International Brand Management of Chinese Companies Case Studies on

This book is a must read for all those interested in building successful global brands and for all those interested in China and Chinese companies - A strange combination? No. Based on extensive research and interviews with Lenovo, Haier, TCL, Hisense and

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Sandra Bell

International Brand Management of Chinese Companies Case Studies on the Chinese Household Appliances and Consumer Electronics Industry Entering US and Western European Markets

Physica -Verlag A Springer Company

International Brand Management of Chinese Companies

Sandra Bell

International Brand Management of Chinese Companies Case Studies on the Chinese Household Appliances and Consumer Electronics Industry Entering US and Western European Markets

Physica-Verlag A Springer Company

Author Dr. Sandra Bell Trappenbergstr. 35 45134 Essen Germany [email protected]

ISBN 978-3-7908-2029-4

e-ISBN 978-3-7908-2030-0

DOI: 10.1007/978-3-7908-2030-0 Contributions to Economics ISSN 1431-1933 Library of Congress Control Number: 2008923751 © 2008 Physica-Verlag Heidelberg zgl. Dissertation der Mercator School of Management, Universität Duisburg-Essen, Germany This work is subject to copyright. All rights are reserved, whether the whole or part of the material is concerned, specifically the rights of translation, reprinting, reuse of illustrations, recitation, broadcasting, reproduction on microfilm or in any other way, and storage in data banks. Duplication of this publication or parts thereof is permitted only under the provisions of the German Copyright Law of September 9, 1965, in its current version, and permissions for use must always be obtained from Physica-Verlag. Violations are liable for prosecution under the German Copyright Law. The use of general descriptive names, registered names, trademarks, etc. in this publication does not imply, even in the absence of a specific statement, that such names are exempt from the relevant protective laws and regulations and therefore free for general use. Cover design: WMXDesign GmbH, Heidelberg Printed on acid-free paper 987654321 springer.com

Foreword

China is certainly doing its best to keep the world mesmerized by its economic achievements. The Chinese economic growth story that begun 30 years ago has in terms of dynamics and duration long since surpassed all those “economic miracles” which have brought Germany, Japan, and the South East Asian Tigers into the top–league of the industrialized world. The rapid expansion of the Chinese economy has gone along with a fullfledged re-integration of China into the global economic system. In the course of the last 30 years China has become a major player in the global economy and today is on a trajectory towards even greater prominence. In recent years, the Chinese economy seems to have reached an important threshold line of economic development and global integration. In the first quarter century of reform and global opening, Chinese enterprises have been largely confined to a ‘passive’ role in the global division of labor. Foreign enterprises as the proprietors of greatly superior business models, production technologies, management models as well as very competitively established brands have been integrating Chinese players in their value chains and global operations. Lacking the necessary production techno