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Harrier’s U. S. Refrigerator strategy

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    Hairier achieved its success by familiarizing with the brand and competing with the major established brands for a larger market share. Hairier corporate strategy is driven by international growth through creating brand awareness and recognition, meeting consumers’ needs and increasing market shares in different segments. Expending abroad is a response to competition within the domestic arrest both from imports and local products.

    Hairier started taking the fight to the enemy’ by breaking into the U. S. Market using a combination of quality, price and local manufacturing. On product strategy and investment aspect, Hairier should also follow the principle of “Easy to Hard”. For example, Hairier chose its most excellent product-refrigerator to enter the US and European market as the first step. In the US Hairier, the “Hairier Design Center” is built in Los Angels, New York has “Hairier America Trading” company, and the products are manufactured in South Carolina.

    Hairier in the United States has successfully formed the design, production, and sales trinity of management pattern in order to have a better understanding of the U. S. Market, and more quickly respond to market changes. Nevertheless, a key element of Harrier’s world success is its connections with retailers. There is a tendency for greater retail concentration in developed countries, so Hairier tried to make strong relationship with them. Hairier is famous with its cooperation with the top retailers as Walter and Target.

    Hairier built strategy, based on internal strengths, which led him to the eminence position on the domestic market before starting its global expansion. All segments of the market are explored, and it is difficult to take sales away from a rival. The key success factors for consumer electronics industry are famous brand name, innovations (R&D), affordable prices, high quality and value added services. The main industry players- Whirlpool, Electrocute, GE Appliances, based their strategies considering these factors.

    They all tried to achieve high brand recognition and worldwide service network. These companies assessed and continued to develop cutting-edge technologies for the global market. GE, Whirlpool and Electrocute accounted 40% of the world market. In case of Whirlpool, the company implemented its international strategy earlier than Hairier. It had different approach to the expansion, but still based on key success factors in the industry. Whirlpool manufactures in US and exports to the foreign market. If we will talk about Electrocute, it was a firm focused on the home market.

    On the analogy of Harrier’s approach the company strategy was focus on the product development and building brand name. Electrocute used localization strategy and tried to adapt its products to the customers’ preferences and to identify a number of global trends in the societies.

    The decision to build in South Carolina was a step toward the company’s goal of making Hairier a household name in America, like Whirlpool or Mayday. Hairier argues that the plant saves transportation costs. But the factory is about far more than saving money on refrigerators.

    In the United States, Hairier exports its products to this market at first, and then has a joint research and development tit US Company, and finally a builds design center, manufacturing and trade company there. It is from the line “Easy’ to “Hard”, if Hairier directly set up manufacture base in US without any market as base, Hairier probably will lose. Moreover, it is an expression of nationalist pride and of the Chinese government’s determination to expand overseas in markets that it considers prestigious. As for why Hairier has set up an American plant, the owner has his own explanations. To have it in Mexico would make more sense,” he said. “But o the Chinese, expanding abroad without expanding to America doesn’t feel like the real thing. “

    The mission of Hairier is to be the world’s most well-known brand, and always adhere to customer demand-oriented, commit to developing energy saving, environmental protection, fashion and personalized home appliances. Harrier’s global branding strategy should aim at positioning the company as a local brand in different world markets in conjunction with enhanced product competitiveness and strong corporate operations.

    Harrier’s international business remark encompasses a global network of design, procurement, production, distribution and aftertastes services. The leading products stand on ground and build a good brand reputation in these countries, Hairier can start the brand extension to bring in more products. The developing countries are the same, launching one or two products, which are the most lacked in the local market, and then implement its brand extension. Moreover, it could be efficient for the company to expand their e-commerce in future. It would help to find new customers and at the same time new suppliers or channels for distribution.

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