Haier targeted towards specific areas of the world.

Haier (Haier Group Corporation) originally Chinese brand that was focused on tendering their local market. Haier was previously known as Qingdao Refrigerator Company (Haier Group Corporation, n.d). Haier was in debt and producing very few refrigerators in the 1980s (Fischer, B., Lago, U., & Liu, F., 2015). Haier then hired Zhang Ruimin to be managing director; Zhang went to their warehouse and destroyed all faulty refrigerators (Fischer, B., Lago, U., & Liu, F., 2015). At the time their local market was competing in a price war over refrigerators, for this reason low costs means low quality products. The message from this day forward was to ensure the quality of the product they were selling. Haier received a complaint that their washing machine was not performing to the standards Haier is held to, upon inspection it was because vegetables were being washed in the machine (Fischer, B., Lago, U., & Liu, F., 2015). Thus, Haier adapted and released a vegetable washing machine for this new market. Haier capitalizes on the need of humans and making their lives easier. Haier started to adapt products for small areas with very little competition, just like the vegetable washing machine. Haier launched a mini fridge after assessing the needs of college students and their small (dorm) living space. (Haier Group Corporation, n.d). Haier would asses an area, see the needs and innovate a product to solve those issues. Haier was making what is referred to niche products (Fischer, B., Lago, U., & Liu, F., 2015). Products that were specific to issues arriving in everyday life targeted towards specific areas of the world. A culture challenge that Haier faced was initially was being able compete with local companies selling products for lower prices or with more reputation. As a global company, Haier is a successful one. Haier expanded beyond their initial domestic market by identifying the needs of other markets. Haier then positioned themselves in markets with the least competition while building the brand up. Overtime as Haier rised globally they expanded and added factories across the globe. Haier can manufacture their product even more specific to the region by having plants in the country. Thus, making Haier an example of a successful global company.

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