2013年11月10日星期日

When will the ten years of resentment end?

However, in fact Cisco started the first war against Huawei in the name of intellectual property rights as early as 2003. Cisco was looking one way and rowing another, trying to keep Huawei's  growth momentum within limits through lawsuit. The villain's design is obvious. Cisco was impairing Huawei's market competitiveness. The result was that the two parties reached a settlement agreement. However, both sides knew that it was just a beginning of the game. After 10 years, in 2012, the United States refused Huawei to enter the country again, for the reason of safety. To my understanding, even though America is the most powerful and proud, and with the most global competitive edge in hi-tech area, it has to adopt the political means of Cold War mentality to protect itself and strike the competition. This act indicates that Chinese enterprises are growing and developing continually and becoming a power that cannot be neglected in the market.

In April, 2013, after several attempts without a result, Huawei declared formally to give up American market, turning his eyes to other developed countries. Twelve years' endeavor came to nothing.

As a Chinese, I feel regretful for Huawei, meanwhile, I believe that the reason why Huawei and Cisco got to where they are today is not occasional. At the present, the result of competition between enterprises cannot be decided only by whether the product is good or not. It is the brand  that have become the entrepreneurs' focus of attention. We bring in the concept of strategic brand management and reflect on how to improve the quality of the brand itself, so as the customers can identify themselves and we can distinguish our products from those of our competitors.

Therefore, in the coming month, we will analyse the two brands of Huawei and Cisco systematically with what we have learned. If possible, we may boldly offer some recommendations for improvement for the two companies, according to the analysis result. After all, Huawei's provisional retreat does not represent the end of the war. No one can predict what the future will be. Moreover, it is impossible that the resentment between Huawei and Cisco during the ten years be defused with a smile. 


Sources:
1. Open innovation VS closed conservativeBlogChina2011
http://zt.blogchina.com/2012zt/skhwzz/index1.htm

2. Huawei VS CiscoSmoke of gunpowder rises again Hexun Nov 112012
http://news.hexun.com/2012-11-01/147477961_2.html


SUN Jiawei



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