Industry Market Leaders
Some industries exist within the world market. Such industries compete for their market niches. Each of these industries has their strengths and weaknesses. Notably, depending on the level of competition, each of the industries has market leaders within each of the sectors. The purpose of this paper is to examine one of the industries ranked the most global from Statista’s Website, provide an overview of the industry, the competition within the industry while describing the leaders in the market, and examining the characteristics that make the industry to be the most global.
The industry viewed as the most global is the smartphone industry. According to Facts (2017), smartphones have utilized advanced technology in the development of mobile phones and more advanced computer-related devices, which are used in daily activities. According to Cecere, Corrocher and Battaglia, (2015), the smartphone industry has developed and thrived since the introduction of the devices in the market. Worldwide statistics have shown that shipment of smartphone devices is projected to augment by a margin of $1.71 Billion by the year 2020. Moreover, estimates indicate that by the year 2018, a total of almost 2.53 billion people in the world will own a smartphone. For instance, Facts (2017) depicts that within the 2016 fiscal year, the market size in China, has major smartphone vendors including Apple, Huawei, Oppo, and Vivo. The niche had more than $133.6Billion. The smartphone industry, therefore, is important to the majority of the people in the world, ranging from the business setting, hospitals, and schools.
Competitive Environment of the Industry
Samsung Electronics Company
Samsung company is among the most competitive firm within the smartphone industry. According to Smith-Ditizio, and Smith, (2017), the market cap of Samsung Company as at September 2017 was $341.89 Billion. The company’s latest smartphone device developed is the Samsung S8 and S8+, which have utilized advanced technology, assisting the firm to obtain a competitive edge as opposed to the other businesses. Samsung Company is currently the leader in the smartphone market, after 48 years in the market.
Apple Inc. is another technology-oriented firm engaging in the smartphone industry. According to Yang, Nam, and Kim, (2017), the company has had a competitive edge over the other businesses for lon. It however faces competition from Samsung’s technology and smartphone devices. With 41 years of experience, Apple Inc. offers stiff competition to other market leaders.
With over 30 years of experience, Huawei Company has had a competitive edge enough to subdue Apple Inc. from the second position on the market leaderboard. The company uses the Android operating system on its devices. The firm has developed products that suit the customer needs. Its devices are relatively cheaper relative to leaders in the market industry, that is, Samsung and Apple Inc. (Cao, 2017).
Characteristics making the Industry one of the most Global
The smartphone industry is among the leading markets in the global environment due to some reasons. According to Rothaermel (2016), with the use of smartphone devices, businesses are conducted globally and with just clicks on the mobile devices (Lemoyne & Mastroianni, 2015). The smartphone industry has helped ease the communication of people globally, thereby improving how business operations are conducted. Moreover, the smartphone devices are more of personal computers, which assist in almost all aspects that computers undertake. The size of the devices as well as small and easy to carry in pockets and bag packs (Nam, Nam, & Kim, 2015). These characteristics ease how these smartphones are operated and how they assist the users of the same in achieving the different daily operations. In this regard, since the devices can connect to the internet at any point, they are useful and readily usable, thereby taking much of the global market (Pon, Seppälä, & Kenney, 2015).
Is the environment Chaotic? Why or why not?
Within the smartphone industry, it is predicted that Chaos exists within the market. Majority of the market members and leaders shift on assuming market leadership and competitive advantage (Tetenbaum, and Laurence, 2011). In the course, every competing company is responsible for developing strategies and smartphone products that are efficient and meet the needs of customers. As such, the industry environment is chaotic and highly competitive.
The discussion has shown that multiple industries exist within the world market. Such sectors compete for their market niches. Smartphone industry is viewed as one of the most global. Worldwide statistics have shown that shipment of smartphone devices is projected to increase by a margin of $1.71Billion by the year 2020. Moreover, estimates evidence that by the year 2018, a total of almost 2.53 billion people in the world will will own a smartphone. The three leading competitor in the smartphone market include Samsung, Apple Inc., and Huawei. The characteristics of the smartphone industry are that the devices are cheap, light in weight, easy to use, and can be utilized in all departments and situations. Therefore, the smartphone industry is competitive and among the most global.
Cao, X. (2017). Marketing Strategies of Chinese Mobile Phone MNCs in the European Market:-A Case Study of Huawei.
Cecere, G., Corrocher, N., & Battaglia, R. D. (2015). Innovation and competition in the smartphone industry: Is there a dominant design? Telecommunications Policy, 39(3), 162-175. From https://pdfs.semanticscholar.org/babd/09f51968ce5bc4bd531509d005f07c1b8398.pdf
Facts, S. (2017). Topic: Smartphone industry analysis. Available at: https://www.statista.com/topics/840/smartphones/
Lemoyne, R., & Mastroianni, T. (2015). Use of smartphones and portable media devices for quantifying human movement characteristics of gait, tendon reflex response, and Parkinson’s disease hand tremor. Mobile Health Technologies: Methods and Protocols, 335-358.
Nam, S., Nam, C., & Kim, S. (2015). The impact of patent litigation on shareholder value in the smartphone industry. Technological Forecasting and Social Change, 95, 182-190. From https://pdfs.semanticscholar.org/9790/26025bcf50335c146a97968217ee583216be.pdf
Pon, B., Seppälä, T., & Kenney, M. (2015). One ring to unite them all: convergence, the smartphone, and the cloud. Journal of Industry, Competition and Trade, 15(1), 21-33. From http://amr.aom.org/content/40/3/423.full
Rothaermel, F. T. (2016). Competitive Advantage in Technology Intensive Industries. In Technological Innovation: Generating Economic Results (pp. 233-256). Emerald Group Publishing Limited.
Smith-Ditizio, A. A., & Smith, A. D. (2017). Samsung Company and an Analysis of Supplier-Side Supply Chain Management and IT Applications. In Encyclopedia of Information Science and Technology, Fourth Edition (pp. 5570-5582). IGI Global.
Tetenbaum, T., & Laurence, H. (2011). Leading in the chaos of the 21st century. Journal of Leadership Studies, 4(4), 41-49.
Yang, S. H., Nam, C., & Kim, S. (2017). The effects of M&As within the mobile ecosystem on the rival’s shareholder value: The case of Google and Apple. Telecommunications Policy.