HUAWEI IN CANADA: CAN IT BECOME A TRUSTED PLAYER?

CASE BACKGROUND

Huawei Technologies Ltd., a private telecommunications equipment provider and operator or

carrier, headquartered in China, decided to expand its viable market opportunity via entering
the Canadian market in 2008 (Celly, Han, & Lau, 2015). Huawei had an established track record
as being a globalized, or “glocalized” industry player in Asia, Russia, Africa, Germany, and the
U.K.; which highlighted the emphasis on local or a consumer-centric approach to added-value
creation with respect to its global value chain and future operating stability (Celly et al., 2015).
Localization served as building-blocks to a fully integrated global strategy which was a
fundamental factor that pioneered its positional power and ability to become a competitive
and dominant telecom industry player (Celly et al., 2015). In Canada, Rogers, Telus, and Bell
Mobility were chief competing operators and Ericsson and Nokia Siemens were two of the chief
competing equipment vendors (Celly et al., 2015). Huawei wished to become the dominant
equipment vendor in Canada; of which it did in 2012 in terms of economic or operating

Huawei Technologies Ltd is a big private multinational telecommunication equipment manufacturer

and service provider, headquartered in China. It had decided to expand its feasible market
opportunities by entering into the Canadian market in the year 2008.

which has earned the satisfaction and confidence of its valuable customer over the period of time, by
facilitating its customers with excellent quality services and exceptional customer care services. This has
allowed the company to enhance its overall customer base by earning the loyalty of its customers which
has further allowed the company to trail-blaze the entire market by securing a leading position in the
telecommunication industry.

The company has a trend of identifying potential markets all across the world and making effective
strategies to penetrate in such markets in order to ensure the overall business growth. The top
management of the company has made various effective strategies which has allowed the company to
expand its operations globally, efficiently and effectively.

The Research and Development department of the company has identified Canadian telecommunication
market as a high potential market for the robust growth of business of the company. The top
management of the company identified that in order to tap into the Canadian market efficiently and
effectively, the company should use “Globalization” strategy.

The company penetrated in the entire Canadian market by using globalization strategy and represented
itself as a Canadian company in order to attract the people of Canada more readily towards the products
of the company. The top management of the company made its back breaking efforts in order to
optimize the overall performance of the company.
The company performed exceptionally in the Canadian market and has readily earned the satisfaction
and confidence of the customers of the company by providing its customers with excellent quality
products and services and extra ordinary customer care services. The company has company
somehow managed to capitalize a considerable share in the entire Canadian market in a very short
period of time, as well as, the company gave a tough competition to its major competitors including
Nokia and Siemens.

In early 2011, the company expanded its operations in the Canadian market by establishing its
headquarters in Ontario along with two offices in Canada. The company has also increased its workforce
from 70 employees to 450 professionally skilled employees which acted as a competitive edge for the
company, in addition to this, the top management of the company vastly invests in Research and
Development in order to attain robust business growth which further intensifies the competitive edge of
the company. Hence, the company was performing outstandingly in the Canadian market.