Huawei Strategy Case Study
Key Learning Outcomes
- Understand what the BCG (Growth-share) matrix is.
- Analyse the various strategic business units in Huawei's portfolio and assess which ones are the stars and cash cows generating the most value, or the question marks, and dogs that may need further investment or divesting to achieve a balance of the portfolio.
- Apply strategy business models and frameworks such as the BCG matrix to real company cases.
1.0 INTRODUCTION
Huawei has four major strategic business units (SBU’s) namely; the Carriers SBU, Consumer SBU, Enterprise and the Cloud services. In 2017, Huawei’s revenue grew at a CAPR of 26% from $75,103million in 2016 to $92,549million in 2017 with a $7,276million net profit (Huawei Annual Report 2017).