【正文】 delivers coordination to pete in “solution” sales? Believes that localization is key。 literature search。 for smaller products such as mobile handsets, Ericsson sells through JVs and distributors?Ericsson uses PTAC, PTIC, Stellar, 508, and the United First as its 5 firsttier resellers. Insufficient support provided by resellers limit the ability of its dealer and channels to provide pre and aftersales support to customers, which greatly afftect Ericsson’s position in the China marketKEY MESSAGES VALUE CHAIN STRATEGY17ERICSSON PRESENTS ONE FACE TO CUSTOMERS BY CENTRALIZING CORE PRODUCT SALES THROUGH ITS OWN SALES FORCERD Manufacturing Marketing Sales ServiceNetwork? Mobile infrastructureShanghaiRD centreNanjing EricssonBeijing Ericsson Tele SystemEricsson China Ericsson ChinaDalian EricssonGuangdongTerminal? MobilehandsetBeijing Ericsson Mobile TeleShanghai EricssonEricsson ChinaDistributors/dealersRationaleEricsson39。s s second largest market in the world? 1997: Established RD center in Shanghai and Ericsson China institute? 1998: China became Ericsson39。s largest market in the worldInvestment? Invested more than USD billion in ChinaBusiness? Four main business units: Mobile infrastructure, mobile handset, data work and circuit switching/packet switching multiservice worksStarting? First office in China in 1985, first JV in China in 1992Employees ? 100,000 staff in 140 countries? Over 4,000 employees in China? 24 offices, 10 JVs and 4 WOFEsHistory? 1985: First Ericsson office in Beijing? 1987: First mobile work launched Qinhuang island? 1989: Set up offices in Guangzhou and Shanghai? 1992: Started JVs in China for mobile infrastructure and handset? 1994: Established Ericsson China Limited? 1995: China became Ericsson39。CONFIDENTIALMobile Handset Competitor Analysis: EricssonSAMSUNG ELECTRONICS CHINA (SEC China)August 20, 2023This report is solely for the use of client personnel. No part of it may be circulated, quoted, or reproduced for distribution outside the client anization without prior written approval from McKinsey Company. This material was used by McKinsey Company during an oral presentation。 it is not a plete record of the discussion.OVERVIEW OF COMPETITOR ANALYSIS FRAMEWORK1. Background information? Location? Registered capital? Managementteam? Equitystructure? Starting year? Number of employees? Era analysis4. Value chain strategy5. Organization and ownership6. Financial performanceFocus on? Marketing, advertising and promotion? Distribution (channel and sales force)? Organization structure? Ownership structure? Sales ? Profit 2. Strategy 3. Product/market ? Mission? Vision? Corporate strategy? Market position? Key product offerings? Key customers? Value proposition? Geographic focus? Pricing2KEY ISSUES TO PROBE ERICSSONStrategyProduct/marketValue chainstrategyOrganization ownershipFinancialperformance?What will be Ericsson’s strategic focus for the next 5 years??How will Ericsson secure its leading position in mobile infrastructure??What products will Ericsson be focusing on??Which market segment will Ericsson be interested in??Will Ericsson bee a niche market player in mobile handset??How does Ericsson secure its leadership in technology??How does Ericsson improve its local production capability??How are Ericsson’s mobile handsets distributed??How does Ericsson anize its JVs and WOFEs??What functions does Ericsson China centralize??How good is Ericsson’s recent financial performance??How will Ericsson improve its performance in the future?3BACKGROUND INFORMATION1. Background information? Location? Registered capital? Managementteam? Equitystructure? Starting year? Number of employees? Era a