1. Introduction…………………………………………………………………………………2
2. Company overview……………………………………………………………………..3
3. Motorola's Strategy for Strategic Investment in China…………….4
4. Motorola : "A Good Corporate Citizen of China”……………………….5
5. Recent Awards and Recognitions in China………………………………..6
6. Question and Answer………………………………………………………………….7
The case examines the strategies adopted by the US electronics company, Motorola
, in China. It focuses on Motorola's initiatives in the Chinese market to establ
ish itself as a major brand. The case provides detailed information on the four-
point strategy adopted by Motorola in China and the results of the same.
The case throws light on the increasing competition in the Chinese mobile handse
t market and the reasons for Motorola changing its strategy. The case also deals
with the impact of SARS on the market and the future prospects of Motorola in C
hina. The case provides detailed information on the Chinese mobile handset marke
t.
Company overview
Motorola Inc., a global leader in offering integrated communication solutions an
d embedded electronic solutions, was founded in 1928. From its humble beginnings
making rectifiers and mobile radios, Motorola grew up in the 1940s and 1950s, a
nd in the 1960s, it began to develop overseas markets and gradually became a glo
bal company. Currently Motorola has over 95,000 employees across the globe, and
its business covers wireless communications, semiconductors, automobile electron
ics, broadband and Internet access products. Motorola is a technology leader in
the fields of mobile phones, pagers, two-way radios and commercial GSM and CDMA
systems. In 2002, Motorola had a total sales volume of US$ 27.3 billion. Mr. Chr
istopher Galvin is Chairman and Chief Executive Officer of Motorola Inc.
Motorola in China
• Motorola opened a representative office in Beijing in 1987, and set up M
otorola (China) Electronics Ltd. in Tianjin in 1992
• Currently Motorola's facilities in China include a wholly-owned company,
a holding company, 9 joint ventures and 24 subsidiaries, with more than 12,000
employees
• Total investment in China by the end of 2002: US$ 3.4 billion
• Sales in China in 2002: US$5.7 billion
Motorola's Performance in China in 2003
• Total sales: US$4.67 billion
• Total exports: US$4.09 billion (including US$1.29 billion in Internation
al procurement and an export of US$2.8 billion by Motorola China)
• Local sourcing: US$2.8 billion
• Total employees: 10,000(with 1,400 for R&D)
• R&D centers: 19