Smartphone Report

Mobile phone manufacturing is an interplay between the design aspect, the components and the
manufacture of the device. India houses number of mobile phone companies that have developed a large
local manufacturing base and are manufacturing through a mix of local production and assembly.
 SMARTPHONE MANUFACTURING ECOSYSTEM

An ecosystem for Smartphone is analogous to the biological ecosystem, which comprises of the interaction between
plants, animals, trees, forest and soil. In a Smartphone ecosystem we highlight the relationships between various
components like manufacturing capacity, cost benchmarking, policies and regulations etc.

Active devices (BJT, MOSFET) and passive devices (resistors, capacitors, and inductors) are
the basic components that are required to form any electronic circuit.
1. Active devices (BJT, MOSFET) and passive devices (resistors, capacitors, and
inductors) are the basic components that are required to form any electronic circuit.
2. These components are then soldered onto PCBs (Printed Circuit Boards). A PCB has
the layout of all the connections between individual components in the form of metal
strips.
3. After the PCB has been fabricated, the next process is the box build assembly. In this
stage, all the modular components like LCD screens, antenna, Li-ion battery, buzzer,
etc. are fitted in their respective positions.
4. All the plastic components such as the front cover, battery cover, keypad, etc. are
assembled and handset is thus configured.
5. Later, the phone has to go through a series of tests, to check for any manufacturing or internal
circuit faults before it is brought to the consumer market
ENABLERS IN A SMARTPHONE ECOSYSTEM

In general terms, enabler is a variable, which encourages the achievement of a predefined target. In this
study, a total of 15 enablers were identified, using expert’s opinion, which would enable the establishment
of Smartphone Manufacturing Industry in Pakistan. A brainstorming session was conducted and six
experts, in the concerned area, were consulted for the
BARRIERS TO SMARTPHONE MANUFACTURING ECOSYSTEM

SUCCESS FACTORS TO SMARTPHONE MANUFACTURING

ECOSYESTEM
SWOT Analysis
It is a structured approach, which is used in business to identify a new venture or strategy. It can
also be used as an auditing tool for the business or organization. It can give better clarification on
the short and long range strategies. It has become a part and parcel of strategic planning and is
used to connect strategies to attainable and actionable tactics. It helps the company analyzing and
determining different strategic areas to bring about the required changes

Strengths and Weaknesses of Smartphone manufacturing in China

Opportunities and Threats of Smartphone manufacturing in China

Comparative Analysis of Smartphone Shipments and Market Share

Local Prospective:
 Mobile Vendor Market Share in Pakistan 2019-2020

Q-Mobile

LG re launched their cell phone accessories in Pakistan with the new Brand name Q-Mobile.
QMobile does not manufacture its own devices; instead, it imports them from vendors in China,
and sells them under its own brand. The same phones are sold in India for example under the
Micromax label.
Year Revenue

2014 Pkr 981 Million

2017 Pkr 20 Billion

Organizational Chart

Market Product Focus

Pakistani people want latest technology with affordable price.
1. Youth
2. Middle Class
3. Internet Surfers
4. Multimedia Conscious people
5. SMS conscious people

Point of Difference
1. Quality
2. Cheap Rates
3. Software
4. Battery timing
5. Resale value
6. User friendly
7. Multimedia supported

Marketing Strategy
QMobile is a success story, especially in terms of branding
1. Product Placement
QMobile used the concept of product placement in their marketing strategy. For example the TV
serial BulBulay was promoting QMobile products. There is no cost involved in such kind of
advertising but it creates awareness among the people. People with a strong fan following tried
convincing the fans to try QMobile products as the company is Pakistani.
2. Gift Hampers
QMobile gave free gift hampers to a large number of people at different occasions. The Amir
Liaqat and the Junaid Jumshed show during the month of Ramazan is an example. The tagline
“Ye QMobile appka hua” became famous due to these shows.
3. Promotions from Celebrities
They used the star power to make awareness about their products in the market. They hired big
faces like Kareena Kapoor Fawad Khan, Iman Ali, Atif Aslam, Sonam Kapoor and Aditya Roy
Kapoor for their advertisement. People actually got themselves Noir phones just because
Kareena Kapoor or Fawad Khan was endorsing it.

Local SWOT Analysis

Strength Weakness Opportunities Threats

Popular in Youth No Awareness Large Market (PAKISTAN) Competition

Long time battery Small users Strong Customer Demand Trust on other
brands
Affordable price Technological Smart phones (Android) Uncertainty in
weakness economic
condition
Latest Small users Chance to lead in Market Price War
Technology
 Infinix Mobiles

Infinix, a leading smartphone brand in the Pakistani market has caused a stir in the world of tech
in a short period of time. A Chinese mobile company Infinix has started manufacturing their
smartphones in Pakistan. Infinix becomes the first smartphone brand manufacturing in Pakistan.

The goal should not be just to produce them but to provide a high level of quality in the products
and a very good example of this is the Infinix note 7, the product is manufactured in Pakistan
and the quality of the smartphone speaks for itself.

Infinix is well known for being bold and forward-leaning. Instead of playing it safe, it has taken
the risk and moved fast. Instead of waiting for others, it has set the direction for co mpetitors.

The tech innovator has completed five strong and successful years in the market, growing
from strength to strength, becoming the most loved, and trusted choice in Pakistan; a legendary
brand that challenges the norms with devices explicitly designed for the country's youth to learn
about the opportunities and challenges of global expansion, focusing on fast-moving high-tech
space.

How it all began

Start of Journey
The journey started in 2013 with a strategy of complete line of mobile devices.
With the SURF series 39's initial release, the brand introduced ‘ALPHA’ and unveiled the high-
end ‘Marvel series’ which received fantastic response. The same year, Infinix broke through the
market with the launch of the ‘Zero series’. Its popularity with the masses instantly made it a
premium smartphone brand in the emerging markets.

With R&D (Research and Development) centers sprawling between France and Korea,
manufacturing centers in China, as well as local subsidiaries in 60 countries worldwide, Infinix is
a great international family that mixes more than 20 nationalities.

Infinix has currently been marked as the largest mobile phone production and
Assembly Company in Pakistan. The existing factory produces 3 million units per year.

Marketing Strategy
The brand was also seen roping in one of the country’s most loved celebs, Atif Aslam, to
represent the highly awaited Zero 8 in Pakistan. Atif Aslam has joined the Infinix family as the
official brand ambassador for the Zero 8 series.
For the brand, the legendary musician’s contribution to its latest offering will be precious to
inspire the world with innovative technologies and products that enrich people’s lives.

Human Resources & Investment

The company has made a total investment of Rs.480 million with a 60:40 arrangement
with Transsion China. They are operating three production lines with a capacity to
assemble 3 million Smartphones every year. In terms of human resources, they have 750
skilled workers, 70 engineers and 9 Chinese experts on board.

Import of Smart Phones (2019)

According to the policy document Pakistan imported 28.2 million of smartphones in

calendar year 2019. The top five imported brands were

Brands Smartphones Import in 2019

Nokia 3.591 million units
Samsung 1.542 million units
Oppo 1.243 million units
Vivo 0.739 million units
Huawei 0.537 million units
Local Manufacturing/Assembly Plant of Mobile Phones:
Key components involved in mobile phone manufacturing

Cost of Smartphone Components

Project Financials
Project specifications Cost (Pkr Cr) % of overall cost
Land Site area: 15 acres 38 9%
(60,702 sq. mtr.) Rate:
INR3,070 per sq. mtr. as of
June 2016
Building Area: 6 acres 53 12.7%
(24,281 sq. mtr.) Rate
Equipment and machinery 264 63.8%
132.0 63.8% Utilities and
other fixed asset
Pre-operative and 8 7.5%
miscellaneous expenses
Utility Expenses 32 2%
Contingency costs (to cover 22 5%
for an increase in the
 estimated cost for the
proposed project)
Total Initial Investment 417 100%