The Rise Of Huawei: A Danymic Capabilities Perspective

Purpose- Huawei Technologies has become a leading telecommunications equipment vendor since its founding in more than twenty years ago. The paper aims to explore how Huawei Technologies have made the rapid rise and achieved such a significant success in order to provide a useful reference for other Chinese high-tech companies, which are eager for building their competitive advantages.Design/methodology/approach- This paper uses the Teece's dynamic capabilities framework to demonstrate the evolution of Huawei's dynamic capabilities. Data are collected by field observation, semi-structured interview and encoded and orgnizatied into the database of case studies.Findings- Traditional strategic management theories such as industry organization theory and resource-based theory put emphasis on the static features of business environment. This paper demonstrates the rationality of the three elements of Teece's dynamic capabilities framework through by theory-grounded analysis.Practical implications- The research finds that the evolution of dynamic capabilities are coherent with the structure of sustenance hidden in Huawei's business activities.This research also has some significant implications for other Chinese high-tech companies, which may want to refer to Huawei's experiences for the development of their ability.Research limitations/implications- The data for the research may be not complete, especially in the earlier development stages of the case company.What's more, the research, which is subject to less official support, only made the limited interview with part of lower and middle manageres of Huawei Technologies, and thus the some important information may have been unconsciously neglected. The future resecrch will expand data collection channel, especially enhance the interview with the top management and founders of the company.