In this section, we will address the opportunities, threats, strengths and weakness of Huawei by analyzing its external and internal environment. Then, a table present SWOT tactics with Improvements.
4.1 External environment of Huawei
The analysis of external environment of Huawei can be divided in societal and task environment. The opportunities and threat of Huawei in societal environment and task environment will addressed in 4.11 and 4.12.
4.11 Opportunities and threats of Huawei in societal environment
Table 1 Opportunities and Threats of Huawei in societal environment Political-Legal Economic Sociocultural Technological
Opportunities Government support Energy availability and cost Consumer activism High cost in mobile industry in R&D …show more content…
Invaders dominated in mobile market, such as Alcatel, Ericsson, and Nokia etc. Huawei seized the chance and emerged in mobile market in time. (Nathaniel A. 2013) Global energy efficiency standards regarding to IT and telecommunication industry is becoming more and more strict, Huawei is threaten by innovative efficient power amplifier, intelligent microcontrollers, and multi-carrier system etc. (Wang, T. 2008) On the view of consumption habits, consumers in China are more willing to take advantage of mobile paying, mobile shopping, mobile banking etc. Compared with U.S.A, where consumers are more rely on paying by PC. (Huang, H. 2012) The annual R&D personal cost in HUAWEI is $25,000, almost one-sixth as the European firms. At the same time, the annual R&D personal working hour in HUAWEI is 2,750 hours, almost 2 times as the Europeans. In other words, HUAWEI can hire 9.6(6*2*0.8) times the same excellent engineers in China with the same expenses in R&D. These so-called “Natural Manpower Advantages” may enhance the competitiveness of HUAWEI to threaten rivalries high above the current market. (Pu, B.