOT analysis is the foundation for assessing internal potential and limitations, as well as external opportunities and threats. 03925319, Artificial Intelligence: Leading Technology Companies, Cybersecurity: Leading Technology Companies, Electric Vehicles: Leading Technology Companies, Strategic Alliances Announced in Last 12 Months, Special Purpose Acquisition Corps. Click to share on Twitter (Opens in new window), Click to share on Facebook (Opens in new window). The threats in the SWOT Analysis of Xiaomi are as mentioned: 1. -Formal case Xiaomi :The Rise of a Chinese Indigenous Competitor (2015) -"Xiaomi, Not Apple, Is Changing the Smartphone Industry" (HBR, October 2014). The market shares of Vivo and Oppo were 11.1 and 8.8%, respectively. Both devices run on an Octa-Core processor and an Adreno 650 GPU for the graphics. Oppo's shipments surged 124% to 18 million, which boosted its share from 7.6% to 16.2%. Per second sale is mind-boggling. Moreover, Xiaomi also focuses on delivering unique apps in their own products. If it isn't, you're working in the dark. Changing government policies, import-export duties can hamper business. Have you found what you were looking for? According to a survey, Xiaomi sold 119 million smartphones in 2018. Xiaomi or Apple two innovation strategies for China. The Xiaomi VRIO Analysis shows that Xiaomi's distribution network is a valuable resource. Xiaomi's IoT and lifestyle products roughly made 25 percent of revenue generation in 2018. But opting out of some of these cookies may have an effect on your browsing experience. This ensures greater revenues for Xiaomi. The report illustrates the application of the major analytical strategic frameworks in business studies such as SWOT, PESTEL, Porters Five Forces, Value Chain analysis, Ansoff Matrix and McKinsey 7S Model on Xiaomi. Some factors like increased competitor activity, changing government policies, alternate products or services etc. The rivals' competition put Xiaomi under pressure. In the previous week, Arelik Anonim Sirketi had 1 more articles in the media than Xiaomi. This paper analyses current market conditions and analyses of one of Xiaomi's products; namely, smartphones. Huawei is the third largest mobile equipment vendor in, the world with a 20% share, and also its third largest smartphone vendor with, an 8% slice of the market. The idea behind it was to provide innovative solutions for everyone. world's first smartphone with 6GB of RAM. Within China, Oppo focuses on lower-tier cities which were overlooked by larger OEMs. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Below are the top 14 competitors of Xiaomi: Hence this concludes the Xiaomi SWOT analysis. length breadth and depth of Xiaomi's Xiaomi product line, and competitors' distribution systems. devices. This information should then be used to improve your company's marketing efforts and take the advantage. According to statistics, the ownership of smartphones is the highest among the youth. Huawei (including Honor) has a worldwide market share of 8.56 %. Sophisticated investors, who have witnessed. It also ensures that promotion activities translate into sales as the products are easily available. By understanding Xiaomi Corp's . Vivo, which is also based in Dongguan, was founded in 2009 by Shen Wei as a subsidiary of BBK Electronics. Nevertheless, currently around 80% of the companys revenues are generated from selling smartphones. Here are the weaknesses in the Xiaomi Redmi SWOT Analysis: 1. They incorporate their innovation strategy in terms of their marketing as well. Xiaomi had a 17% share of. Microsoft 6. Most of this decline came from the company's smartphone unit, which dropped 28.5% to RMB 42.3 billion ($6.2 billion). Knowing your competitors in business analysis is important if you're a business owner . Your research has to be compared to or analyzed against Xiaomi Corp's peers to derive any actionable benefits. Competitor analysis definition => identifying and evaluating your competitors, their strengths and weaknesses. We also use third-party cookies that help us analyze and understand how you use this website. Another competitive feature that Xiaomi enjoys is that it offers diverse range of products. Tony Chen founded Oppo in 2001. Apple has a worldwide market share of 22.35%. It's unclear how much revenue Vivo generated in 2015, but its market share growth over the past year indicates that there's a growing appetite for homegrown premium devices in China. Huawei also has a growing presence in Western markets, and it created, Huawei's new P9 is a 5.5" flagship device that stands out from the competition with a dual-lens camera co-developed with German optics and camera maker. It has to be an essential part of your marketing plan. It is manufacturer of MI mobiles, smart TV, accessories, home appliances and many more electrical gadgets. Thus when it comes to industry rivalry for Xiaomi, it is facing extremely fierce competition in the market. Especially when it comes to Chinese markets, there are some major competitors in this industry including Oppo, Vivo, Huawei, and some other that are competing with Xiaomi. COMPETITOR ANALYSIS. The Motley Fool has the following options: long January 2018 $90 calls on Apple and short January 2018 $95 calls on Apple. 4 ). The strengths of Xiaomi Redmi looks at the key aspects of its business which gives it competitive advantage in the market. Top Apple Competitors. Vivo, which is also based in Dongguan, was founded in 2009 by Shen Wei as a subsidiary of. With the kind of success that Xiaomi have had in just a few years, it is clear that it has been successful in its industry and there are many reasons for why Xiaomi stands out in such a competitive technology world. The Motley Fool owns shares of and recommends Alphabet (A shares), Alphabet (C shares), and Apple. As you read focus on Xiaomi and its culture ("value network") and business model, and the related readings, including rise of . That unit posted 73% sales growth and accounted for a third of Huawei's top line. Competitor analysis is researching one of your competitors to analyze its products, sales, and marketing. Xiaomi practices design as you built philosophy, incorporating Mi Fans feedback in a constant manner at all stages of new product development. Ranked 468th, Xiaomi was the most youthful organization on Fortune Global 500 List of 2019. In Xiaomi Redmi SWOT Analysis, the strengths and weaknesses are the internal factors whereas opportunities and threats are the external factors. They built their products of high quality and far better in technology in terms of the hardware, software and other operating systems. These cookies do not store any personal information. To do so, you would: Step 1: Use Google to compile a list of your competitors. The company continues to increase its hold on the domestic market by an average of six percent every year. Segmentation involves dividing population into groups according to certain characteristics, whereas targeting implies choosing specific groups identified as a result of segmentation to sell products. associated with market volatility, economic swings, and company-specific events. Xiaomi Corp. has become the world's second biggest smartphone maker over the past quarter following an 83% jump in shipments, according to preliminary estimates by Canalys. The brand can continue focusing on geographic expansion. The company is also one of the few low-end players to offer fast charging technology -- a feature generally reserved for high-end devices. Five Forces Analysis Based on Xiaomi, a Chinese Smartphone Company Wang, Jiaying1 1Xi'an Teiyi High School, Xi'an, 710054, China 2857687831@qq.com . View xiaomi Competitive companies.docx from FINANCE 501 at Lovely Professional University. The company perceives the sales of hardware as a means to deliver software and services in the long-term perspective. Many competitors in same price tag segment, 2. The brand has been recognized as a part of the Fortune 500, 5. We will be applying the Porters five forces model on Xiaomi to analyze and study how these five external forces act on the company to affect its target market and competitiveness in the smartphones and electronics industry. Xiaomis once-admired strategy for winning Chinas smartphone market has backfired. Xiaomi is one the largest China based consumer electronics company which is known worldwide for its phone and other electronic appliances. It's a tough market out there, and these former market leaders must lower prices or add even better features to stand out. Xiaomi Inc. Report contains a full analysis of Xiaomi business strategy. For instance, they noticed the selfie fever rising all around the world and cashed on that by improving their selfie camera and marketed it. IDC reports that Xiaomi's shipments in China fell 38% annually to 10.5 million during the second quarter, and that its market share declined from 16.1% to 9.5%. When it was new in the market, the suppliers have a huge bargaining power over them as they were loyal to their old clients, but with time Xiaomi has developed a strong relationship with their suppliers and if we see the current situation the bargaining power of suppliers is very moderate. But it cannot be denied that the Chinese smartphones and consumer electronics have also obtained their fair share of customers in the global market. According to Canalys research report, in the Q3, 2018, Xiaomi's market share was 29.8% with an annual growth of 31.5%. This year the Xiaomi 13 is sold in green, black and white colors. Invest better with The Motley Fool. Indian market is a cash bleeding battleground for brands. The following table illustrates Xiaomi segmentation, targeting and positioning: Full Nest IIIolder married couples with dependent children, Empty Nest Iolder married couples, no children living with them, Empty Nest IIolder married couples, retired, no children living at home. Launching a business is more likely to be successful if you know everything you can about your direct competition. It is often called as the Apple of China. The motto of the company is Just for Fans and the company is also known to recruit its new employees among Mi Fans. MAJOR COMPETITORS : Apple: Apple sells less than 20% of the . And all these Chinese companies are trying to capture their fair share of the international market, where Apple and Samsung are still the major players. According to its business strategy, Xiaomi fosters, develops and encourages its fans via Mi Fan Festivals that involves discounts and gifts. [1] About Us (2018) MI, Available at: http://www.mi.com/en/about/, [2] Liao, R. (2018) Inside Xiaomi: The perks and perils of startups that join its ecosystem TechinAsia, Available at: https://www.techinasia.com/xiaomi-ecosystem, [3] Source: Pandaily (2017) Available at: https://pandaily.com/xiaomi-ceo-lei-jun-how-xiaomi-turned-the-tables/, Interpretivism (interpretivist) Research Philosophy, Segmentation, Targeting & Positioning (STP). Specifically, Xiaomi targets a customer segment that want to use smartphones and other technology products, but have limited budget to make such a purchase. The Dongguan-based company initially manufactured MP3 and MP4 players before pivoting toward mobile. LG Electronics 3. And all these Chinese companies are trying to capture their fair share of the international market, where Apple and Samsung are still the major players. Dual SIM 4G support , powered with 1GB RAM and 8GB onboard storage, 3. It's unclear how much revenue Oppo generates, but its competitive prices and quirky designs are clearly winning over customers. Toshiba 14. The following table illustrates Xiaomi segmentation, targeting and positioning: Xiaomi segmentation, targeting and positioning Xiaomi Inc. Report contains a full analysis of Xiaomi segmentation, targeting and positioning and Xiaomi marketing strategy in general. Xiaomi, the Chinese smartphone company founded in 2010, had quickly become an industry leader in the Chinese market. Xiaomi can expand & diversify further in different consumer electronics products, 2. Retrieved February 6, 2018, from http://www.china.org.cn/opinion/2015-04/13/content_35307226.htm Xiaomi is now a serious competitor in both the mobile phone and Smartphone industry. Improve upon by increasing display size, and making phone lighter as compared to competitors, 2. Some factors like increased competitor activity, changing government policies, alternate products or services etc. Sony 11. Xiaomi Inc. Report contains a full analysis of Xiaomi business strategy. Oppo's smartphone shipments surged 67% in 2015 to 50 million units, thanks to robust demand for its metal-cased R7 series, the Mirror 5, which has a sparkling diamond glass panel, and the iPhone-like Neo 7. Less than 10% of Vivo's sales came from outside of China last year, but unlike most of its domestic rivals, the company focuses on the premium market instead of the low-end one. When done correctly, Xiaomi Corp's competitive analysis will give you plenty of quantitative and qualitative data to validate your investment decisions or develop an entirely new strategy towards taking a position in Xiaomi Corp. Among Mi Fans this paper analyses current market conditions and analyses of Xiaomi strategy. 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