Strategic Management, Analysis of the Strategic Situation of HTC and Essay

Strategic Management, Analysis of the Strategic Situation of HTC and Its Industry - Essay Example HTC was founded in the year 1997 and commenced its business with manufacturing and designing of mobile accessories. Since the year 2006, HTC has introduced many mobile phones with various portfolios like tablet, android and smartphones for the developing markets (HTC, 2012). The objective of this paper is to analyse about the strategic current situation of HTC in the smartphone industry. The analysis would take into consideration industry analysis by using Porter’s five forces model, industry lifecycle analysis and value chain analysis. The study would also endeavour to comprehend the scale and the scope for HTC in respect of the existing industry scenario in the upcoming future. Analysis of the Strategic Situation In the present market scenario, it is observed that a number of companies are manufacturing smartphone along with HTC like Apple, Samsung, Nokia and Sony Ericsson among others. Due to which, the competition among the companies is rising day-by-day in the mobile phon e market. As a result, many advanced technology smartphones have been launched in the market. A few companies have been recognised to have lost out somewhat in market competition due to facing a lack in terms of offered technology in their smartphones or other mobile devices (Hu & Meier, 2010). With due reference to the context, it can be observed that HTC has been facing quite a tough scenario in the smartphone market to sustain its position among the topmost brands. Since the year 2006, HTC had expanded its reach with its smartphone in a number of global markets. HTC was the first cellular manufacturing company to introduce android phone in the market. Subsequently, it was observed that from 2010 onwards HTC faced a downfall because of the vast developments with modern technologies among the competitors’ products. The leading competitors of HTC include Nokia, Samsung and Apple. These companies also started to offer competitive brands of smartphones which significantly affec ted the sales of HTC. Generally, HTC was affected due to the rapid growths of Samsung and Apple’s smarphones such as Galaxy line as well as iPhone respectively. Moreover, Sensation and Desire brands of HTC smartphone have also faced quite indifferent responses from the consumers. Thus, this aspect has also led towards the declining trend of HTC in the smartphone market (Hu & Meier, 2010). Source: (Dotmobi, 2012). The above depicted figure depicts the position of the smartphone manufacturing companies in the present scenario. Therefore, it can be avowed that HTC, in recent times, has considerably lacked behind as compared to its major competitors such as Samsung, Apple and Nokia among others. Thus, by considering the downfall, HTC needs to recognise certain strategies to improve its product and to fight back against its competitors. Key strategies that can be employed include making product modifications, changing to the fast-moving approach for unpredictable markets, creating enhanced brand awareness through positioning and targeting high end users (Hu & Meier, 201