资源描述
SAMSUNG010605BJ-kickoff2,*,Click to edit Master title style,Click to edit Master text styles,Second level,Third level,Fourth level,Fifth level,Unit of measure,*,Source:,CONFIDENTIAL,Mobile Handset Competitor Analysis:,Siemens,SAMSUNG ELECTRONICS CHINA (SEC China),August 20, 2001,This report is solely for the use of client personnel. No part of it may be circulated, quoted, or reproduced for distribution outside the client organization without prior written approval from McKinsey it is not a complete record of the discussion.,SAMSUNG010605BJ-kickoff2,OVERVIEW OF COMPETITOR ANALYSIS FRAMEWORK,1.,Background information,Location,Registered capital,Managementteam,Equitystructure,Starting year,Number of employees,Era analysis,4.,Value chain strategy,5.,Organization and ownership,6.,Financial performance,Focus on,Marketing, advertising and promotion,Distribution (channel and sales force),Organization structure,Ownership structure,Sales,Profit,2.,Strategy,3.,Product/market,Mission,Vision,Corporate strategy,Market position,Key product offerings,Key customers,Value proposition,Geographic focus,Pricing,1,SAMSUNG010605BJ-kickoff2,KEY ISSUES TO PROBE - SIEMENS,Strategy,Product/market,Value chain,strategy,Organization &,ownership,Financial,performance,What does,Siemens,aim to be in 2005 in mobile communication?,How are,Siemens,s product and value delivery system strategies different from its competitors?,What will be,Siemens,s future products and which segments of the market will it target at?,In which segment of the market is,Siemens,strong or weak?,What is the key success factors for,Siemens,to pick up market share quickly since 1999?,How does,Siemens,s distribution channel differ from its competitors?,How capable is,Siemens,in R&D, manufacturing, sales and marketing?,With a broad product portfolio, how does,Siemens,organize or reorganize itself?,How does,Siemens,perform and is its performance expected to improve further?,2,SAMSUNG010605BJ-kickoff2,BACKGROUND INFORMATION,1.,Background information,Location,Registered capital,Managementteam,Equitystructure,Starting year,Number of employees,Era analysis,4.,Value chain strategy,5.,Organization and ownership,6.,Financial performance,Focus on,Marketing, advertising and promotion,Distribution (channel and sales force),Organization structure,Ownership structure,Sales,Profit,2.,Strategy,3.,Product/market,Mission,Vision,Corporate strategy,Market position,Key product offerings,Key customers,Value proposition,Geographic focus,Pricing,3,SAMSUNG010605BJ-kickoff2,CHINA HAS DEVELOPED INTO A MAJOR PILLAR FOR SIEMENS BUSINESS IN ASIA PACIFIC,Location,Based at Germany,50+ JVs, 28 offices in China,Shanghai is the largest,Siemens,location outside Germany,Investment,Invested USD 0.44 billion in China,Business,All business sectors of,Siemens,including information and communication, automation and control, power,transportation and household appliance, etc.,Starting,Entered Chinas telecommunication in 1985,Information and communication business started 1991,Employees,30,000 staff in information and communication mobile globally,25,000 employees for all business sectors in china,History,1982,Siemens,Beijing office opened,1985 entered Chinas telecommunication market,1990 established JV Beijing International Switching System,1994,Siemens,China founded in Beijing,1998 formed business segment - Information and Communication,2000 joined forces with CATT and,Huavei,for next generation mobile technology. Founded TD-SCDMA international forum with,Datang, CATT,Huawei, Motorola, Nortel, China mobile, and Unicom,Implication,An early entrant to Chinas telecommunication market,Broad product portfolio representing all business sectors of,Siemens,worldwide,Source:,Siemens,press release,4,SAMSUNG010605BJ-kickoff2,STRATEGY,1.,Background information,Location,Registered capital,Managementteam,Equitystructure,Starting year,Number of employees,Era analysis,4.,Value chain strategy,5.,Organization and ownership,6.,Financial performance,Focus on,Marketing, advertising and promotion,Distribution (channel and sales force),Organization structure,Ownership structure,Sales,Profit,2.,Strategy,3.,Product /market,Mission,Vision,Corporate strategy,Market position,Key product offerings,Key customers,Value proposition,Geographic focus,Pricing,5,SAMSUNG010605BJ-kickoff2,SIEMENS AIMS TO BE NUMBER 2 IN MOBILE COMMUNICATION MARKET IN CHINA,Product,Focus on stylish new models with suitable pricing targeting mid to low end of the market,Invest in future products, e.g., TD-SCDMA handsets and wireless home network devices, etc.,Strategy,Value delivery system,Establish R&D centers for mobile communication in Beijing and Shanghai,Mobile handset production capacity being raised to 14 million in Shanghai, a growth of 40% since 2000,Intensive marketing on new products with most competitive pricing,Carefully select exclusive channel partner PTAC to maintain uniform price level nationwide to ensure healthy sales,Helps resellers set up service centers to handle repair and maintenance,Vision,To be number 2 in the Asian mobile communication market (without Japan and Korea),6,SAMSUNG010605BJ-kickoff2,SIEMENS IS RISING STEADILY IN MOBILE HANDSETS SINCE 1999,Monthly market share development,(Percent of market in units sold),98,99,Jan 00,Dec 00,Nokia,Motorola,Siemens,Ericsson,Source: Retail Audit,Source: IDC, McKinsey Analysis,7,SAMSUNG010605BJ-kickoff2,SIEMENS HAS OVERTAKEN ERICSSON TO BE NO.3 IN MOBILE HANDSET BY BOTH REVENUE AND SALES VOLUME,Others,Siemens,Ericsson,Motorola,1999,2001,2000,Samsung,Nokia,Breakdown of sales by brand each year,Percent,Source:,GfK, IDC, McKinsey analysis,Others,Siemens,Ericsson,Motorola,1999,2001,2000,Samsung,Nokia,Breakdown of units sold by brand each year,Percent,8,SAMSUNG010605BJ-kickoff2,PRODUCT/MARKET,1.,Background information,Location,Registered capital,Managementteam,Equitystructure,Starting year,Number of employees,Era analysis,4.,Value chain strategy,5.,Organization and ownership,6.,Financial performance,Focus on,Marketing, advertising and promotion,Distribution (channel and sales force),Organization structure,Ownership structure,Sales,Profit,2.,Strategy,3.,Product /market,Mission,Vision,Corporate strategy,Market position,Key product offerings,Key customers,Value proposition,Geographic focus,Pricing,9,SAMSUNG010605BJ-kickoff2,Siemens,offers a compete range of mobile communication solutions including devices, infrastructure and applications.,Siemens,s mobile handsets come with good quality and competitive pricing,Siemens,targets the mid to low end of the mobile handset market. Most of its models are in the price range from below RMB 1000 to RMB 2200,Siemens,has devoted great attention to the important 4,th,-tier cities and west China, hence its market share in these developing areas are relatively higher than its share in the more developed areas.,KEY MESSAGES - PRODUCT/MARKET,10,SAMSUNG010605BJ-kickoff2,SIEMENS OFFERS A COMPLETE RANGE OF MOBILE SOLUTIONS INCLUDING DEVICES, INFRASTRUCTURE AND APPLICATIONS,Products,Now and future,Information and,communication,mobile,Siemens,product,offerings,Information and,communication,networks,Mobile network,Wireless home network & office network,Mobile handset,C2588 (small, light smart),S2588 (brain,truster,),3508 (small, light, sexy),3518i (tough enough),3568i (smart thinking),Broadband network,IP network,Fixed-line network,Transmission network,Office network,Cable network,Take TD-SCDMA mobile handsets to serial production level by 2003,Offer the complete range of mobile solutions including mobile devices, infrastructure and applications, e.g., wireless home network,Complete range of GSM, GPRS and UMTS mobile networks, unified messaging and mobile payment,Overall strategy of a universe of one, pursuingIP driven voice and data communication and customer-oriented end-to-end solution and services,Source:,Siemens,press release,11,SAMSUNG010605BJ-kickoff2,SIEMENS MODELS HAVE THE MOST COMPETITIVE PRICING,Source:McKinsey Analysis,Product positioning Dec 2000,A6188 (1.4%),8850 (1.8%),V8088* (3.9%),S800C (1.2%),A100 (0.8%),T28 (3.6%),8210 (4.6%),7.8%,21.9%,18.2%,52.2%,Business/professional,Personal,*WAP phone,Product positioning June 2000,9110,S800C (1.8%),V8088 (1.6%),8850 (1.7%),V998 (5.6%),3568* (0.5%),S600C (3.8%),7110* (0.9%),T28 (3.3%),8210 (3.7%),LF2000* (2.9%),6150 (1.8%),L2000* (4%),S2588 (1.8%),CD928 (1.1%),T18 (6.1%),T10 (1.2%),C2588 (3.2%),2188 (3.8%),L2088 (2.5%),3210 (2.2%),5110 (9.6%),368C (3.1%),3508 (1.6%),338C (0.6%),T2688 (4.8%),11.4%,17.4%,25.3%,45.9%,High,High-medium,Medium-low,Low,Business/professional,Personal,*WAP phone,V998+ (6.9%),7689i (1.8%),LF2000i* (1.7%),3568* (1.7%),7110* (0.3%),6150 (0.9%),600C (2.3%),3310 (6.8%),3518i (1.8%),T18 (3.3%),CD928 (0.1%),S2588 (0.2%),C2588 (0.1%),T10 (0.7%),T2688 (6.2%),3508 (3.9%),V2088 (1.0%),3210 (9.6%),5110 (5.9%),Retail price,High,High-medium,Medium-low,Low,Retail price,RMB 3,500,RMB 2,200,RMB 1,600,368C (2.3%),V2188 (1.3%),RMB 3,500,RMB 2,200,RMB 1,600,Red,- Nokia,White - Motorola,Blue,- Ericsson,Brown,- Siemens,Green,- Samsung,8250 (0.0%),6210 (0.6%),12,SAMSUNG010605BJ-kickoff2,SIEMENS TARGETS MID TO LOW END OF THE MARKET,High( RMB 3,500),Source:Sino-MR (Jan 2001 Feb 2001), CCID,Breakdown of unit sold by brand for each price point,Percent,High-mid(RMB 2,500-3,500),Mid(RMB2,000-2,500),Mid-Low(RMB1,500-2,000),Low (RMB1,500),Others,Siemens,Ericsson,Motorola,Samsung,Nokia,9%,15%,7%,Units as % of total,26%,43%,7,13,SAMSUNG010605BJ-kickoff2,Tier 1,Tier 2,Tier 3,Tier 4,Nokia,Motorola,Others,SIEMENS ALSO ADDRESSES THE IMPORTANT 4,TH,TIER CITY MARKET,Percent market share, 2000,Ericsson,Siemens,18%,19%,23%,40%,Tier size as % of total,100%=,Million units,6.7,7.0,8.5,14.8,Source: McKinsey Analysis,14,SAMSUNG010605BJ-kickoff2,SIEMENS IS RELATIVELY STRONG IN CENTRAL, EAST AND WEST,Market share by brands per geographic area, 2001,Percent,Market share by geographic area,Percent,East,Siemens,Ericsson,Samsung,Others,Nokia,Motorola,West,North,North-east,South,30,13,15,13,11,Central,18,Source:,GfK, McKinsey Analysis,15,SAMSUNG010605BJ-kickoff2,VALUE CHAIN STRATEGY,1.,Background information,Location,Registered capital,Managementteam,Equitystructure,Starting year,Number of employees,Era analysis,4.,Value chain strategy,5.,Organization and ownership,6.,Financial performance,Focus on,Marketing, advertising and promotion,Distribution (channel and sales force),Organization structure,Ownership structure,Sales,Profit,2.,Strategy,3.,Product/market,Mission,Vision,Corporate strategy,Market position,Key product offerings,Key customers,Value proposition,Geographic focus,Pricing,16,SAMSUNG010605BJ-kickoff2,Siemens,s value delivery system strategy has evolved since 1999. It has invested $1.5 billion in the Asian Pacific area as its Asian offensive campaign,Siemens,has spent a great effort in localizing R&D and manufacturing. It has built R&D centers in Beijing and Shanghai and has raised the mobile handset production capacity in Shanghai to 14 million units in 2001. It is a leader in TD-SCDMA 3G technology in China,Siemens,has achieved a market share of 12% in sales volume, after intensive marketing of new models with competitive pricing, and aims to increase its market share to 15%,Siemens,distributes through exclusive 1,st,-tier national reseller PTAC and 2,nd,-tier provincial resellers.,A uniform price level in the market is maintained nationwide to ensure healthy sales.,KEY MESSAGES - VALUE CHAIN STRATEGY,17,SAMSUNG010605BJ-kickoff2,SIEMENS VALUE DELIVERY SYSTEM HAS EVOLVED OVER THE YEARS,From. . . (1997),To. . . (2000),No R&D facility in China,No product localization,Production capacity in Shanghai,Pudong,(150,000),60% of products for Chinese market produced in Hong Kong,Brightpoint,handling over 90% of distribution,Market share less than 5%,Product,Production,Distribution,Marketing,High commitment to TD-SCDMA tests across China in 2001,Asian offensive campaign with US 1.5 billion investment in R&D and marketing until 2003,Production capacity in Shanghai has been raised to 14 million units from 10 million units in 2000,Uses different distributor (PTAC), but still only one nationwide,Market share 12% as a result of intensive marketing of new models with competitive pricing,Aims to increase,market share to 15%,Source: Interviews, McKinsey analysis,18,SAMSUNG010605BJ-kickoff2,SIEMENS INVESTS TREMENDOUS EFFORT IN EVERY PART OF THE VALUE CHAIN,R&D,Manufacturing and supply chain,Marketing and branding,Sales and distribution,Service,Strengths,R&D centers for mobile communication in Beijing and Shanghai with more than 500 engineers planned,Lead international forum in TD-SCDMA,Frequent introduction of new models,Continuously increase local production capacity and capability,Intensive marketing on new models with competitive pricing,Healthy sales through exclusive channel partner PTAC,Capable after-sales service with 100 service stations nationwide,Levers for improvement,Lacks capability in W-CDMA and CDMA 2000,Fully dependent on single national distributor,Source: World computer journal, McKinsey analysis,19,SAMSUNG010605BJ-kickoff2,SIEMENS VALUE DELIVERY SYSTEM IS ORGANIZED AROUND PRODUCT LINES WITH MULTIPLE CUSTOMER INTERFACES,Value delivery system,Customer interfaces,IC Mobile and IC Network communicate with the same telecom operators separately, with “multiple faces”,Source: McKinsey analysis,20,SAMSUNG010605BJ-kickoff2,SIEMENS DISTRIBUTES THROUGH EXCLUSIVE NATIONAL RESELLER PTAC,Source: IDC,Rationales,Siemens,partners with PTAC, taking advantage of their streamlined and efficient distribution channels. PTAC is selected as the exclusive national distributor due to resources and image.,A uniform price level in the market is maintained nationwide to ensure healthy sales,Siemens,Channel Structure,Rely on both 1,st,-tier national reseller PTAC and 2,nd,-tier provincial resellers,Devote much attention to low-tier city market,Vendor,1,st,-tier resellers,Consumers,2,nd,-tier resellers,Retailers/retail chain stores,12%,9%,79%,67%,12%,67%,12%,21%,21,SAMSUNG010605BJ-kickoff2,ORGANIZATION AND OWNERSHIP,1.,Background information,Location,Registered capital,Managementteam,Equitystructure,Starting year,Number of employees,Era analysis,4.,Value chain strategy,5.,Organization and ownership,6.,Financial performance,Focus on,Marketing, advertising and promotion,Distribution (channel and sales force),Organization structure,Ownership structure,Sales,Profit,2.,Strategy,3.,Product /market,Mission,Vision,Corporate strategy,Market position,Key product offerings,Key customers,Value proposition,Geographic focus,Pricing,22,SAMSUNG010605BJ-kickoff2,With a large product portfolio covering information and communication and home appliances etc.,Siemens,s organization is product focused with clear lines of P&L responsibilities,Siemens,has over 50 JVs and,WOFEs,in China with large commitments in telecommunication.,Siemens,Shanghai is devoted to mobile communication including mobile handsets,Siemens,s joint ventures are managed under their own global BU, and,Siemens,China, the holding company, coordinates and provides shared services for the global BU activities in China,Siemens,is starting to centralize sales and marketing to better handle solution sales, and the goal is to consolidate all marketing and sales functions under,Siemens,directly,KEY MESSAGES - ORGANIZATION AND OWNERSHIP,23,SAMSUNG010605BJ-kickoff2,WITH A LARGE PRODUCT PORTFOLIO, SIEMENS TENDS TO BE MORE PRODUCT FOCUSED WITH CLEAR LINES OF P&L RESPONSIBILITY,Organization structure,P&L responsibility,ICM manager for information and communication mobile,ICN manager for information and communication network,Driving factors,In order to meet the trend of technological merging in Information and Communication field, the new,Siemens,business group - Information and Communication mobile (ICM) started its operation in April 1, 2000.,ICM handles the entire mobile telephone business, with regard to both communications terminals (mobile and wired phones, mobile organizers and digital products) and mobile phone networks (products and services for mobile communication and intelligent networks).,Source:,Siemens,press release, McKinsey analysis,24,SAMSUNG010605BJ-kickoff2,SIEMENS HAS OVER 50 JVs OR,WOFEs,IN CHINA, AMONG WHICH SIEMENS SHANGHAI IS DEVOTED TO MOBILE HANDSETS,Siemens,China,Beijing international switching systems,BISC,Siemens,transmission systems Guangzhou,(STSG),Xin,De telecom,international ventures,(TIV),Siemens,Shanghai,Mobile communicating (SSMC),Shanghai,Siemens,business communication system,(SBCS),Main drivers,To be close to customers,To be in line with government policies,To become Chinese company for Chinese people,40%,With Guangzhou,Nanfang,photoelectrical,telecommunication,60%,Beijing wire communication.,Beijing telephone authorities,Beijing comprehensive investment,Shanghai,Aijian,Shanghai,Xinguang,With Shanghai video and Audio,Electronics, Shanghai,Post and telecommunication,51%,Establish,year,Product,offering,1990,EWSD,switching,1993-1994,Transmission,systems,(PDH, SDH,DWDM),1994,Finance leasingand consulting,Hicom,300 switching system,GSM mobile networks and,mobile handsets,MPTs First Research Institute,1993,1993,Not Exhaustive,Source:,Siemens,press release,25,SAMSUNG010605BJ-kickoff2,SIEMENS HAS MADE LARGE COMMITMENTS IN TELECOMMUNICATION IN CHINA,JV company,Year of contract,Planned investment (,mDM,),Siemens,share (%),Chinese partner (share),Business scope,Beijing International Switching Systems Co., Ltd.,Siemens Fibre,Optic Cables Ltd,Chengdu,Siemens,Shanghai Mobile Communication Ltd.,Guangzhou,Nanfang,Transmission Systems Ltd.,Siemens,Telecom Power Supply Ltd. Shanghai,Xin,De Telecom International Ventures Co. Ltd.,Siemens,Business Communication Systems Ltd. Shanghai,Siemens,Shanghai Communication Terminals Ltd.,Siemens,Optical Fiber Cables Ltd.,Chengdu,90,98,93,93,94,93,95,94,90,54.5,50,15,35,45,40,50,51,60,50,Beijing Wire Communication Plant 25,Beijing Telephone Authorities 25,Beijing Comprehensive Investment Co. 10,Chengdu Fibre,Optic Cable Factory (CDC),The town of Shanghai; The Ministry for post and Telecommunications,Guangzhou,Nanfang,Photoelectrical Telecommunications Equipment Factory,Shanghai,Aijian,Company Ltd. 21,Shanghai,Xinguang,Telecommunications plant 28,Shanghai Video and Audio Electronics Co., Ltd. 40,Chengdu,Telecommunications Cable Co., Ltd 50,EWSD manufacturing and distribution,Fibre,optic cable,GSM mobile radio networks and terminals,Transmission equipment (e.g. PDH),Power supply for telecom systems,Technology Training,Hicom,300,Telephone and Telecommunication terminals,Loose tube optical fiber cable,Source:,Siemens,press release,26,SAMSUNG010605BJ-kickoff2,FINANCIAL PERFORMANCE,1.,Background information,Location,Registered capital,Managementteam,Equitystructure,Starting year,Number of employees,Era analysis,4.,Value chain strategy,5.,Organization and ownership,6.,Financial performance,Focus on,Marketing, advertising and promotion,Distribution (channel and sales force),Organization structure,Ownership structure,Sales,Profit,2.,Strategy,3.,Product/market,Mission,Vision,Corporate strategy,Market position,Key product offerings,Key customers,Value proposition,Geogr
展开阅读全文