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Case analyze of "Shanzai! MediaTek and the "White Box" Handset Market" Synopsis: Shanzhai Media Tek is a power house in the generation of handset. This has advanced through the several process and steps in technology. The first handsets that were produced by the company were the first generation 1G phones. They were synonymous because of the verity that they utilized analog transmission. However, the advancements in technology have since rendered analog transmission obsolete. This has been marked by the introduction of second generation phones, (2G phones). However, the connectivity, especially with regards to internet proved to be slower. This prompted the introduction of third generation …show more content…
This is because of the verity that the company controls 1.3 billion of the global exports in wireless chipsets. Moreover, the company is assumed to be the third largest producer and export of chipsets in the global market. Furthermore, the colonization and adoption of CD-Rom meant that the company acquires a 50% of the market share. Operational analysis: The Company enjoys an economics of scale based on the fact that it allows for the exportation of cheap wireless chipsets. This is unlike other competitors like HTC, Nokia, Research in Motion, LG who prioritize on the quality and pricing of their chipsets. Media Tek has a vast capacity of production in the sense that it produced 80 million exports in the first quarter of 2009 (Cooke 112). Moreover, it is noted that it produced 100 million in the second quarter of 2009. This is an indication that the capacity of production for the company is massive. Marketing and competitive position: The Company has majored in the production of china white box handsets. The target market for which the handset has been sold has been in China. This is the area that has attracted most of the purchasers of the white box handset. The sales and marketing share of Media Tek have been on an upward trend. This is especially because of the colonization of the CD-Rom controllers (Stobbs 116).