Full-service Environment, Ericsson China Market Strategy

Ericsson, as the world's leading mobile communications standard equipment and service supplier, always considers China as one of the most important markets. MIIT (Ministry of Industry and Information Technology of the People's Republic China) issued 3G operation licenses with different telecommunication standards to China Mobile, China Telecom and China Unicom respectively, which makes all of them to be full-service operators. On the other hand, operators bring forward higher demands on suppliers' equipment, services and applications due to the diversification of business and the customized demand. Both of these changes will inevitably result in the changes of competition situation in China telecommunication market; re-allocate market share and benefits of various equipment suppliers.This article mainly develop Ericsson's marketing strategies in this background, that is, how Ericsson overcomes the unfavorable factors of weaker support efforts than local suppliers from China Government and of that the technical standards benefit more for local suppliers, takes advantage of its strength in core resources such as foresight and influence in industry, strong R&D capacity, globe market and key resources etc. To keep forward with related marketing activities, include of the following items.●to deepen co-competition relationship with opponents●to continue to strengthen Ericsson's influence in telecommunication industry●to timely adjust market positioning and sales strategies to China telecommunication operators●to timely upgrade customized products and services●to deepen strategic alliance with China Mobile●to help China Unicom expand domestic market share and the number of high-end users, to increase their revenues and profits●to optimize the internal organization structure and processes●to successfully transform into full service supplier while maintaining industry leadership●to create new customer needs, provide products and services closer to the customer needs beyond the competition, to create a new "blue ocean" market●to combine the global market strategy and the actual demand in China together to achieve operational excellence goalsThis study not only provides theoretical guidance for Ericsson to win the competition under this new competitive environment, but also provides useful lessons to the multinational companies, especially foreign telecommunication equipment suppliers, on how to better compete in the Chinese market.