This website uses technical, customisation and analytical cookies, both first-party and third-party, to anonymously facilitate browsing and analyse statistics on use of the website. Learn more
Haier India: Aiming for Market Leadership
-
Reference: DPO-465-E
-
Year: 2017
-
Number of pages: 12
-
Geographic Setting: China, India
-
Publication Date: Jan 28, 2020
-
Source: IESE (España)
-
Type of Document: Case
Description
Sitting face-to-face in their office in the outskirts of Delhi, Song Yujun and Eric Braganza, respectively managing director and president of Haier India, were contemplating their strategic objectives to drive Haier India to become one of the top brands in the Indian white goods market in the years to come. Forming a stable leadership team at the helm of Haier India since 2011, Yujun and Braganza consistently achieved double-digit growth and had started closing the gap between Haier and the top brands in the market (i.e., LG and Samsung). Yet, the distance between the company and its key competitors in terms of both market share and brand influence was still huge. Furthermore, the unique management model created by the visionary CEO Zhang Ruimin had not yet been fully implemented in India. "I know what Ruimin wants," Yujun said to Braganza. However, they needed to figure out together how to make it happen. For example, how could they continue to consolidate the team and attract more talent to meet the demands for growth? What could be done to further implement the Rendanheyi principle and the concept of microenterprises advanced by Haier's headquarters? How could they further improve the mutual understanding and collaboration between Indian and Chinese heads of department and all members so that Haier India could effectively obtain the resources and support from the headquarters in China while maintaining its agility and flexibility to stay ahead in the fast-changing Indian market?
Learning Objective
The case has been prepared to achieve the following teaching purposes: understanding Haier's innovative yet complex management system, implementing such a system in a different country with strong cultural traditions (e.g., India) and leveraging a global platform to achieve local market leadership.