In today's times, due to the increase in economy, productivity, and social productivity, it has already changed from the seller's market to the buyer's market, consumers are faced with a variety of choices, so consumer loyalty is getting lower and lower. This poses a huge challenge to the marketing of a company. Scholars and companies have proposed many solutions to solve this challenge, among which relationship marketing theory and strategy is one of them. There are many enterprises that have achieved some success in applying relationship marketing theory, among which Chinese Huawei is such a company. The purpose of this paper is to study Huawei's relationship marketing strategy and evaluate its relationship marketing strategy to provide a valuable template for other companies to apply relationship marketing strategies. This article first describes how Huawei uses relationship marketing strategy to build relationships with governments, suppliers, and competitors. Then according to the 4R theory, it introduces how Huawei establishes the relationship between the enterprise and consumers. Finally, it evaluates the advantages and disadvantages of Huawei's relationship strategy and proposes recommendation on how Huawei improves its future relationship marketing strategy.
2.0 Main body主體
2.1 Relationship marketing between Huawei and governments華為與政府的關系營銷
Huawei is the world's leading manufacturer of communications equipment. Its annual revenue exceeds 100 billion US dollars, of which more than 70% comes from the international market (Dambrāns, 2016). Therefore, for Huawei, maintaining good relations with governments is very important for its competition in the international market. The status quo of Huawei's relationship with governments can be divided into three levels. First, Huawei has a good relationship with governments in various developing countries, because Huawei can provide products with low prices and high quality to meet the needs of developing countries for high technology communication products. Second, the relationship between Huawei and the governments of developed countries represented by the United States and Australia is very bad, because these governments believe that the use of Huawei products may endanger their national security, and therefore they refuse Huawei to enter their domestic market. Therefore, Huawei’s investment and sales in these countries are very bad. Finally, the relationship between Huawei and the developed economies represented by the EU is in a delicate state. On the one hand, they allow Huawei to invest and sell in the EU. Huawei has also achieved great success in the EU, earning a lot of profits, and On the one hand, the EU government also imposes some sanctions and warnings on Huawei. For example, Huawei has faced dozens of lawsuits in the UK and been imposed fines of more than 10 billion (Fan, 2017), this has given Huawei a certain degree of obstruction in its development in these areas.
The EU is the most important source of economic income for Huawei. 50% of its international revenue comes from the region. Therefore, it is very important for Huawei to do a good job in maintaining a good relationship with EU governments. The measures taken by Huawei in this area mainly include the following three aspects. First, before the EU filed an anti-dumping lawsuit against Huawei in 2010, Huawei never met with European governments. After the EU filed the case, the company began to deal with European governments to explain and communicate. In the end, the EU withdrew its allegations of anti-dumping against Huawei. Since then, Huawei has attached importance to strengthening communication with EU governments and letting the governments understand Huawei's strategy, products, plans, etc., which has reduced the governments’ vigilance against Huawei and gained more trust of the governments for Huawei. Second, Huawei began to get rid of the past market competition strategies and means, making its management and marketing behavior more in line with regulations provided by local governments. For example, in the summer of 2012, Huawei encountered low-cost dumping in the EU, through communicationg with European governments, finally, by way of price increases, Huawei allowed the EU to lift the allegations (Luo, Cacchione, Junkunc and Lu, 2012). Now, prices of Huawei's products in the European market are comparable to that of Ericsson, and slightly higher than that of Alcatel and Nokia. Finally, Huawei has increased its local investment in Europe and employed more local employees. This has greatly improved the local economy and gained more favorable feelings and support from the local governments. For example, Huawei has invested 1 billion of dollars in the UK and employed more than 1,500 local employees, Huawei has become one of the most well-known and most popular international companies in the UK (Lin, Liu, Han and Chen, 2018).
2.2 Relationship marketing between Huawei and suppliers
As an electronic equipment manufacturer and mobile phone manufacturer, Huawei has a large number of suppliers from all over the world, and some of them are even world-renowned top companies (Dambrāns, 2016). They have provided excellent parts for Huawei's products and brought great help to Huawei's products sales. For example, Leica, a world-renowned camera manufacturer, provides cameras for Huawei mobile phones, which is the most important reason for Huawei's mobile phones to be popular. Then why these suppliers are willing to offer their best products to Huawei without worrying about if their technology will be learned by Huawei. The reason is that Huawei's strategy is very good to maintain a good relationship with various suppliers. Samsung's strategy is a whole industry chain strategy. Every component of Samsung products is produced by itself. Huawei only focuses on the research and development of core business, especially the research on mathematical logic, and it has little investment in other aspects. Moreover, Huawei has repeatedly stated that it will not invest in research on non-core businesses to compete for markets with its suppliers. Therefore, many of the world's top suppliers are willing to maintain good relations with Huawei and achieve a win-win situation with Huawei.
2.3 Relationship marketing between Huawei and competitors
Huawei believes that in today's world, new technologies are emerging one after another, and the market is more volatile. Huawei can't start all research on its own, and Huawei does not have the ability to monopolize all markets. On the contrary, Huawei and its competitors only have to compete and cooperate with each other, complement each other to create greater value for customers, in this way, Huawei can become stronger and stronger.
Over the years, Huawei has extensively cooperated in technology and market worldwide, and has established strategic partnerships with major international companies including competitors. It has successively worked with companies such as Texas Instruments, Motorola, IBM, Intel, and Lucent Technologies and established a joint laboratory, joint ventures with Siemens, 3Com, and Symantec to complement and make use of the advantages of each other in both technology and market aspects. However, Huawei is also facing litigation from many competitors. In recent years, these lawsuits have exceeded 100 pieces, the most famous case of Cisco’s lawsuit against Huawei in 2003 has lasted for about 10 years (Lin, Liu, Han and Chen, 2018). The reason for the lawsuit was that Huawei had infringement and may leak client secrets. These lawsuits show that Huawei's relationship with its competitors is relatively tight, and these lawsuits have a large negative impact on Huawei's own image.