Study On Competitive Strategy Of Millet Technology Co., Ltd. In Fast Cycle Market

With the development of technology, smart phones become rather common today. The smart phone market in China has been expanding all the time. Although the extent of the fierce competition in the market is also increasing, Hardware Wars turns staged correspondingly. The price of smart phones is getting lower and lower. All raise the pressure of smart phones manufacturers. These manufacturers always pay too much attention on the price and configure. Established firms such as Nokia failed to be acquired by cheap in this condition. But as a fledgling, Xiaomi Technology launched a new product named Mi Phone before the first anniversary, aimed directly at the hottest smart phone market. The sales reached a staggering figure of7.19million at the third year and Xiaomi becomes one of the Top Ten Brand in Chinese smart phone market. What has xiaomi achieved is a miracle. For a time, Xiaomi and Mi phone attract a lot of attention.The smart phone market is a typical represent of the fast cycle markets. Who is doing well now cannot maintain competitive advantage for sure. The market is hard to manage for such a fierce competition. One wonders what bring courage to Xiaomi for entering the market at this time. Whether the external macro-environment is as bad as imagined and the competitive environment of the industry is so cruel as ostensibly? Are there any differences in the corporate culture, financial condition, business management situation, R&D capabilities, status of marketing capabilities and manufacturing capacity of Xiaomi? Under various environmental backgrounds, Xiaomi should depend on what strategy to win? This paper is written to find out answers to the questions above.This paper aims to study three issues. First, use the PEST model and Five Forces model to analysis the Chinese mobile phone manufacturing environment from both external and internal condition. Second, establish the competitive strategy of Xiaomi refer to the external and internal environmental factors. Third, give some comments and suggestions on the problem Xiaomi might encounter in future from strategy implementation, international and external relations.