Haier s Differentiation Strategy History 5, Haier s Diversification Strategy

1.A single product and a refrigerator.

In the seven years from 1984 to the end of 1991, Haier only produced one kind of refrigerator, and was a specialized enterprise. In 1991, Haier Group's sales revenue was 7With a profit of 2.4 billion yuan and a profit of 31.18 million yuan, the "Haier" brand refrigerator became the first domestic gold medal in the history of Chinese refrigerators, and it was the only well-known trademark of China's household appliances at that time.

At the same time, Haier Group's OEC management law has been basically formed, and a nationwide sales and service network has been initially established.

2.Refrigeration appliances, refrigerators, freezers, air conditioners.

On December 20, 1991, with Qingdao Refrigerator Factory as the core, Qingdao Electric Freezer Factory and Air Conditioner Factory were merged to form Haier Group Company, and the business industry expanded from refrigerators to electric freezers and air conditioners. By July 1995, Haier Group mainly produced the above-mentioned refrigeration household appliances, that is, Haier Group took three years to enter the electric freezer and air conditioning industry, and successfully operated into China's famous brand products.

3.White goods, refrigeration appliances, washing machines, microwaves, water heaters, etc.

In July 1995, Haier Group acquired Qingdao Hongxing Electric Co., Ltd., one of the three largest washing machine factories in China, and entered the washing machine industry on a large scale. Since then, it has developed in-house production of microwave ovens, water heaters and other products. In August 1997, Haier and Laiyang Household Appliance General Factory jointly established Laiyang Haier Electric Appliance Co., Ltd., which entered the small household appliance industry and produced electric irons and other products.

At this point, Haier Group's business area has expanded to the entire white goods industry, and the time period is two years.

4.All household appliances - white goods, black goods.

In September 1997, Haier and Hangzhou Westlake Electronics Group jointly established Hangzhou Haier Electric Appliances to produce color TVs, VCDs and other products, officially entering the field of black home appliances. So far, Haier Group has set foot in almost all the home appliance industry, becoming the enterprise with the widest range of products in China's home appliance industry and sales revenue of more than 10 billion yuan. At the same time, Haier Group also holds a controlling stake in Qingdao No. 3 Pharmaceutical Factory and enters the pharmaceutical industry

Launched the whole kitchen and whole bathroom products to the market, and entered the home equipment industry.

5.Entering the knowledge industry.

In January 1998, Haier and the Institute of Chemistry of the Chinese Academy of Sciences jointly invested in the establishment of the "Haier Kehua Engineering Plastics Research Center", engaged in plastic technology and new product development: On April 25, Haier and the Scientific Research Institute of the State Administration of Radio, Film and Television jointly established the "Haier Guangke Digital Technology Development Center" to engage in the development and application of digital technology: On June 20, Haier established a joint venture with Beijing University of Aeronautics and Astronautics and C-Wold of the United States to engage in CAS CAM CAE Software Development.

This shows that Haier Group has begun to enter the knowledge industry, and the products of the above-mentioned knowledge industry are all needed for the future development of Haier Group, and the two form an integrated relationship.

1 Let's take a look at Haier's diversification strategy first

Since 1992, Haier has expanded from one product to multiple products, fully implementing a diversification strategy. Through mergers, acquisitions, joint ventures, cooperation and other means, it has quickly entered the field of white goods such as freezers, air conditioners, washing machines and other white goods from a single refrigerator product; In 1997, marked by the production of digital color TVs, Haier entered the field of black goods from the field of white goods; In 1998, Haier set foot in the computer industry, which is known abroad as beige home appliances. In the process of expansion, Haier eats"Shock fish"Adhere to the intangible assets to revitalize tangible assets, that is, to revitalize the resources of the merged enterprises with advanced management concepts and management methods with Haier's characteristics that have been tested in practice, which not only ensures the success rate of capital operation but also realizes low-cost expansion.

It has achieved the goal of expanding the scale of Haier and strengthening the enterprise in the shortest possible time. Haier's main business is still the home appliance industry, with sales accounting for about 40 70% of Haier's total sales. In 2001, Haier entered the financial industry through the credibility of the brand created in the industrial field, and built Haier's financial framework, including the acquisition of Qingdao Commercial Bank, Yangtze River, the establishment of insurance companies, life insurance joint ventures, and finance companies, laying the foundation for entering the international capital market and building a broader stage for the future development of the group.

From correlated diversification to irrelevant diversification. From manufacturing to service. The development link has changed from a similar industrial model to a service brand.

In terms of diversified development, it has changed from a merger to a joint venture with strong alliances, and geographically from Qingdao to Shandong to the whole country to Southeast Asia, Europe to the United States and Japan.

2. Re-analyze the factors that take this strategy.

The needs of the times, the needs of the market, the needs of society, the needs of development, the need to report the supplement of people 2009-05-13 00:35 Generally speaking, the success of the enterprise diversification strategy must follow the following rules:

1. Enterprises should constantly adjust the product structure and industry structure according to market technology changes.

2. Pay attention to the sharing of resources and pursue synergistic advantages.

3. Constantly adjust its own organizational structure to form the overall strategy of the enterprise.

4. Effectively deploy in major areas and give full play to core capabilities.

5. Attach great importance to the integration of corporate culture from the strategic perspective.

6. Pay attention to the effective scope of brand extension.

So how did Haier Group embark on a diversified strategy with its own characteristics on the basis of such a law? First of all, Haier Group's diversification strategy can be roughly divided into five stages:

A single product - refrigerators.

2. Refrigeration appliances - refrigerators, freezers, air conditioners.

3. White goods - refrigeration appliances, washing machines, microwaves, water heaters, etc.

4. All household appliances - white goods, black goods.

5. Entering the knowledge industry.

If you want enterprises to speed up the pace, you must become bigger and stronger.

From the perspective of Haier's development history, it has gone through four strategic development stages:

1.Famous brand strategy stage (1984-1991).

Only one product of refrigerator, exploring and accumulating experience in enterprise management, laying a solid foundation for future development, Da La summed up a set of portable management model.

2.Diversification strategy phase (1992-1998).

From a potato product to a number of products (in 1984 there were only refrigerators, in 1998 there were dozens of products), from white goods to the field of black goods, to "eat shock fish" way of capital operation, intangible assets to revitalize tangible assets, in the shortest time with the lowest cost to expand the scale, the enterprise stronger.

3.Internationalization strategy stage (1998-2005).

The products are sold in batches to the world's major economic regional markets, with its own overseas dealer network and after-sales service network, the Haier brand has a certain popularity, credibility and reputation.

4.Global brand strategy stage (2005 to the present).

In order to adapt to the situation of global economic integration and operate a global brand, since 2006, Haier Group has entered the fourth stage of development strategy and innovation: the stage of global brand strategy, following the stage of famous brand strategy, diversification strategy and internationalization strategy. The difference between an internationalization strategy and a global brand strategy is:

The internationalization strategy stage is to take China as the base and radiate to the world; The global brand strategy is to create a localized Haier brand in each country's market. The problems to be solved by Haier in implementing the global brand strategy are: enhancing the competitiveness of products and the competitiveness of enterprise operations; Achieve win-win profits with sub-suppliers, customers and users; Transition from monoculture to multiculturalism for sustainable development.

Implementation of Haier's differentiation strategy:

The application of a differentiation strategy depends on a variety of factors. Generally speaking, this strategy is generally feasible when the following situations arise.

1. There are many ways or methods in the industry that can make a difference in products or services, and at the same time, customers think that these differences are valuable.

2. Customers' demand and use of products often change.

3. Only a very small number of competitors will take similar differentiated actions as the enterprise.

In addition, differentiation strategies will be more effective when companies can implement this strategy more quickly or when competitors have to pay a high price to follow and imitate.

The successful use of the differentiation strategy is inseparable from the foundation of core capabilities, and Haier's differentiation strategy is built on this basis. From the perspective of Haier's growth and leasing process, the implementation of its differentiation strategy.

Differentiation strategy is to try to make their products or services and even business philosophy, management methods, technology, etc. different from other enterprises, and establish unique business characteristics in the whole industry, so as to gain a favorable position in the competition.