UTStarcom in China
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This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.
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Abstract:
The business operations of US-based UTStarcom, a leading manufacturer of
telecommunication equipment, grew rapidly in China since 1995. The company's
revenues in 1995 were $10 million, which grew to $2.7 billion by 2004. This
case describes the business opportunity that UTStarcom identified and
exploited in the Chinese telecom markets, mainly because of its highly
successful product - Personal Access System (PAS). An account of various
strategies adopted by the company to manage its rapid growth is presented.
Finally, the case describes the challenges facing UTStarcom as a result of
maturing market for PAS and the measures taken by the company to overcome
these challenges. The case highlights the benefits and drawbacks of an
organization's single product, single market strategy.
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Issues:
» Develop an understanding of the Chinese telecommunication industry
» Understand how companies can exploit business opportunities in China » Analyze strategies pursued by companies to manage rapid growth » Understand the benefits and risks involved in a single product, single
market strategy
Contents:
Keywords:
UTStarcom, Personal Access System (PAS), Networking Solutions, Wireless in
Local Loop (WLL), Global System for Mobile Communications, 3G, Chinese
Telecom Industry, Chinese Ministry of Information Industry and Voice-over
Internet Protocol.
UTStarcom in China
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