Wowprime A Strategic Dilemma in Diversification on the Chinese Mainland Terence Tsai Qiong Zhu Yunlu Zhang
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I am a Wowprime customer who works in the Chinese mainland. Wowprime has developed into a world leader in the field of social commerce. They have been successful with social commerce in China, but now their business in the United States has grown rapidly, and they are expanding into other regions, such as Japan and the United Kingdom. It’s a dilemma for Wowprime. On the one hand, they could continue to build their business in China, and they could use it as a launchpad for expansion. On the other hand, they could pursue
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In my previous essay, I addressed the strategic dilemma posed by Chinese multinational companies (MNCs) in the Chinese Mainland by diverting their resources from their home market to gain competitive advantage in global markets. In this essay, I revisit the matter, but this time taking the perspective of two leading Chinese MNCs in the technology and telecom industries: Wow! Inc. And Xiaomi Corporation. Both Wow! and Xiaomi aim at capturing a larger market share in a rapidly-
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I wrote a case study on the Chinese Mainland for Wowprime: a diversionary move in my diversionary move, with a twist. As a small company, it is a risky and daring move for a large corporation, but for me personally, I have always admired the way they have handled risks. The decision was made with a lot of discussion and analysis. The main risk was the impact on Wowprime’s image, which I considered to be too important to be left in a position of weakness. I had to make sure
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Wowprime A Strategic Dilemma in Diversification on the Chinese Mainland is a marketing brand that specializes in innovation, customer experience, and customer engagement. I’ve been the Chief Marketing Officer for Wowprime for over 10 years and I’m happy to share my personal experience and honest opinion. Firstly, the Chinese Mainland is one of the most significant emerging markets in the world. It has the most vibrant consumer culture and is home to the largest population. As a consequence, Chinese consum
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In 2015, Wowprime Inc, an IT service provider in China, faced a significant business crisis as its core clients started to shift from a marketing-driven to an IT-driven business. Apart from losing many new projects, the company also experienced a massive decrease in revenue from its existing contracts. Furthermore, the company’s share price dropped by 70%, and many of its shareholders complained of underperformance. Wowprime faced two primary challenges in this situation. The first challenge was that the IT
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Due to the economic slowdown on the Chinese mainland, Wowprime is struggling in the PRC market. The company has made two key acquisitions to diversify the business: Fengjian Technology (an IT technology provider) and XYZ (a sports marketing agency). However, the PRC market has been slowing down, and they can’t maintain the investment in these acquisitions, and the revenue from the acquisitions has been low. The company has also encountered high inventory losses from their supply chain, which has caused
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