The China Factor

The China Factor

by Amy Karam, Ken Wilcox
Released June 2016
Publisher(s): Wiley
ISBN: 9781119274018

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Book description

The Innovation of Globalization – proven strategies to succeed and out-compete emerging competition

Does your company know how to compete effectively in the evolving global business arena? What tactics must your company use to overcome price discounting wars that cut into your margins? What are the strategies your new rivals incorporate that may prove more valuable to customers than the superior products you offer?

The China Factor equips Western businesses with a practical framework for competing successfully in today’s ever-changing global markets. Written by an expert in competitive strategy and global market expansion, this book is packed with insights gained through first-hand experience leading competitive programs at a high-tech multinational corporation and extensive research. 

When it comes to globalization, the rules have changed—what was once nice-to-know is now need-to-know, and this book lays it out in a clear, no-nonsense style. Based on cases with over 50 countries, you will learn why a premium product, though domestically successful, may not be well received in foreign markets. You’ll also discover the critical factors that contribute to success in both emerging and established markets. Disruptive competitors are transformed from threats to examples as you learn to recognize opportunities for re-evaluation, and shift your strategy to stay ahead of the curve.

The economic rise of China and other new entrants is challenging Western companies in new ways. This book explains why, and provides actionable strategies for success in any market.

  • Grow and maintain an Innovation Advantage using 5 models
  • Learn from disruptors how to win your emerging markets customers
  • Understand the power of politics in business
  • Develop a deeper Culture IQ to expand your customer base
  • Use a 5-part Strategic Framework to formulate new sales tactics

You’re already well-aware of the global threat to Western business, and endless analysis only goes so far toward a solution. You need to know how to respond, survive, and thrive, and just how to regain the competitive edge. The truth is that Western companies must change they way they do business, and push innovation beyond the product and into every aspect of every operation – they need to be innovative in how they do business abroad. The China Factor provides a clear action plan, and case studies from global leaders like Cisco, Xiaomi, and Apple with insightful strategies for changing and winning the game.

Endorsements

“The China Factor is right on the mark. It addresses a real need, one that very few others are tackling—the action that US and other Western-based companies can take in response to the China challenge. Global competitiveness is a huge problem for the West and companies are ill-prepared.The China Factor goes beyond what other books do, providing an important, insightful, and practical prescription on how companies can shift their strategy…”

— Ken Wilcox, former CEO and chairman, current Chairman Emeritus, Silicon Valley Bank

“The China Factor’s case studies and practical resources make this book a must-read for any corporation that wants to win globally, particularly as innovation is being redefined.”

—SIMON KHALAF, SVP, Yahoo Inc.

“The China Factor provides a new strategic framework and an essential set of marketing guidelines for Western companies that have to compete or partner with Chinese firms in OECD countries, China or emerging market countries.”

—DR. RAYMOND LEVITT, Kumagai Professor of Engineering, and Director, Global Projects Center, Stanford University

“High tech

Table of contents

  1. Cover
  2. Series Page
  3. Title Page
  4. Copyright
  5. Dedication
  6. Foreword
  7. Introduction
  8. Section I: State of Affairs
    1. Chapter 1: The Art of War…and Money
      1. China Has Risen and Is Here to Stay
      2. A Wake-Up Call for the West
      3. A New Global Paradigm of Business
    2. Chapter 2: East and West: The Current State of Affairs
      1. The Western World Has Dominated with a Position of Strength
      2. The (Perceived) Role of the East: Areas of Strength and Specialization
    3. Chapter 3: How China Came Up the Ladder (and So Quickly)
      1. Factors Contributing to China's Rapid Success and Growth
      2. And Then the Shift Began…
    4. Chapter 4: The West No Longer Rules
      1. Melding of Positions
      2. China Today
      3. The West Today: What's Wrong?
      4. But It's Not Game Over Yet for the West…
    5. Chapter 5: Introduction to the Marketing Framework for Our Analysis
      1. Understanding How to Position Your Market Offering
      2. Framework for Analysis
  9. Section II: China
    1. Chapter 6: How the Chinese Do Business à la the 5Ps: A Brief Summary
      1. Product (Solution and Innovation)
      2. Price (Value-Add)
      3. Place (Partnerships)
      4. Promotion (Customer Relationships and Culture)
      5. Politics
    2. Chapter 7: Market Segmentation and Target Market Selection + China's Market Penetration Approach
      1. Step 1: Market Segmentation
      2. Step 2: Target Market Selection
      3. General Barriers to Market Entry
    3. Chapter 8: China: Product => Solution and Innovation
      1. Product Superiority Does Not Always Win the Deal…
      2. Sometimes It's the Free Fries and Extra Ketchup, Not the Burger: The Solution Approach
      3. Plagiarism Is the Sincerest Form of Flattery
      4. Pleasing the Customer: Always Say Yes to Customization
      5. Innovation
    4. Chapter 9: China: Price => Value-Add
      1. Free! (Try to Beat That!)
      2. Loss-Leader Approach as Part of Market Penetration Strategy: Discounting Till Death
      3. Strategic Accounts: Must-Win Battles…or Buy Them
      4. Chickens for Routers: The Barter System Is Alive and Well
      5. Financing: Can't Afford It? No Problem!
    5. Chapter 10: China: Place => Partnerships
      1. How They Sell: Selling Direct versus via Partners
      2. Partnerships and Alliances: Coopetition
      3. Alliances
      4. Challenges
    6. Chapter 11: China: Promotion => Customer Relationships and Culture
      1. Customer Relationships
      2. Communications
    7. Chapter 12: China: Politics => The 5th P—The Geopolitical Dimension
      1. Politics: The Geopolitical Dimension
      2. Nationalistic Philosophy—Venturing Out with Team China
      3. A Partnership Approach
      4. Countries with Resources
      5. Ethics and Boundaries: Unfair Trade Practices
      6. Security Concerns
  10. Section III: The West
    1. Chapter 13: Recommendations for the West and Application of the 5Ps
      1. Recommendations for the West
      2. The 5Ps of Global Marketing
    2. Chapter 14: The West: Product => Solution and Innovation
      1. Product Superiority Doesn't Always Win
      2. One Size Does Not Fit All
      3. Evolve Your Offers into Solutions: Free Fries and Extra Ketchup (Remember?)
      4. Develop Targeted, Market-Appropriate Products
      5. Rapid Time-to-Market
      6. Product Development Efficiencies
      7. Positioning of Your Product and the Message You Send
      8. Compete Hard
    3. Chapter 15: The West: Price => Value-Add
      1. The Discounting Game (Don't Go There—Compete on Value)
      2. Learn How to Position Your Premium Pricing
      3. Sell Like a Company, Not Like a Business Unit
      4. Get Creative and Think Holistically Early in the Negotiation
      5. Price According to Customer's Propensity to Pay
      6. Offer Financing Options as Differentiators
      7. Combat Unfair Pricing
    4. Chapter 16: The West: Place => Partnerships
      1. Selling Direct versus through Partners—Know Your Customer's Preference
      2. Partners Are Key and So Is Your Involvement
      3. Place and Presence
    5. Chapter 17: The West: Promotion => Customer Relationships and Culture
      1. (Really) Know Your Customer by Knowing Their Culture
      2. Know Your Competition
      3. Know Yourself
      4. Analyze Using the Customer Profile
      5. Build Relationships at All Levels
      6. Help Your Customer Get to Yes More Quickly
      7. Practice High-Touch Customer Relations
      8. Adopt a Longer-Term View and Approach
    6. Chapter 18: The West: Politics => The Geopolitical Dimension
      1. Using the Corporate Government Affairs (GA) Group in Your Company
      2. Government Regulatory Barriers That Hinder Competitiveness Overseas
      3. The U.S. Department of Commerce (or Your Country's Equivalent) Is There to Help You
      4. Fair Trade Is in the Emerging Entrants' Best Interest, Too
    7. Chapter 19: Innovation Models: West and East
      1. Introduction
      2. Is the United States Losing Its Innovation Edge?
      3. Being Strategic about Innovation
      4. Innovation Models
      5. Traditional/Sustaining Innovation
      6. Disruptive Innovation
      7. Market-Targeted Innovation for Emerging Markets (Reverse Innovation)
      8. Business Model Innovation
      9. Process/Supply Chain Innovation
    8. Chapter 20: The West: Positioning
      1. The 5Ps of Global Marketing Framework
      2. So, How Do You Compete (in Global Markets with Emerging Entrants)?
      3. Value-Selling
      4. Get Started!
  11. Section IV: Case Studies
    1. Chapter 21: Frenemies: If You Can't Beat Them, Join Them
      1. CASE STUDY: CISCO
      2. Product => Solution and Innovation
      3. Price => Value-Add
      4. Place => Partnerships
      5. Coopetition Outcomes: Playing in Each Other's Sandboxes
      6. Promotion => Customer Relationships and Culture
      7. Politics
      8. CASE STUDY: XIAOMI
      9. Product => Solution and Innovation
      10. Price => Value-Add
      11. Place => Partnerships
      12. Promotion => Customer Relationships and Culture
      13. Politics
      14. Cross-Pollination Innovation
      15. Global Expansion
      16. Disruptive Innovation Approach
      17. CASE STUDY: Pinnacle Engines
      18. Product => Solution and Innovation
      19. Price => Value-Add
      20. Place => Partnerships
      21. Promotion => Customer Relationships and Culture
      22. Politics
  12. Conclusion
  13. Acknowledgments
  14. Appendix A
  15. Appendix B
  16. Bibliography and Further Reading
  17. About the Author
  18. Index
  19. End User License Agreement

Product information

  • Title: The China Factor
  • Author(s): Amy Karam, Ken Wilcox
  • Release date: June 2016
  • Publisher(s): Wiley
  • ISBN: 9781119274018