Heavy fabric product line CDMA the lower Nuggets.docVIP

 PAGE \* MERGEFORMAT 9 Heavy fabric product line CDMA the lower Nuggets China Unicom in early 2005 and began a new round of strategic adjustment. It is the first time brought together the domestic Kyocera Zhenhua, ZTE and other CDMA handset manufacturers, the centralized procurement of 300 million units ‘ultra-low-end’ mobile phones from China Unicom this action can be seen that starting from 2000 the building of China Unicom will be CDMA positioned in the high-end user’s line, has now been transformed into re-development of its previously ignored low-end market. This shows that the renewed emphasis on low-end market, China Unicom began to take the ‘the people’ line. Resolution: Differentiation strategy is failing, CDMA to the lower extension China Unicom provided from the portfolio of products is not difficult to see that: the original China Unicom’s CDMA services provided by the targeting of high-end users, while another product line for its GSM services provided to serve the low-end market, and rival China Mobile, China Telecom and other competing low-end users. China Unicom, China Mobile and its principal competitor is different from its product portfolio by the CDMA and GSM composed of two product lines, while China Mobile Communications GSM is a single product line (GPRS leading provider of data transmission, does not provide phone service). China Unicom’s market position from the entire product portfolio point of view, with Unicom’s CDMA business in the new brand positioning in space, the high-end users (including business users and monthly Huafei more individual users), while the competitors using GSM brands to compete in the high-end users; Unicom to use GSM (130,131,132) business Ruyi Tong brand positioning in the low-end users, opponents are using Shenzhouxing brand to serve the low-end market (Chart 1). View of this, China Unicom would like to use ‘fly with both wings’ of the strategy from two product lines work together to compete with their c