Entry 2. Winner takes everything?

Development of third world countries extend their middle class and give them a purchasing power. There are many competitors runs for this newly opening market and India which has 1.1 billion population is one of most important market. Their car market has shown 13% of growth as compared with previous year and Hyundai's remarkable performance in small car market stimulate not only global car company but also their national car brand like Tata-moters and Maruti. Tata-motors' brand new car 'nano' only cost 4000 dollar with full option and has a fuel-efficient engine(21.6km to one liter). Maruti also designing a low priced car with 3600 dollar with GM. This kind of actions are taking also in mobile industry.
ZTE, chinese mobile company, make an interesting performance. They are actually new comer in mobile industry but they entered top ten mobile company last year with cheap mobile unit under 40 dollar. They made a deal with biggest telecommunication company vodafone and other telecommunication companies in third world which provide low price model. They are actually taking the new market on developing countries with cheap model. I think their successes are comes from customer oriented mind. They read customer's need. In contrast, Motorola's market share in 3rd quoter 2006 was 21.6% and it fall into 11.9% in 2007. They also knew what they need restructuring their business strategy. However, against all their need of restructuring, they failed because they couldn't read what they really need to change. As a result, motorola considering buy out of mobile unit part.

Do you believe 'winner takes everything'? Well, in the middle of wave of change, it's not truth(well...there has some. they are standing on higher position than new comers). Though you are new comer if you build a right strategy and view to approach the market, you can be the winner too.

Sources - Financial Times, 2008. 2. 27.
http://www.etnews.co.kr/news/detail.html?id=200802280295
http://www.hankyung.com/news/app/newsview.php?aid=2008031342461

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