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Marketing cell phones in an emerging market:China - Report Example

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This report identifies the key success factors for marketing cell phones in China as well as the different competitive marketing efforts which are being utilized for finding profit success in this emerging market…
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Marketing cell phones in an emerging market:China
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Download file to see previous pages China is, today, the world’s largest consumer market for mobile technologies, with international mobile phone importation levels reaching over 134 million units, an increase of 34.5 percent each and every year (Fu, 2007). Chinese mobile technology users, additionally, delivered nearly 200 billion text messages in 2004, with increases in consumer texting expected to increase by 50 billion annually (Johnson, 2005). Subscriber rates for cellular service included over 480 million consumers in 2008, a measurable increase in active cell phone holders of 20 million since 2007 (Fu). Thus, what this represents is a considerably large market opportunity for new entrants looking to market cell phone technologies in this emerging market environment. In a country where there are over 1 billion citizens of multiple, differing demographics, it is likely that new entrants can find an appropriate target market who is willing and able to purchase cellular technologies through the use of creative and innovative positioning strategies and promotion.
Unfortunately, as the Chinese infrastructure for cellular support technologies becomes more pronounced and developed, this has opened the proverbial doors for multiple domestic and international competitors to saturate the marketplace with their own product offerings. For example, large-scale competition such as Apple recently partnered with a domestic company, China Unicom, to sell contemporary iPhone 3G products in a three-year retail agreement (knowledge.wharton.upenn.edu, 2009). Coupled with growth in other international players such as Verizon Wireless, China’s cell phone competitive environment is only expected to grow exponentially which can also be a detriment to new market entrants who have not yet developed a sound or practical marketing model in terms of promotion or product positioning. Other competition such as Nokia and Motorola consistently spend large-scale dollars on advertising and branding campaigns (Wang, 2005), thus competing with larger competitor advertising will be a considerable concern for the budget-conscious market entrant ...Download file to see next pagesRead More
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