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A Project Report On MARKETING STRATEGY FOR LAUNCHING NEW MOBILE

PHONE IN INDIA

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 A Project Report
On
MARKETING STRATEGY FOR LAUNCHING NEW MOBILE PHONE
IN INDIA
For
Master of Commerce in Finance
(Session-2016-2018)
Submitted to
DIRECTORATE OF DISTANCE AND CONTINUING EDUCATION,
UTKAL UNIVERSITY, VANIVIHAR

Submitted by
Subham Sahoo
Enrolment No.:1603030090900427
Under the guidance of
Dr. Biswo Ranjan Mishra
([Link], [Link]., Ph.D.)
[Link], Commerce
DDCE, Utkal University

Month and Year of Submission: June 2018

DIRECTORATE OF DISTANCE &CONTINUING EDUCATION

UTKAL UNIVERSITY, VANI VIHAR
BHUBANESWAR, ODISHA
Website: [Link]
 DIRECTORATE OF DISTANCE &CONTINUING EDUCATION
UTKAL UNIVERSITY, VANI VIHAR
BHUBANESWAR, ODISHA
Website: [Link]

Dr. Biswo Ranjan Mishra Email-biswomishra@[Link]

([Link], [Link]., Ph.D.)
[Link], Commerce
DDCE, Utkal University

CERTIFICATE

This is to certify that dissertation on “Marketing strategy for launching new Mobile
Phone in India” submitted by subham sahoo to P.G Department of Commerce,
D.D.C.E Utkal University is a record of bonified work done by him under the guidance
of DR. Biswo Ranjan Mishra, lecture in school of commerce, in partial fulfilment of
the [Link] Degree course for the session 2016-2018.

Subham sahoo

Enrolment no.:1603030090900427

This is to certify that above statement made by the candidate is correct to the best of my
knowledge.

Signature of Guide

Date-

Place-

I
 DECLARATION

I, SUBHAM SAHOO, Roll no.1603030090900427, session 2016-2018, Department

Of Commerce, DIRECTORATE OF DISTANCE AND CONTINUING EDUCATION,
UTKAL UNIVERSITY, Bhubaneswar, Odisha hereby categorically declare that the
research work entitled “MARKETING STRATEGY FOR LAUNCHING NEW
MOBILE PHONE IN INDIA” Is submitted for partial fulfilment of the requirements
of the degree of MASTER OF COMMERCE IN FINANCE, DIRECTORATE OF
DISTANCE AND CONTINUING EDUCATION, UTKAL UNIVERSITY as part of
my course curriculum of 4rd semester is an authentic record of empirical study carried
out by me, Under the guidance of DR. Biswo Ranjan Mishra, Asst. Prof. P.G.
DEPARTMENT OF COMMERCE, DIRECTORATE OF DISTANCE AND
CONTINUING EDUCATION, UTKAL UNIVERSITY, BHUBANESWAR. This
report and its contents neither full nor in part has been submitted for the award of my
other degree or diploma under any other universities.

Subham sahoo
Enrolment no.: 1603030090900427

Date-

Place-

II
 ACKNOWLEDGEMENT

The research on “MARKETING STRATEGY FOR LAUNCHING NEW

MOBILE PHONE IN INDIA” has been given to me as a part of the curriculum in
2year Master’s degree in commerce.

I have tried my best to present this information as clearly possible using basic
terms that I hope will be comprehended by the widest spectrum of researchers,
analysts and student for further studies.

I have completed this study under the able guidance and supervision of Dr.
Biswo Ranjan Mishra; I have received from them towards fruitful and timely
completion of this work. Last but not least; I would like to thank all of my friends
who have helped me directly or indirectly in the completion of this project.

Subham Sahoo
Enrolment no.: 1603030090900427

[Link] 2nd year

P.G. Department of commerce
D.D.C.E Utkal university

Date-

Place-

III
IV
A CASE STUDY ON MARKETING STRATEGY FOR LAUNCHING
FOR NEW MOBILE PHONE IN INDIA
This is the project report on the analysis marketing mix, PEST analysis,
STP analysis and SWOT analysis for launching a new mobile phone in
India by a Chinese company named “Xiaomi”

Company Name- Xiaomi

Category- Smartphone’s handsets
Sector- Telecommunication
Tagline- Always believe that something wonderful is about to happen
Ups- Provides high quality Smartphones at affordable prices
 Contents
Certificate I
Declaration II
Acknowledgement III
Chapter Contents Page no.
Chapter-1 EXECUTIVE SUMMARY 1
SMARTPHONE OEMs AND BRAND SLEADING THE MARKET 2
STATEMENT OF PROBLEMS 2
RELEVANCE OF THE STUDY 2
RESEARCH METHODOLOGY 3
OBJECTIVE OF THE STUDY CONDUCTED 3
Chapter 2 INTRODUCTION 4
CORPORATE MISSION AND VISION 4
MISSION 4
VISION 5
MARKETINGSTRATEGY 5
Marketing management Vs Marketing strategy 6
Developing a marketing strategy 6
Potential Target Segments 7
Chapter-3 EXTERNAL ENVIRONMENT ANALYSIS(PEST) 14
INTERNAL AND EXTERNALAN ALYSIS OF XIAOMI-SWOT 15
ANALYSIS
MARKETING OBJECTIVES AND GOALS OF THE COMPANY 17
FOUR P’s OF XIAOMI–MARKEING MIX 17
COMPETIT OR ANALYSIS 19
SEGMENTATION, TARGETING AND POSITIONING OF XIAOMI IN 20
INDIA
PRODUCT LIFE CYCLE 21
COMPARISION WITH SAMSUNG IN INDIAN MARKET 23
Chapter-4 DISCUSSION AND IMPLICATIONS 27
FINDINGS 28
THE ANALYSIS OF XIAOMI MOBILE PHONE MARKETING 28
PROBLEMS
CONCLUSION 29
APPENDIX 29
Chapter-5 BIBLIOGRAPHY 33
A case study on marketing strategy for launching new mobile phone in India

EXECUTIVE SUMMERY

AN OVERVIEW OF SMARTPHONE INDUSTRY IN INDIA (2016) is looking at India as a

huge landing ground for their innovation and also Western Smartphone makers, like Apple and
Google, are increasingly looking east for growth "Everybody as a next big step in that part of
the world," sai, giving countries like India significant influence over the sorts of features they build
into their phones. "Normally what happens in emerging markets is they leapfrog others in terms of
for going ahead," said Satish Meena, forecast analyst at Forrester. "India has the advantage of
volume — they have sufficient volume so they can tell Smartphone makers to build certain
features. The Smartphone makers can then try and use them in the African market, and the Middle
East market, for example. The African market has similar problems in terms of purchasing power
and penetration of smart phones, “said Meena, indicating towards India’s scenario. Although we all
know that India has the fastest-growing Smartphone market in the world, the Smartphone market in
India crossed the 30 Million unit shipments milestone for the first time ever in a quarter in CY Q3
2016 maintaining its healthy traction with 11% Year-on-Year growth. According to the
International Data Corporation's (IDC) Quarterly Mobile Phone Tracker, Smartphone shipments
clocked 32.3 million units in CY Q3 2016 with 17.5% growth over the previous quarter. “This
seasonal spike in third quarter of the year can be attributed to the channel preparation for the festive
season, mega online sales and early import of Smartphone’s owing to Chinese holidays in
October” says Karthik J, Senior Market Analyst, Client Devices, IDC India. Mobile subscriptions
are expected to hit 1.4 billion by 2021, according to the Ericsson Mobility Report, released in June.
Dr Sanjeet Pandit, Qualcomm senior director for business development and sales for Asia-Pacific
and India. Qualcomm's chips are used in about 30% of Smartphones in India. Online share of
Smartphone increased to 31.6% with impressive 35% Quarter-on-Quarter (QoQ) growth due to
strong performance by key online playersprimarily from China-based vendors, namely Xiaomi,
Lenovo and Motorola. Also, closing weeks of the quarter witnessed incremental supplies as many
vendors were preparing their inventories for the online festival sales in October. Lenovo Group
continues to lead online channel followed by Xiaomi. “Lenovo Group accounts for almost one-
fourth of total online Smartphone shipments driven primarily by Lenovo’s K5 series and
Motorola’s G4 series models. Also, Xiaomi’s Redmi Note 3 and newly launched Redmi 3S fueled
the online shipments to a large extent”, adds Karthik. 4G Smartphone shipments grew 24.8% over
previous quarter in CY Q3 2016. Rollout of Reliance Jio network has further increased the share

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of 4G enabled Smartphones in India. 7 out of 10 Smartphone shipped in Q3 2016 were 4G enabled

and 9 out of 10 Smartphone sold by retailers were 4G.

SMARTPHONE OEMs AND BRANDS LEADING THE

MARKET
Samsung leads the Indian Smartphone market with 23% share with 8% sequential growth and 9.7%
growth from the same period last year. Despite the recall of Samsung’s flagship Note 7, multiple
new launches across both offline and online channels added onto the its strong portfolio helped vendor
to grow at a healthy rate in CY Q3 2016. Lenovo Group (including Motorola) climbed to second
place with 9.6% share of Smartphones. Similar to the CY Q3 2015 trend, Lenovo Group’s shipment
spiked in CY Q3 2016 with growth of 46.1% over previous quarter. Motorola’s volume almost
doubled Quarter-on-Quarter. Micromax slips to third position with a 32% decline in Smartphone
shipments over previous quarter. The vendor is facing tremendous pressure from other local vendors in
sub US$ 100 segment and with Chinese players in US$100-150. Xiaomi grabs fourth position and
makes its debut in Top 5 as its shipments doubled over previous quarter. With primary focus on online and
minimalistic product portfolio, vendor has grown more than 2.5 times over the same period last year.
As the vendor plans to expand its footprint in the offline channel, competition is likely to get intense in
Indian Smartphone market. Reliance Jio sustains its fifth position in CY Q3 2016 despite a healthy
20.9% growth over previous quarter. With the commercial launch of Reliance Jio Service with
attractive introductory offer, the LYF branded Smartphone’s saw a sharp demand with reports of
stock outs at some locations.

STATEMENT OF PROBLEMS

In today’s world there are many cell phone Industries. Xiaomi Inc. is one of it Interested of the product
is not aware to large part of population.

RELEVANCE OF THESTUDY

The study would provide analysis of product positioning strategies of Xiaomi Inc. To gives
suggestion to new Enterprisers for running successful business.

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RESEARCH METHODOLOGY
The present study is outcome of the secondary data. Researcher read various articles and books
about Xiaomi Inc.

OBJECTIVE OF THE STUDY CONDUCTED

The Objective of this study and reports included are to focus solely on the Indian Smartphone
Industry, both in terms of the major players involved in the market as well as the Chinese counterparts
which have entered into the market in the last years which are highly affecting the Smartphone
and smart devices market in India. While we understand that every player has a great national as
well as a global presence, We being representatives to the Chinese technology
company, Xiaomi Incorporation which is just five and a half year old company and former start
up, felt that it’s important to analyze the company on Strategic Marketing and how the company
has made it this large in these five years, which once as a start-up used to build custom ROMs over
Android OS. The Objectives are covered and highlighted by conducting Environmental Analysis
of external environment of the company which is provided using the PEST analysis & SWOT
analysis discussing company’s Strengths, Weaknesses, Opportunities and Threats in light
of its operating environment, followed by its Corporate Goals and Objectives and the strategies
followed by the company through which it’s able to capture the market, enjoying a very favorable
growth rate.

1. To understand Xiaomi Inc. in detail.

2. To create awareness among youth how company is providing good product.

3. To conclude various product positioning strategies of the company and the product.

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INTRODUCTION
Xiaomi Inc. is a Beijing-based company which was founded on 6 April, 2010 by Chinese serial
entrepreneur Lei Jun, along with eight other partners, Xiaomi’s team of professionals includes
people from reputed organizations and industry leaders such as Google, Microsoft, Yahoo,
Kingsoft and Motorola. It has shown meteoric growth in the few years since its inception. The
company began its activities with the development of Android based firmware MIUI, which was
launched that same year in August. A year later Xiaomi unveiled its first flagship which was a
Smartphone with pre-competitive MIUI firmware. In April 2014, they hired former Google
employee Hugo Barra as Xiaomi VP to expand their business to international markets. And, then
launched itself in INDIA in July, 2014 with their then flagship product, a Smartphone name
Xiaomi Mi3 which offered same specifications as Samsung Galaxy S4 or Apple iPhone 5s was
providing. The company saves the operational cost by minimizing expensive marketing and
touting its products throughmicro- blogging, user forums, social networking and social media marketing.
Xiaomi is known for being responsive to feedback and suggestions submitted by their customers,
as well as updating their interface weekly. The company’s product lines includes Mi Phones, Mi
Pads, Mi TV, Mi Routers, Power banks, mobile accessories and wide range of Smart Home
devices. Xiaomi has 8,100 employees and it is currently operating in China, Hong Kong Taiwan,
Singapore, Malaysia, Indonesia, Philippines, and India. Xiaomi’s Company Mantra: “Always believe
that something wonderful is about to happen”

CORPORATE MISSION AND VISION

MISSION

1. Making Quality Technology accessible to everyone:

Xiaomi is a company which believes that high-quality technology doesn't need to cost a fortune
and create remarkable hardware, software, & internet services for and with the help of their users
whom they call ‘Mi Fans’.

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2. Engaging Users or Fans helping them develop their new Products:

Xiaomi runs dedicated user forums, and keeps in touch with their fans conducting many activities
and taking user feedback which helps them create their next best products.

3. Creating an Internet Ecosystem through their innovation in technology:

With their innovation in technology & services they’re winning hearts and acquiring market share
with their loss leader strategy, they are creating an internet ecosystem linking one product with
another because they are having a huge product line-up.

VISION

1. To make Xiaomi an Indian Company:

Xiaomi’s Global VP, Hugo Barra has always showed Xiaomi’s dedication towards India and its
culture and want to make it an Indian Company.

2. To lay more focus on After-Sales Service:

Major focus of the company is on providing the Customers better after- sales service and to open
100+ own service centers across the country.

3. To open 10,000+ Offline Stores by early 2017:

Xiaomi makes 90% of its sales from online and has existing stores are in Tier I and Tier II
cities, and would now enter Tier III cities too, while increasing presence in the two former
categories, visioning to open 10,000+ offline stores by early 2017.

MARKETING STRATEGY

Marketing strategy has the fundamental goal of increasing sales and achieving a sustainable

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competitive advantage. Marketing strategy includes all basic, short-term, and long-term activities
in the field of marketing that deal with the analysis of the strategic initial situation of a company and
the formulation, evaluation and selection of market- oriented strategies that contribute to the goals
of the company and its marketing objectives. Marketing strategies cover everything from Pay per
click; search engine marketing, public relations (PR), Engineering with Marketing &the much
more.

Marketing management Vs Marketing strategy

The distinction between “strategic” and “managerial” marketing is used to distinguish "two phases
having different goals and based on different conceptual tools. Strategic marketing concerns the
choice of policies aiming at improving the competitive position of the firm, taking account of
challenges and opportunities proposed by the competitive environment. On the other hand, managerial
marketing is focused on the implementation of specific targets." Marketing strategy is about "lofty
visions translated into less lofty and practical goals [while marketing management] is where we start
to get our hands dirty and make plans for things to happen."

Developing a marketing strategy

Strategic planning begins with a scan of the business environment, both internal and external, this
includes understanding strategic constraints. An understanding of the external operating environment,
including political, economic, social and technological which includes demographic and cultural
aspects, is necessary for the identification of business opportunities and threats. This analysis
is called PEST, it stand for Political, Economic, Social and Technological. A number of variants of the
PEST analysis can be identified in literature, including: PESTLE analysis (Political, Economic,
Social, Technological, Legal and Environmental); STEEPLE (adds ethics); STEEPLED (adds
demographics) and STEER (adds regulatory).

The aim of thePEST

analysis is to identify opportunities and threats in the wider operating environment. Firms try to
leverage opportunities while trying to buffer themselves against potential threats. Basically, the PEST
analysis guides strategic decision-making. The main elements of the PEST analysis are:

 Political: political interventions with the potential to disrupt or enhance trading conditions e.g.

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government statutes, policies, funding or subsidies, support for specific industries, trade agreements, tax
rates and fiscal policy.

 Economic: economic factors with the potential to affect profitability and the prices that
can be charged, such as, economic trends, inflation, exchange rates, seasonality and economic
cycles, consumer confidence, consumer purchasing power and discretionaryincomes.
 Social: social factors that affect demand for products and services, consumer
attitudes, tastes and preferences like demographics, social influencers, role models,
shopping habits.
 Technological: Innovation, technological developments or breakthroughs that create
opportunities for new products, improved production processes or new ways of
transacting business e.g. new materials, new ingredients, new machinery, new packaging
solutions, new software and new intermediaries.

When carrying out a PEST analysis, planners and analysts may consider the operating
environment at three levels, namely the supranational; the national and sub national or local level.
As businesses become more globalized, they may need to pay greater attention to the supranational
level.

Potential Target Segments

In our segmentation strategy, we are using geographic, demographic and psychographic segmentation
to classify and build our target segments to consider for selection.
Geographic segmentation – our primary segmentation which is in Singapore, Asia.
Singapore is one of the countries with the highest GDP in the world and consumers have huge
spending power to purchase the newly released miSpecs. They offer a cheaper range of price
compared to their competitors.
Demographic segmentation – Our target is towards the 20-34 and 35-49 years old range for both
gender as they are capable of buying as they are professionals working in steady job and stable

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income without much commitments.

Psychographic segmentation – We target customers that are middle & working class as they
are working and have a good lifestyle. Examples like achievers, strivers and survivors. Our mi
Specs suits customer with an outgoing personality like jogging, running and excising in the gym.
The following sections provide an analysis of three potential target segments.

Segment 1:

The first potential target segment is the Pre-Teens (ages 6-12) and Teenagers (ages 13-19). This
is a good potential market as even though they have no income yet, most of them are coming
from middle class families whose parents are willing and able to provide them with the best toys and
devices that money can buy. As such, they have no issues with affordability to buy the Mi
Spectacles device. Furthermore, this market is growing in size rapidly as there is a rapidly growing
middle class in Asia and they are having more and more children due to their rising wealth.
However, given that the main features and key benefits of the Mi Spectacles product is the fact that it
can monitor and alarm the user in case of health issues, this is not an attractive factor for this target
segment of young children and teenagers. This is because they are generallyveryhealthyandwill
notdevelophealthproblemstilllaterinlife. Furthermore, they are not yet working and do not have
any stress or anxiety problems that they need a device to help them monitor.
Besides that, these are also very fickle minded consumers and will not have the attention span to
use a device unless it provides instant entertainment and gratification for them. Thus, the concept of
wearing a device just for monitoring will not be interesting to them. Even if their parents bought the
device for them, they would only try it once or twice, and probably forget about it the next day.
As such, despite many benefits, this target segment is NOT SELECTED due to it not being in
alignment with the Mi Spectacles product core positioning and value proposition.

Segment 2:

Given that the Mi Spectacles product main features is regarding the way it can assist the user to
monitor their stress and health to alert them in case of impending health problems or onset of heart
attack, this makes it very suitable for people for whom health is rapidly becoming an issue. Thus, we
examine the possible target segment of Mature (46-50 years old) and Elderly (more than 60 years
old) users to evaluate if the product is a good fit for them. There are obvious advantages in that this

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target segment is very much concerned about health. Therefore, they would be glad to have a device
which can help them to monitor if they are going to have a heart attack, and to help alert them or their
family in case of any problems. However, one of the problems is that this target market comprises of
many people who are not technology savvy. As such, they may not want to have a device like Mi
Spectacles even if it can help monitor their health. Another problem is that they would have a lot of
trouble even trying to learn how to use it. As a parallel, it is no surprise to learn that there is very little
smartphone penetration among this target segment. They have difficulty to learn how to use the
smartphone and they cannot even see the screen well due to eyesight problems. Thus, the main
advantages of the product are immediately negated by these problems.
Furthermore, the people in this target segment have retired or stopped working, therefore they would
not have any more source of income. Thus, they would be very careful and thrifty with their money. As
such, they would not likely spend much on discretionary spending for items such as technology
products and devices unless it is critical to them. They would prefer rather to spend on essential items
such as food and healthcare.

As such, despite a good fit in terms of fitness of function, this target segment is NOT SELECTED due to
the target segment not having the right kind of user for the product.

Segment 3:

Thus, we consider the target segment comprising of Young Adults (20-29 years of age) and Working
Adults (30-45 years of age). This is the target segment which comprises of all the middle class in the
country, and which is continuously growing at a rapid pace. This is the most important group of people
in any country as they are the backbone of the workforce in the country, and their jobs and purchases
and taxes that they pay are instrumental in driving the country’s economy.
At this point in their lives, they are working in steady jobs with stable incomes and they would have
relatively high disposable income as well as savings in both assets as well as cash and other financial
instruments. Therefore, theywould be financially able to afford to buynew products to try out even if they
do not actually need the product. Most of them would be driven by peer pressure and would like to buy the
same products that they friend and families are also buying. In fact, besides just function and utility, they
would also buy products for prestige and social status. Furthermore, they are highly educated and are
technology savvy, thus will product. At the same time, since there is growing awareness about the
importance of health, this segment of people would also be very concerned with maintaining their

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health and monitoring it so that they would have early warning of disease and be able to take some
proactive medical treatment to deal with it.
This is a scenario which ties in exactly with the product vision of the Mi Spectacles. This product
will enable them to stay on the cutting edge of product technology by having an advanced
technology product which they can show off to their friends and family. At the same time, the
product will also help them to monitor their stress, anxiety and health status. With the proactive
monitoring provided by the product, they would be able to be reassured that they would get early
warning in case of any heart attack or other health issue so that they could get immediate medical
assistance.
Considering these factors, this target segment is SELECTED as it has a perfect fit of fitness to function
and is in perfect alignment with the Mi Spectacles product core positioning and value proposition.

Selected TargetSegment:
The framework used to select the target segment is the STP framework. The segmentation, targeting
and positioning for the Xiaomi Mi Spectacles is as summarized in the following diagram.

Segmentation, Targeting and Positioning (STP) for Xiaomi Mi Spectacles

Based on the Mi Spectacles features, it would make the most impact on young adults & working
adults between (20-29 years old and 30-45 years old). This is a technology-savvy target segment who
are middle class and have a good income to spend on these sorts of products. This target segment is
a key audience for retail, consumer goods, and technology products, as such, they can be sometimes

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skeptical of advertising due to the fact that they have been overexposed and bombarded with all kinds of
marketing messages. Therefore, it is vital that Xiaomi must deliver the right message at the right time
to this targeted segment. The following shows some additional information about the viability of this
target segment (Hakuhodo, 2015):Ownership of either a mobile phone or smart phones is at least
90% in all 14 Asian Cities, thus making them a prime target for Mi Spectacles as a complementary
[Link] genders in their 20s drive smartphone ownership in Asia, mainly use them for social
media tools. Apps and friendliness for media tools is the important factor for marketing for which
Xiaomi has strong competencies in. Television, computer, and smartphone has become the Big
Three Media in cities with high smartphone ownership. Thus, marketing channels should emphasize
on these media platforms – which is good for Xiaomi which specializes on non-retail sales and e-
commerce. Furthermore, for cities with at least 60% of smartphone ownership such as Seoul, Hong
Kong, Singapore, and Taipei, the smartphones user age group extends to 50s, thus falling neatly into
the proposed target market segment. It is also interesting to note that female smartphone users are in
higher volume in Bangkok and Jakarta, thus there will definitely be a demand from them for health
applications. This additional information can serve as a guide for Xiaomi’s marketing mix strategy.

Differentiation
Although Xiaomi Mi Spectacles may not have all the features of the major competitors such as Google
Glass, it differentiates itself as a part of Xiaomi’s new integrated health care platform. Thus, for the target
market of technology-savvy and also people with medical needs, it is able to provide a unique solution
to meet their needs. Since the technology in Mi Spectacles is focused only on the eyes, thus, it is a
very suitable and intuitive solution for people who need to have an easy and effective health solution.
By focusing on health as a key differentiating factor, the benefits of the Mi Spectacles to the target
segment is much simpler and very clear to them. Besides that, Xiaomi Mi Spectacles continues the
Xiaomi tradition of very reasonable pricing and easy online ordering and delivery. As such, it is
immediately much more price competitive compared to its competitors such as Google Glass.
Therefore, Xiaomi Mi Spectacles is able to achieve a very clear and straightforward. Therefore,
Xiaomi Mi Spectacles is able to achieve a very clear and straightforward differentiation from its
competitors.

Value Proposition:
Basically, it is the promise of Mi Spectacles that it will bring value to its user in terms of health benefits.
Heart & fatigue issues are rising among the busy working class especially young adults & working
adults who form the primary targeted segment for Mi Spectacles. For safe driving, it delivers instant
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notifications to the users and monitors constantly for potential heart risks. This is the key feature which
sets it apart from other competitor products which may have many unnecessary products benefits
which are of lesser importance to the user. Xiaomi Mi Spectacles offers most important value to its
customers – health solutions – with a simple application, user friendliness, and reasonable price that will
definitely meet their needs. In crafting the value proposition, the framework proposed by Rintamaki et
evaluate the value proposition in terms of it being able to create a competitive advantage for Xiaomi.
differentiation from its competitors. Basically, it is the promise of Mi Spectacles that it will bring value
to its user in terms of health benefits. Heart & fatigue issues are rising among the busy working class
especially young adults & working adults who form the primary targeted segment for Mi Spectacles.
For safe driving, it delivers instant notifications to the users and monitors constantly for potential heart
risks. This is the key feature which sets it apart from other competitor products which may have many
unnecessary products benefits which are of lesser importance to the user. Xiaomi Mi Spectacles offers
most important value to its customers – health solutions – with a simple application, user friendliness,
and reasonable price that will definitely meet their needs.
In crafting the value proposition, the framework proposed by Rintamaki et al (2007) is used to identify
the key dimensions of customer value and to evaluate the value proposition in terms of it being able
to create a competitive advantage for Xiaomi.

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A Framework to Identify Customer Value Propositions

As described above, the Xiaomi Mi Spectacles will primarily offer functional value to the
customer (in terms of health benefits), and besides that, it will also be priced affordably (offers
economic value). As such, the proposed value proposition for the product would be:
“A stylish and practical health wearable to complement smartphones and

activity trackers forming an integrated platform for health monitoring and lifestyle tracking. Provides instant
real-time feedback on vital signs for proactive healthalerts. Targetedto middle-class consumers who are
technology savvy and health conscious.

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EXTERNAL ENVIRONMENT ANALYSIS (PEST)

Political Factors:

1. In August 2014, just after launch when Xiaomi was accused of sharing user data, like Phone
no., IMEI no., Text messages, contacts etc. to a server in Beijing, without notice of users, it
became an issue for the company. Which when investigated came out to be a 4 month old report
of even before when Xiaomi started selling Smartphones in India. It could have had a political impact
on its business. The Company for being on the safer side shifted its servers out of Beijing.

2. Later in 2014, Xiaomi's Smartphone Redmi note 4G's imported was banned in India when
directed by Delhi High Court, following a lawsuit filed by Ericsson India, where Xiaomi was
using Ericsson's Standard Essential Patents without paying out a royalty to the company in India.
The Smartphone (after two successful flash sales) was permanently discontinued to be sold in
India.

Economic Factors:

[Link] November only, the Indian Government implemented Demonetization Policy which
affected the online Smartphones sales. One of the sectors reeling from the impact of
demonetization is that of feature phones and affordable Smartphones, which are priced under Rs
10,000. Since most of these purchases are made using cash payments even now, the initial impact
was as high as 90%. Sales of Xiaomi products, the Smartphones had a worse-hit and other
products too suffered from bad sales, ie. Powerbanks, Bluetooth speakers, Mobile accessories,
and earphones.

Social Factors:

1. Lack of customer service center: The main problem behind Xiaomi is lack of service center
as compared with Samsung. As in the today’s era service has become a part of a product so this
is the factor which can create the problem for Xiaomi to decrease in sales.

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Technological Factors:

1. Xiaomi's line of Smartphones which use Android, support the cause for open source systems
which are being championed by many technology- savvy people, as compared with Apple which
strongly protects its proprietary and closed system. Xiaomi has aggressively offered “MIUI”
which lets its users take the lead in customizing their own user experience with unparalleled
flexibility.

2. Xiaomi's technology captures the heart of its customers by allowing them more freedom than
Apple’s IOS or even the standard Android handsets. Thus, Xiaomi capitalizes on user innovation,
which is one of the main factors that drives the Xiaomi fortune today.

3. Another strong point is that Xiaomi promotes online shopping which erases the cost for
intermediaries.

INTERNAL AND EXTERNAL ANALYSIS OF XIAOMI -

SWOT ANALYSIS

Strengths:

1. Having Skilled and Experienced Workforce in which the professionals from other leading
companies like Google, Microsoft, Kingsoft, and Yahoo are also included.

2. It has Competent and Experienced Business Units. Have wide distribution and sales network
to expand its business to new existing markets.

3. Providing Quality Components in Smartphones and other products at the most affordable
prices, with specifications that won’t obsolete till next 12-18 months.

4. Added with Strong Management Team and has direct consumer sales as well.

5. Use Word of Mouth Advertising rather than other sources.

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Weaknesses:
Online Advertisement model and the Word of Mouth advertisement is not as effective as other
sources like TV advertisements or Celebrity endorsements. Also Social media marketing is
becoming popular but it is still in under developing stage and it takes time to get success in online
business.

1. Lack of consistency in bringing more and more professionals in the company, who can
guarantee its success. And Logistics issue due to direct consumer selling.

2. Weak After-Sales Service and Lack of enough technical staff to carry on their electronic work
and introduce new and fresh specifications in it (System updates are rolled out every week in
China).

Oppertunities:

1. Adopting Offline Sales Channel can really help company boost its sales along with the Online
Sales Channel.

2. Explore new and existing markets while expanding the exhibition of their products, because
they have a huge product line in China.

3. Having a huge product line consisting of many smart home devices, they can dominate
Indian market and can create a great Internet Ecosystem outside China too.

Threats:

1. Face strict Government Regulations and the effect gets transferred on manufacturing and
transportation of their products.

2. Their Loss Leader strategy is laying a question mark on sustainable future of Company.

3. Profitability in future at stake, because many competitors are coming up with affordable

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products with handsome specs.

MARKETING OBJECTIVES AND GOALS OF THE
COMPANY

1. Earning Profits from Its Software

Xiaomi’s revenue stream comes from its software — the highly- customizable MIUI firmware
that is based on Android which already has more than 30 million users. Thus unlike Apple, for
example, which makes money from margins on selling its phones, Xiaomi is a more like Amazon
where it wants to earn via its ecosystem by selling various goodies and reap profits like an
ecommerce company.

2. Retailing Directly
Another objective is going directly to retail to cut out the margins and, in turn, pass on the benefits to the
consumers. Xiaomi will sharpen its focus on its own Mi online stores to sell its wares, a strategy which
has paid off rich dividends in its home market.

FOUR P’s OF XIAOMI – MARKEING MIX

Product:

Having a cheap price in the market does not always refer to low quality. Xiaomi’s prices are lower
than their two big competitors, Apple and Samsung. Presenting itself as the good Quality phone
maker with the low prices is the good strategy that drives Xiaomi to the top spot in the Smartphone
industry in China. The phones consists of good quality, robust case, high Resolution screen,
reasonable battery, and runs on the Android-based OS ROM called MIUI. It has more special
features than the standard Android phones and has options for Customization. The biggest key that
drives Xiaomi on becoming successful is the software rather than the hardware.

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Price:

Xiaomi sells its phones at a price that just covers the cost of the device rather than its cost of
production. Xiaomi is focusing more on selling its phones at a low price today, but gaining more
in the future fromselling contents such as applications, services, and accessories. Moreover,
Xiaomi mostly sells its products online which can reduce costs of opening stores, hiring staff, and
inventory keeping, and also may lessen the problems in communication when dealing with
distributors and retailers.

Place:
There are many countries outside China where the Smartphone market is dominated by Apple and
Samsung. This is the main obstacle for Xiaomi in expanding its brand internationally. Xiaomi
already has a strong base in mainland China, Malaysia, and Singapore. Currently, Xiaomi is
expanding its market to India and the Philippines. Despite its expansion into other markets, the
company’s main focus is still in China where its largest consumer base is located. And second
most focus in all other developing countries in Asia Pacific, in which India is on the top. Xiaomi
mostly sells its products online instead of opening physical stores. This is a win-win situation for
both the company and consumers. The company can save a lot of money from building the stores
while consumers can easily access the products. Because the company spends less money, the
price of the phones will also becheaper.

Promotion:

Promotion of word of mouth. Xiaomi uses flash sales, a mean of selling their product in limited
quantities within a limited period as part of their sales strategies. This strategy enables Xiaomi to
save money from doing advertisement because it creates the anticipation and urgency on
consumers. Only limited quantities are available in the market and they will be sold out quickly
which means many people have to wait for the next slot. This strategy therefore makes people
talk a lot all over China including in the social media. This also grabs lots of the consumer’s
attention and makes the advertising less important for Xiaomi in promoting the launch of new
products. Social media. Xiaomi uses social media not only to broadcast messages to actively get
in touch with its customers, but the engineers from Xiaomi also use this platform to routinely
communicate directly with users to get feedback. The engineers listen to the consumer’s needs and
refine the software to complete those needs weekly. This distinguishes Xiaomi from other brands
because it shows that the company is always concerned about its customers and immediately takes
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actions to improve the products.

COMPETITOR ANALYSIS
=>Xiaomi has many competitors with Samsung being the biggestof them and the nearest toughest
competitors are:

=> Lenovo (Motorola including) with 9.6%

=>Micromax with 7.5% if we go by market share, which is constantly falling due to non-
satisfactory sales, poor marketing strategies and non-competent products.

=>Reliance Jio Smartphone’s, which as Smartphone product line started up in Q1 2016 and has
gained 7% market share due to offer on buying their LYF branded Smartphones

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SEGMENTATION, TARGETING AND POSITIONING OF

XIAOMI IN INDIA

Segmentation: Xiaomi has followed the Demographic Segmentation strategy and used factors
like, Age & life cycle, Age stage, Income, and Generation to target its customers. Xiaomi as an
Internet company has segmented the market to those group of people who are tech savvy, mostly
use e-commerce platforms for shopping, and see electronic buys as Value for Money i.e. Brand
value is not the priority to them, but VFM is. The consumers in Indian market wanted Smartphones
and devices to be distinguished with customisations in the Android OS without compromising
with their budget. And, Xiaomi India gave a combination of both, a better OS and high quality
components in their budget, and then the other consumer segment by word of mouth followed.
Targeting: Xiaomi targeted consumer who are tech savvy as well as who are in the group of age
18-35 i.e. from students to working class people, who wanted good quality products and knew
that market leaders like Samsung, LG, and Apple were overpriced for the specifications they were
providing in their products. So, the targeted audience are: Students, Working class people,
Heavy internet & social media users, who are driving the e-commerce market in India. Positioning:
Positioning is the act of designing a company’s offering & image to occupy a distinctive place in
the minds of the target market. The goal is to locate the brand in the minds of consumers to
maximize the potential benefit to the firm. Xiaomi has positioned itself on the behalf of its
Smartphones so well in the Indian market that whatever product it comes up with, is taken cheerfully
by the mass that they become massive hits along with their existing Smart phone line-up.
These products include, Power banks, Earphones, Bluetooth speakers, Smartphone accessories
and wearable. The company has set up and gained such a place in the customers' hearts because
they come up with such specifications & high quality components that make their products' life
cycle near to indestructible for next 15-18 months.

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PRODUCT LIFE CYCLE

Introduction:

Xiaomi was founded in 2010 by serial entrepreneur Lei Jun, who believes that high-quality
technology doesn’t need to cost a fortune. The company creates remarkable hardware, software, and
internet services for and with the help of Mi fans. It incorporates their feedback into its product
range, which currently includes the Mi Max, Mi 5, Mi Note Pro, Mi Note, Mi 4S, Mi TV, Mi Band,
Mi Smart Home gadgets and other accessories. With more than 61 million handsets sold in 2014
and products launched in Taiwan, Hong Kong, Singapore, Malaysia, Philippines, India, Indonesia
and Brazil, Xiaomi is expanding its footprint across the world to become a global brand. Xiaomi
entered the Indian market in July 2014 via flipkart. Xiaomi launched its first made-in-India
Smartphone named Redmi 2 Prime at a price of Rs.6999.
Growth:

Sales were up 33% year-on-year. But the lack of growth between the end of 2014 and the first half
of 2015 means dark clouds are gathering for Xiaomi, just as they are for nearly every Smartphone
maker that isn’t Apple. “Good enough” Smartphones are becoming a commodity, and to stand
out, phone makers need to be reduce prices or sell add-on products and services. There are several
specific factors behind Xiaomi’s stagnation. In China, Xiaomi leads the Android hardware
market, beating out Samsung for market share in 2014. Xiaomi gets its first Indian investor Ratan
Tata. Xiaomi had recently raised $1.1 billion from all stares investment, GIC,DST customers.

vestment, GIC, DST and others.

PLC ofXiomi

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COMPARISION WITH SAMSUNG IN INDIAN

MARKET

This case study attempts to analyze the experience of Xiaomi in India in comparison with that of
Samsung, a Korean company that is the global leader in smartphone sales. In particular, this study
focuses on the mode of market entry and marketing strategies concerning product, promotion and
distribution. In India in 2015 Samsung was the largest smartphone vender with 23% of market share
followed by Micromax Informatics, Intex and Lava. As a foreign company that has established a
major market position in India, Samsung is considered as established multinational that might show
different characteristics and market behavior from emerging company like Xiaomi.

Entry Mode:
At the early stages of market entry, Samsung deployed an incremental expansion strategy, which
involved creation of a joint venture to investigate the market and to configure a distribution network,
focusing on mid-low priced products. By 2002, Samsung had adopted an aggressive localization

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strategy by acquiring the remainder of the partner company the JV. Samsung thus became a wholly
owned subsidiary. Since 2004, it changed the marketing strategy by shifting from the mid low price
market to the premier market. By end of 2004, Samsung started to produce and market products
with high-end technology by means of global standardization. Samsung attempted to enhance its
brand image by not focusing on short-term increase in revenue but rather by focusing on the long-
term benefits to be realized by the premier market. In contrast to Samsung, the market strategy of
Xiaomi has been relatively aggressive. From the inception of its 2014 expansion into India, Xiaomi
adopted various marketing activities by founding a subsidiary in India and focusing on increasing
market occupancy by manufacturing locally in conjunction with Foxconn. To shift from the
saturated Chinese market and expand into the fast growing Indian market, Xiaomi exploited various
investment opportunities and local manufacturing. In particular, Xiaomi has focused on low- and
mid-priced cellphone market, which has resulted in adequate market expansion with price-
sensitive Indian consumers.

Product and PricesStrategy

As described above, Samsung focused on high value added products and increased market share in the
high-end. Samsung also increased commitment to the local market by local production since 2006.
More recently, Samsung expanded to include the low-price segment of the market, considering Indian
customers who prefer a low price product that has a robust hardware capacity. According to The Times of
India, in 2015 Samsung had 29% of India’s entire smartphone market and 38% of the premier
smartphone market (i.e., price more than 30000 Rupee). Samsung released several low- and high-price
smartphone models to increase their market share. Xiaomi, as an emerging multinational in the Indian
market, adopted different product and price strategies. Xiaomi was able to create product and price
competitiveness based on low price and high capacity products. New products were launched almost at
cost. This was possible based on its long product life-time.

Comparison of Products between Samsung and Xiaomi in India

Samsung Electronics Xiaomi
Samsung Galaxy J5 (2016) Rs. 12,999 Xiaomi Redmi 3s Prime Rs. 8,999
Samsung Galaxy J7 (2016) Rs. 19,999 Xiaomi Redmi Note 3 Rs. 9,998
Samsung Galaxy S7 Edge Rs. 56,900 Xiaomi Mi5 Rs. 24,999
(Table-1)
An example is the Mi2. It has been sold over 2 years since the release date, with control on the
number ofunits available for sale. The life cycle of most Samsung models is less than 2 years. Table
4 shows the market segmentation strategy of Samsung dividing markets into low-price and

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premium markets. Xiaomi has focused on cost leadership in all markets, with prices lower than the
cheapest Samsung model.

Promotion Strategy
Samsung has attempted to strengthen the brand recognition in India, since it is the fastest growing
smartphone market in the world. One strategy has been an aggressive promotion strategy utilizing
its financial capabilities in India to secure the foothold in Indian smartphone market. In 2007, it had
invested 2.95 billion Rupee in advertising only, mainly via TV advertisements, to establish premier
image has been the critical marketing strategy in India. At the time Samsung entered the Indian
market, national access to TV was poor and restricted to wealthy individuals. Samsung attempted
to deliver the high-end brand recognition to customers by using advertising that emphasized the
companies’ global leading advanced technology. Subsequent marketing strategies remained
essentially the same, as TV and mass communication with customers was limited. Samsung began
the ‘Samsung Dream Home Shop’ campaign in 135 cities in India. In this initiative, customers had
hands-onwith products technology. Other approaches to better connect with consumers including
support and presence at sports like cricket and world cyber game events. The promotion resulting
from their support of a cricket tournament was markedlygreater than traditional advertising. Xiaomi’s
marketing expenditures have been insignificant compared to Samsung. Xiaomi adopted minimal
marketing expenditures in China, emphasizing efficiency through social networks and viral
marketing. In India, the companies’ marketing and promotion approach differed. Xiaomi deployed
off-line market efforts and focus on customer service, such as pre-release of new smartphone models
in India for the first time anywhere in the world, instituting a return goods policy and using newsprint
advertising.

Distribution policy

As discussed previously, Samsung’s marketing strategy has focused on premier brand image using
a selective distribution strategy based on customers’ purchase capabilities. The distribution strategy
focused on nine major cities in India including New Delhi, Mumbai, Chennai and Calcutta. The rational
was that customers in large Indian cities are more inclined and able to purchase expensive Samsung
smartphones, as the GDP per capita in the target cities was much higher than the average GDP in India.
The network featured a limited number of agencies because India’s retail system was not developed
at that time and the available agencies were not exclusively selling Samsung products. Since then, this

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indirect distribution channel in India has changed. Samsung initiated its own sale network called
‘Samsung digital home’ that sold Samsung products exclusively. This allowed direct access to
potential consumers. Different from Samsung, Xiaomi expanded in India by on-line distribution channel
same, as it had used in China. The distribution network involved collaborations with Indian online
shopping options including FlipKart, SnapDeal and Paytm. In addition, smartphones were retailed
through the companies’ own online sale platform. With time, the distribution strategy was altered with
the introduction of an offline distribution channel to meet the different business environment in India,
where street-level sales remain popular. This initiative was new for Xiaomi and involved
collaborates with The Mobile Store and Airtel. Despite a lack of financial capabilities at that time,
Xiaomi attempted to achieve efficiency in the online/offline marketing. Table 2 provides a
comparative summary between the two multi nationals.(Samsung and Xiaomi) in the Indian
marketplace. Xiaomi’s characteristics as the emerging market and strategic difference of Samsung
as an established multinational are highlighted. Despite financial, technology and brand awareness,
Xiaomi has been successful in exploiting a niche in the Indian smartphone market.

Comparative Analysis between Samsung and Xiaomi

Samsung Electronics Xiaomi

Entry Mode 1995 Joint venture 2014 Direct export

2002 Wholly Owned Subsidiary 2015 Local production Mid- and

low-price range.
2004 Focus on premier market.
Product Localproduction for particular model Low cost strategy

Clear distinction between low price models Long full term for PLC and
and premier line up.
few models

Flexible price strategy.

Promotion Image promotion Hunger marketing

Supporting sports event such as full term Offline and online marketing
for WCG, Cricket Experience marketing Promoting local models Hassel
‘Samsung Dream Home Workshop’. free return.
Distribution Focus on selective cities Premier Focus on selective cities Premier
independent distribution channel independent distribution channel
Samsung Digital Home. Samsung Digital Home.
(Table-2)

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DISCUSSION AND IMPLICATIONS

This case study analyzed Xiaomi as an emerging multinational that has responded to the emerging
consumer smartphone market in India. Different from established multinationals with financial
capabilities and network, principally Samsung, this study focused on how Xiaomi as an emerging
company with less resources and limited experience has successfully expanded in India. The
market expansion of Xiaomi involved an adequate differentiation and localization strategy. The
differentiation strategy responded to the ‘Make in India’ policy of the Modi government, by
complying with the local manufacturing requirement. Market expansion was accelerated by
participating in the TATA group’s aggressive investment and attraction of investment of the Indian
content company Hungama. Xiaomi also instituted offline sales by recognizing the limit of Indian
online market, which included its’ first foray into print advertising. The localization marketing strategy
secured more than 100 customer centers in 56 cities in India. The active compliance with
government initiatives and localization in the Indian market is largely the result of inactivity in
China, which once was the manufacturing center of the world. The recent hike in labour costs has
eroded China’s competitiveness. As well, increase energy demands have led to electricity
shortages domestically. Unfavourable conditions, such as the tyranny of state- owned enterprises and
inflation of raw materials have been additional detriments to China. At the same time, the price
competitiveness of the Indian manufacturing sector has been maintained for the past decade. The
economically active population in India, aged between 15 and 65 years, comprises about two-thirds
of the country’s total population, providing a stable supply of quality manpower. Xiaomi’s philosophy
in India has been to adopt a differentiation strategy adequate for the local Indian market and a global
strategy that focuses on efficiency through the current global pressure for integration. Xiaomi’s
primary competitive advantage has been price and cost leadership with acceptably quality products.
Xiaomi’s global strategy that emphasizes efficiency through the economies of scale, scope and
learning effects has been embodied in outsourcing and focusing on limited number of models with
long product life cycle. A new factory and R&D complex was built in collaboration with Foxconn and
to permit local production. Marketing focused on price sensitivity of consumers and profit to be
realized from software and service. Both online and offline marketing ensures wide market
availability of Xiaomi’s
smartphones.

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FINDINGS
The findings of this study imply that Xiaomi attempted to realize transnationalitybyutilizingits
localizationeffortstoacquireefficiencyby multiplying the strategy to other locations including China.
Xiaomi’s primary competitive source stems from cost leadership and efficiency, and the adoption of
an offline marketing strategy. Its localization efforts did not stagnate in India but applied to product
strategy by shipping local models, such as the 4i, to other countries including China. Finally, the
findings highlight the transnational strategy of Xiaomi is to a certain extent, related to the nature
of emerging multinationals. Emerging multinationals like Xiaomi naturally face limitations in critical
resources, global network and experiences compare to established multinationals. Xiaomi has
gained efficiency through global strategies and multinational strategies at the same time in India to
meet the different local needs, similar to other established multinationals, but by reusing indigenous
innovation and knowledge acquired locally, it has overcome inherited limitations as the emerging
multinational. In particular, this strategy derived from the necessity seems to have properly executed
in India as the emerging smartphone market that provided similar production and marketing
condition to China also has been emerging market and comfortable cradle for Xiaomi.

THE ANALYSIS OF XIAOMI MOBILE PHONE

MARKETING PROBLEMS
Xiaomi phone rapid development caused by a lot of problems, these exist problems will not be
conducive to the development of the company in the future.

1. Management problem.

2. Market positioning problem.

3. Quality and profit problem.

4. The brand value islow.

5. Because of "hunger" and injured.

6. After-sales service problem.

SOLVE THE COUNTERMEASURES OF XIAOMI MOBILE MARKETING PROBLEM:

1. Professional team management company.

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2. Clear market positioning.

3. Keep improving.

4. Brand product development proposal.

5. "Hunger", but also to moderate.

6. After-sale problem improvement.

7. Site selection.

8. Special Maintenance.
[Link] Difference.

CONCLUSION
In conclusion, Xiaomi has a unique business mode land a very interesting method which is
disrupting the Smartphone and technology world. It has been successful at incorporating a crowd
sourcing strategy into its product development process. At the same time, it has dispensed with all
traditional marketing methods and is fully engaged in utilizing online communities & social
marketing for its marketing. With this innovative model, it has taken the world by storm and has
created a huge cult following here in India. In just 6 years after its founding and 2 years of setting
up in India, it has already become the world’s third largest Smartphone maker (in
shipments)and is the world’s most valuable technology start-up company which has just been
valued at US $46 billion.

APPENDIX

Table 1: Timeline of Xiaomi

June 2010 Xiaomi was co-founded

August 2011 Announced the MI 1 phone
August 2012 Announced the MI 2 phone
September 2013 Milestone - Sold over 10 million MI2 devices
Announced plans to launch an Android-based 47-inch 3D-
capable Smart TV, to be assembled by Wistron
Corporation, a Sony TV manufacturer based in Taiwan
Announced the MI 3 phone Announced plans to open its first
retail store in Beijing, China

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October 2013 By October 2013, Xiaomi was reported as the fifth most used
Smartphone brand in China
January 2014 Announced international expansion plans with Singapore being
the first country and also international headquarters for the
company
February 2014 Xiaomi's Redmi makes its debut in Singapore
March 2014 Xiaomi Mi3 makes its debut in
Singapore Announces plans to
expand to Malaysia Announced
two versions of the RedMi Note
(also known as HongMi Note)

Table 2: Key Management executives

Lei Jun Founder, Chairman and CEO
Lei Jun was part of the founding team of Kingsoft in
1992. He later became

CEO of Kingsoft in 1998. He founded [Link] in 1999,

followed by further investments in many startup
companies like Vancl, YY and UC as an angel investor.
On April 6, 2010, Lei Jun co-founded Xiaomi. In July
2011, Lei Jun returned to Kingsoft as Chairman of the
Board of the company. Forbes has listed him as the 23rd
richest man in China.
Lin Bin Co-founder, President
Lin Bin graduated from Sun Yat-sen University in
electronics engineering in 1990, followed by a master’s
degree in computer science from Drexel University in
1992. Moving ahead, he joined Microsoft as a Project
Leader Engineer, and was promoted to Senior
Development Manager, Engineering Director. He
joined Google in 2006 as Vice President of Google China
Institute of Engineering and an Engineering Director of
Google Global.
Li Wanqiang Co-founder, Vice President
Presently, Li Wanqiangis responsible for marketing at
Xiaomi.
He graduated in Industrial Design from Xi'an Science &
Engineering Institute with a degree in 2000. He served in
various positions at Kingsoft as the Chief Designer of UI
department, Director of Design Center, and Director of
Internet Content.
Zhou Guangping Co-founder, Vice President
Currently, Zhou Guangping is responsible for Xiaomi's

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Mi-Phone Team.
He obtained a PhD from Georgia Tech in 1991. He joined
Motorola as a core expert engineer in 1995 and served
as the Senior Director of Motorola Beijing R&D Center,
Chief Engineer and Director of R&D Center of Motorola
Personal Communication, Vice Chairman of Mobile
Patent Committee in Motorola China Research Academy,
and Vice Chairman of Cell phone Quality Control in
Motorola Asia-Pacific.
Huang Jiangji Co-founder, Vice President
At present, Huang Jiangji is responsible for MiTalk at
Xiaomi.
He graduated from Purdue University and worked for
Microsoft from 1997 to 2010 and oversaw the
development of products such as Microsoft’s business
server, B2B system, Biztalk auto-logistics distribution
system, Chinese version of Windows Mobile, Windows
Phone 7 multimedia, Internet Explorer, and instant
messenger.
Hong Feng Co-founder, Vice President
Currently, Hong Feng is responsible for the MIUI
firmware at Xiaomi.
He graduated in computer science engineering from
Shanghai Jiao Tong University and received a master's in
computer science from Purdue University. Hong Feng
joined Siebel in 2001 He further moved to Google in 2005
as a Senior Software Engineer who oversaw Google
Calendar, Google Map and Google 3D Street View. He
was promoted to Senior Product Manager of Google
China, and led the Google China team to develop a series
of localized products like Google Music and Google
Pinyin Input.
Wang Chuan Co-founder, Vice President
Presently, Wang Chuan is responsible for MiBox at
Xiaomi.
He graduated in computer hardware from the Beijing
University of Technology. He founded Thunder Stone
Technology Ltd. In 1997 and Beijing Duokan Technology
Co. in 2010.
Liu De Co-founder, Vice President Liu De is responsible for
Xiaomi's industrial design
He post-graduated from Art Center College of Design.
He was the founding member at the Industrial Design
Department of Beijing University of Technology.
Hugo Barra Vice President, Global
Hugo Barra is responsible for Xiaomi's Global division
and the company's foray into global markets.
Prior to this, Hugo Barra was the Vice President
of Android Product Management and Director of

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Product Management for Mobile at Google. He is a

graduate from Massachusetts Institute of Technology
with bachelors and masters degrees in computer science,
electrical engineering and management science.

Table 3: Partnership with telecom operators

Name of the country Telecom Operator

Hong Kong Hutchison
Whampoa Ltd.
PCCW Ltd.
Three Hong Kong
Singapore StarHub Singapore telecommunications
Taiwan Chunghuwa Telecom Co.
FarEasTone Telecommunications
China China Mobile

32
Subham Sahoo [Link] (2016-2018) D.D.C.E Utkal University
A case study on marketing strategy for launching new mobile phone in India

BIBLIOGRAPHY
I found secondary data on my project from following Sources:

Website refer-
 [Link] 12-03-2018 (07:05pm).
 [Link]
of-xiaomi-incorporation-in-india-marketing-management 12-03-2018 (07:05pm).
 [Link]
for-entry-into-indian-smartphone-market 12-03-2018(07:05pm).
 [Link]
and-industry-analysis-of-xiaomi-in-india-marketing-management 12-03-2018(07:05pm).
 [Link]
of-xiaomi-incorporation-in-india-marketing-management 12-03-2018(07:05pm).

33
Subham Sahoo [Link] (2016-2018) D.D.C.E Utkal University
 A case study on marketing strategy for launching new mobile phone in India

34
Subham Sahoo [Link] (2016-2018) D.D.C.E Utkal University

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