Study Of Management Of Channel-Sale Strategy Of PHS Handset In Utstarcom

With a study of the problems occurred in channel marketing of PHS (Personal Handset System) handset of UTSTARCOM, this paper gives some suggestions on improvements of sales strategy to the company on a basis of comprehensive analysis of the backgrounds of telecoms industry, the company's present condition, and certain factors generated by the strategic transition which the company is now facing.UTSTARCOM has been laying out a strategic adjustment process since 2006. IPTV, wireless telecom and PHS terminal are defined as the company's main business. IPTV is strategically expected to be a significant product that probably determines a success of this adjustment finally. Whereas, its practice needs a big investment, for it is still in an initial phase. PHS series earns the main income for the company and its continued existence in spite of the coming 3G's era would ensure the money needed by IPTV. Because of historical reasons, the selling model of PHS handset is based on direct-sale, supplemented by channel-sale. Weakness of direct-sale causes many problems. At present, changes of external circumstances result in a tremendous change of purchase of PHS handset, therefore, channel-sale is put to a crucial position and is becoming as the main selling model. Through a profound analysis aiming at the problems existing in sale channels of PHS handset, this paper makes suggestions for improvements from several specific areas of selection of channel members, encouragement and assessment mechanism of channel members, and how to reduce confliction among the members. It is meaningful and has actual value in making better selling channels in this company.