B2B Marketing

Presented To: Presented By:

Dr. Siddharth Bajpayee Sakshi Rai
Ankita Rajoniya
Aman Manore
Aman Gawale
Rohit Choubey
Sudhanshu Kuril
Overview

Name : Huawei Technologies Co. Ltd.

Type : Private (Employee-owned corporation )
Industry : Telecommunications equipment,
Networking equipment
Founded : 1987
Founder : Ren Zhengfei
HQ : Shenzhen, Guangdong, China
Area : Worldwide
Products : Mobile and fixed broadband
networks, consultancy and managed
services, multimedia technology, smart
phones, tablet computers, dongles
Start-up : $ 3000~4000
Assets : $ 57.319 billion
Revenue : $ 60.839 billion

Employees : 180,000+
Huawei at a Glance

80,000 14
R&D
R&D employees institutes/labs/
centers

180,000 No. 83 in the

Employees Fortune Global 500

170+ No. 70 in
Countries Interbrand's Top 100
Best Global Brands

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Vision:
To enrich life through communication.

Objective:
Huawei goal is to become the top ICT vendor for telecommunication
overseas
Mission:

• Provide ubiquitous connectivity to give everyone equal access to

connections;
• Provide pervasive intelligence to drive businesses forward;
• Build digital platforms to help all industries and organizations become
more agile, efficient, and vibrant;
• Deliver a personalized experience to all, respecting the unique
character of everyone, and enabling the full potential of every person
to be realized.
Initial Journey

• By 1990 the company had approximately 500 R&D staff, and began its own
independent commercialization of PBX switches targeting hotels and small
enterprises.
• Huawei’s first major breakthrough came in 1993, when it launched its C&C08
program controlled telephone switch. It was by far the most powerful switch available
in China at the time.
• By initially deploying in small cities and rural areas and placing emphasis on service
and customizability, the company gained market share and made its way into the
mainstream market.
• In 1994, Huawei gained a key contract to build the first national telecommunications
network for the People's Liberation Army of China.
• Another major turning point for the company came in 1996, when the government
adopted an explicit policy of supporting domestic telecommunications
manufacturers and restricting access to foreign competitors.
International Expansion

• In 1997, Huawei won its first overseas contract, providing fixed-line network
products to Hong Kong company Hutchison Whampoa.
• Huawei launched its wireless GSM-based products and eventually expanded to
offer CDMA and UMTS.
• In 1999, Huawei opened a research and development (R&D) center in Bangalore,
India to develop a wide range of telecom software.
• From 1998 to 2003, Huawei contracted with IBM.
• After 2000, Huawei increased its speed of expansion into overseas markets.
• In 2001, Huawei joined the International Telecommunications Union (ITU).
• In 2004 Huawei made a contract to build a third-generation network for Telfort, the
Dutch mobile operator. It was the first such contract for the company in Europe.
• In 2005, Huawei’s international contract orders exceeded its domestic sales for the
first time.
• Huawei signed a Global Framework Agreement with Vodafone. This agreement
marked the first time a telecommunications equipment supplier from China.
International Expansion

• In 2005, Huawei also signed a contract with British Telecom (BT).

• In 2008, Huawei embarked on its first large-scale commercial deployment of UMTS/
HSPA in North America providing TELUS's new next generation wireless network
and Bell Canada with high-speed mobile access.
• Huawei delivered one of the world’s first LTE/EPC commercial networks for
TeliaSonera in Oslo, Norway in 2009. The company launched the world's first end-
to-end 100G solution from routers to transmission system that same year, to help
meet the rapid growth of network traffic and enhance router efficiency and reliability.
In late 2010 it was reported that Huawei is planning to invest around $ 500 million to
• set up a telecom equipment manufacturing facility in Tamil Nadu and $ 100
million to expand its R&D center in Bangalore, India.
Huawei has over 70,000 product and solution R&D employees, comprising more than
• 45% of our total workforce worldwide. It has 16 R&D centers in countries including
Germany, Sweden, USA, France, Italy, Russia, India, and China, and in 2014
invested $ 6.4 billion in R&D.
 Expansion Strategies
From B2B to B2C

• When willing to enter a country’s market, Huawei will often sign contracts with government entities, to ensure
their image of a reliable brand.
• After several brand awareness steps Huawei finally sell their own brand of handsets directly to consumers.
• The Huawei likes to operate as a partner or a vendor for the country’s telecommunication companies-either for
handsets or their network infrastructure, while studying the market and the culture of the country in the meantime.
• Huawei has joint venture/ investment with-

– 3Com Corporation, USA (2003)

– Siemens, Germany (2005)
– Motorola, USA (2006)
– Telecom Venezuela (2006)
– Symantec, USA (2007)
– Global Marine Systems, UK (2008)

• Grameenphone Ltd. Bangladesh and Huawei won the Green Mobile Award at the GSMA Mobile Awards
2009.
Expansion Strategies

• As of the beginning of 2010, approximately 80% of the world's top 50 telecoms

companies had worked with Huawei. Prominent partners include:
– BT (British Telecom), UK
– Vodafone, UK
– Motorola, USA
– Orange, France
– T-Mobile, Germany
– TalkTalk, UK
– Portugal Telecom
– Cox Communications, USA
– Bell Canada
– Clearwire, USA
• In May 2011 Huawei won a contract with Everything Everywhere, the UK’s biggest
communication company, to enhance its 2G network. The four-year deal represents
Huawei's first mobile network deal in the UK.
Organization Strategy
Carrier Business: Global Leader, Driving Carrier Digital Transformation

Leader in established markets

500,000+ 2 million+
NB-IoT base stations NB-IoT devices in • RAN, IP router, wavelength division, broadband access, IPTV
commercial use

New markets:
10+ 30+
5G pre-commercial
CloudAIR commercial networks • SDN/NFV
networks
− Best Technology Enabler award at Mobile World Congress 2017

Best strategic partner − Best Cloud & Carrier Service, Best New VNF Application, and other 5 awards at SDN NFV
World Congress 2017
for carriers
− Most Successful Deployment of NFV award by Informa for Huawei and EE in 2017

• IoT
− Best IoT Innovation for Mobile Networks award by GSMA for Huawei's NB-IoT solution at
Mobile World Congress Shanghai 2017

− Best IoT Platform award for the OceanConnect IoT platform at IoT World Europe 2017

380+ 350+ • Video

SDN contracts NFV contracts
− Best Innovation in Cross-boundary Convergence and Best Mobile Video Innovation awards
by TV Connect for Huawei's Envision convergence video solution in 2017

− Red Dot Award: Communication Design for the Envision Multi-screen Application in 2017
 Enterprise Business: Core Products Approved by Industry
Customers and Authoritative Analysts

• Positioned as a Challenger in the 2017 Gartner Magic

Quadrant for Data Center Networking
200+
Safe City projects • Fast growth in market share in data center switches: No. 3 in
the world, No. 1 in China by market share (Source: IDC)
120+ 300+
Financial institutes
Smart City • Storage: No.6 in global market share in Q1 2017; No.1 for
projects Enabler and sales revenue, shipments, and shipped capacity in China
(Source: Gartner)
preferred partner of
enterprise digital • Servers: No. 3 for global shipments in Q1 2017, up 19.7%
170+ transformation year on year; sales in Chinese market up 39.4% year on
Power companies
220,000+ year
km of highways &
railways • Positioned as a Challenger in the 2017 Gartner Magic
Quadrant for enterprise firewalls
1,000+ 260+
Oil & Gas companies
Manufacturing companies • Largest market share in newly-emerging private cloud
markets in China; FusionInsight is China's best-performing
big data solution, ranked by Gartner in Magic Quadrant for
DMSA (Data Management Solutions for Analytics); ranked
197 companies in Fortune Global 500 first in the leader quadrant for e-government cloud services
45 companies in Fortune Global 100 in China; outstanding player in public cloud in China
(Sources: Forrester, IDC, and Gartner)
 Consumer Business: A Brand Admired and Trusted by Consumers Global
Brand Awareness Now 86%
Global smartphone shipments Innovative products 153 million units 10%+
2017 smartphone shipments Global smartphone market share

14.7% 23%+
Top 3 in European market, and Market share in China, higher
growing fast than ever before

Top 3 Sources: IDC, Huawei MI

153
Mate10: Word's first AI-powered phone
139
Source: IDC
iF Design Award 2018
Smartphone 108
Increasing global brand awareness shipments
(millions)
75
52
32
25% 86% 20
3

2012 Source: IPSOS 2010 2011 2012 2013 2014 2015 2016 2017
2017
 Drivers Behind Continuous Growth

Huawei Core Values

1. Stay customer-centric
Strategic direction
Value-driven system Creating value for customers is the only way for Huawei to
30 years of sustained focus on
that shares value to maximize guarantee its value. Our success depends on our customers'
Pipe Strategy: ICT infrastructure
value creation success.
2. Inspire dedication
A reasonable, effective value assessment and sharingsystem
inspires employees to create greater value for the company.
Core Values
3. Persevere
Customer expectations are rising, and our industry is evolving.
Whether or not we can continue to survive depends on our
ability to persevere with long-term focus.
4. Grow by reflection
Sustained investment Reflection leads to continuous improvement, prepares us for
in R&D to drive breakthroughs external challenges, and prevents inaction.
Business Strategy:
Break Down Boundaries, Enable Carrier Success, Embrace an
Intelligent World Better business growth: Deep digitization for business
breakthroughs
• Carriers are expanding their services, and delivering better services to
Build a fully connected, intelligent world individuals, homes and enterprises. Huawei can help carriers use their
strengths in connectivity, maximize their network assets and develop new
services like video, aiming to achieve new growth.
Better Business Better
Better Connection Better connection: More connections, more data, 5G and
Growth Experience
cloud-network synergy for industry digitization
• 5G: Ready for commercial network rollout; catalyst for digital transformation

synergy powers
All-Cloud network

• All-Cloud networks: Becoming a reality

• IoT: More connections, creating value beyond connectivity
Video

Agile digital
Cloud-network

• B2B powered by cloud-network synergy: Cloud services drive use of

2C 2H 5G IoT
operations network, network enables cloud, synergy drives B2B success
B2B

Better Experience: Agile business, efficient and intelligentO&M

• Customer-centric, ROADS experience: Digital products, fast TTM via

service design and network orchestration
One-stop ICT solutions, products, and services • User insights & comprehensive experience management raise user value
powered by cloud-pipe-device synergy over the service lifecycle
• Digital technologies boost efficiency based on customers' existing
processes: Faster network roll-out, higher resource utilization
Openness Collaboration Shared success • Visualized, automated, intelligent O&M and precise network management
help improve speed and quality, and enable risk prediction and mitigation
ICT Infrastructure + Intelligent Devices Enable Digital Transformation
Creating more connections
• Bringing connectivity to more
people, homes, and industries
• Bringing general-purpose
connectivity technologies to more
industries
Boosting broadband development
(premium video experience)
Networks and ICT infrastructure for a
premium video experience:
• Video as a basic carrier service (4K and
virtual reality)
• Leading video-driven industry digital
transformation
Developing open, trusted cloud platforms
• All-Cloud ICT infrastructure
• Driving industry cloudification with an open,
hybrid cloud architecture
ICT Infrastructure
• Preferred partner for business, delivering open,
trusted public cloud services
Intelligent devices
Building portals for an inspired user
experience
• Chip-device-cloud synergy
• AI services
• An inspired user experience in all scenarios
Cloud-Network Synergy Powers B2B

Sustainable B2B services: From reseller to service provider

Cloud delivers on B2B customers' needs
Government Finance Manufacturing Transport
• The digital transformation of industries is creating new opportunities in the
enterprise market. Carriers should exploit their cloud-network strengths to
develop and deliver their own enterprise services. Agile services with a
Energy Telecom good user experience will help government and enterprise customers to
transform.

Agile private line services, excellent user experience

• Cloud connection services for enterprises will help millions of enterprises
Connection on Cloud migrate to the cloud with fast, reliable connections.
Agile Private Line Communication
• An agile update of traditional private line services: Responsive, on-demand
Cloud Campus IoT Video
as a Service services that respond to the new needs of businesses, and represent a key
competitive advantage for carriers.

Cloud offers a single portal & platform for B2B services

Computing Storage Network Security
• First, carriers should cloudify their connectivity services: Cloud Campus,
enterprise communications, IoT, video, etc.
Carrier Cloud Others • Then attract industry ISVs and partners deliver cloud services.
Cloud Resale
Huawei Leverages a Combination of E-Commerce & Retail Stores to Drive
Sales
Retail E-Commerce

• Huawei Ascend model is sold exclusively • Huawei Honor is sold exclusively through their e-
through traditional distribution commerce site,VMall
• 35,000 Retail stores in 2015 +15,000 planned • They create a localized version of the site in each
for 2016 market (vmall.uk, vmall.mx, hihonor.com (US) etc.)

o Mainland China – 11,000

o Asia – 6,500

o Europe – 6,200

o South America – 1,500

Hashtag Strategy

• Huawei uses specific hashtags for each

launch, product, event, partnerships, and
competitions.

• Ongoing product hashtag #CapturedOnP9 has

a strong similarity to LO’s “Shot On iPhone”
campaign.
Huawei Event Hashtags Huawei Campaign/Partnership HashtagsHuawei Product Hashtags
#HuaweiMWC2017 #OO #HuaweiP10
#HuaweCES2017 #CapturedOnP9
• Huawei’s primary hashtag for the past two #MWC2017 #MakeItPossible
#HuaweiP10Plus
#IFA2016 # DefyExpectations
#HuaweiWatch
years has been # O O which is meant to #freeyourspirit #HuaweiWatch2
#aStepAhead #HuaweiP9Red
symbolize the dual camera on the P-series # DefyExpectations #HuaweiP9Blue
#Standout #HuaweiTalkband
smartphones #Leica # HuaweiTalkbandB3
# Partnering W ithTheBest #HuaweiMate9
#Traveltuesday
#unboxing
#Daydream
• #MakeItPossible has been the launch themed #unboxingchallenge #HuaweiMatebook
#HuaweiNova
hashtag in ‘15 – ‘17 #HuaweiFit
#HuaweiMediaPad
Incubating and Nourishing the ICT Ecosystem
Shaping and growing the industry with alliancepartners
Industry  Huawei works through major industry platforms (e.g. GSMA and TMF) and collaborates
alliances with up/down-stream partners on new technologies for SDN/NFV, 5G, Cloud OS, and
eLTE.
Bigger
Industry
Creating value for customer success and win-win results
Business  Strategic alliances with SAP and Accentureto deliver more competitive solutions.

alliances  Forward-looking partnerships with Oracle, Microsoft, Salesforce, and Infosys for higher-
value solutions.
Shared
Success Community cooperation and innovation for open platforms and standards
Standards &  Active in standards bodies and open source communities (e.g. OpenStack, OPNFV,

open source ONOS, CabonData, Open-O, Lite OS, and Docker) for an open, growing ICTecosystem.

Shared
Benefits Innovation and rich ecosystem enable the digitization of everything and fast TTM for
our customers
Developers  Huawei's Developer Enablement Plan is an open platform that empowers developers by
exposing Huawei's leading ICT capabilities.
 Global OpenLabs support innovation and commercialization of localizedsolutions.
SWOT Analysis
Strengths
Telecom Relationships – mutually beneficial B2B
relationships help Huawei with market entry & penetration.
R&D Investment – Huawei has filed more patents and
invested more than any other competitor ($9.2 Billion in 2015)
in R&D centers and technology.
Vertical Integration – Huawei manufactures many of their
own components, allowing them to keep costs down &
control quality.
Opportunities
Brand Growth – In 2 years, Huawei moved from 94th to 72nd
on the 2016 Interbrand list of best global brands. The brand
value increased by 18% vs. ’15.
B2B Foundations – Huawei has established B2B
relationships with telecom companies in markets they do not
currently have a strong B2C presence. They could leverage
these relationships to support a B2C push into these markets.
Weaknesses
Global Perception – Chinese brands are perceived as
being cheap and low quality in markets outside of Asia.
Inconsistent Branding –disconnected brand image
and messaging acrossmarkets.
Local Market Media Nuances – lack of experience &
knowledge in the media landscapes of newly entered
markets.
Threats
Political Uncertainty – Strained geopolitical tensions
betweenChina & the U.S.
Spread Too Thin – Entering new markets is resource
intensive. Huawei risks failure due to lack of focus.
Recommendation
• Solve the big threat cyber security.
• Separate between Huawei company
and Chinese government.
• Provide better localization for overseas
customers.
Sustainable Development: A Responsible Corporate
Citizen
Bridging the Digital Divide
• Communications for all: First
mobile network coverage at
Everest Base Camp.
• Broadband inclusion for all:
Deployed 100G submarine
networks within the Arctic Circle.
• ICT talent cultivation: Seeds for
the Future program in 96
countries and regions.
• ICT application: Smart healthcare
project in Kenya for 200,000 local
residents.
Supporting stable and
secure networks
• Supporting stable networks:
Network management for over
1,500 customer networks;
supported network continuity
over nearly 200 key
events/natural disasters
worldwide.
• Supporting cyber security:
Released the fourth version of
Cyber Security White Paper; all
distribution centers in our supply
chain have ISO 28000
certification
Protecting the
Environment
• Green networks: The average
energy efficiency of major
products increased 23% year on
year.
• Green operations: Carbon
intensity (emission per unit
sales) down 20.6% since
baseline.
• Green partners: 8 Huawei
smartphone series have passed
the UL110 Platinum green
certification.
• Green world: 60% green
packaging, saving over 123,000
cubic meters timber.
Building
a Healthy Ecosystem
• Caring for employees: Invested
CNY11.2 billion in employee
benefits worldwide.
• Contributing to society: Launched
nearly 200 social contribution
activities in 70 countries and
regions.
• Operational compliance: Appointed
compliance officers in 97 countries
and regions
• Supply chain management: Led the
development of IPC-1401 Supply
Chain Social Responsibility
Management System Guidance
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THANK YOU