Emerging Markets: Competing at home.

Marketing Strategies for Emerging Markets

Haier's strategy to globalize into developed markets early on can be considered a good
strategy for several reasons. Firstly, by entering developed markets early on, Haier was able
to gain valuable experience and knowledge about these markets, including customer
preferences, distribution channels, and regulatory requirements. This allowed the company to
adapt quickly to these markets and establish a competitive advantage over other emerging
market companies that entered these markets later.

Secondly, by globalizing early on, Haier was able to establish its brand presence in developed
markets. This helped the company to build a strong brand reputation and brand recognition,
which is critical for success in the white goods market. As a result, Haier was able to compete
effectively with established global brands such as Whirlpool and Electrolux.

Thirdly, globalizing early on allowed Haier to acquire advanced technology and expertise
from developed markets. This helped the company to enhance its product offerings and
improve its manufacturing processes, which in turn helped the company to remain
competitive in the global market.

In terms of building on its success in niche products to become a dominant global brand in
high-end white goods, Haier certainly has the potential to do so. The company has
demonstrated its ability to innovate and create successful niche products, which has helped it
establish a strong brand reputation in the Chinese market. However, building a dominant
global brand in high-end white goods will require significant investment in R&D, marketing,
and distribution channels. Haier will need to develop a clear brand positioning and invest in
marketing campaigns to establish itself as a high-end brand in developed markets. The
company will also need to invest in R&D to develop innovative products that meet the needs
of high-end customers.

Finally, Haier's "Three thirds" strategy is a viable and wise approach for the company. By
dividing its revenues equally among the Chinese, developed, and emerging markets, Haier is
able to balance its focus on different markets and reduce its dependence on any single market.
This helps to mitigate the risks associated with economic downturns or changes in consumer
preferences in any one market. The strategy also allows Haier to diversify its product
offerings and capture growth opportunities in multiple markets simultaneously. However, to
succeed with this strategy, Haier will need to remain highly adaptable and responsive to
market changes, and continue investing in R&D and innovation to sustain its growth in all
three markets.