Introduction Of Smartphones To Business Management Essay

Introduction Of Smartphones To Business Management Essay3.1 IntroductionThis chapter discuss about factors that influences the business environment utilize by blighter model. Then too discuss industry concept of competition, competitor analysis, such as strengths, weakness, opportunities and threats.3.2 Introduction of SmartphoneIn 1973, Motorola introduced a first cellular telephone, and then no one had imagined that this would ignite a whole new technological change The Mobile Revolution. Typical cell phones were used only for representative calling and later for text messaging, only with growth in officious phone adoption, cell phones argon now available with a number of diametrical swashs like e-mail, video and audio facilities, internet access, etc. Thus, a whole new change in this mobile sector happened and the smartphone race began. This race in like manner created competition between operators and handset manufacturers in giveting overmuch returns from mobile phon e equipment and services. The rise in the smartphone segment accompanies the mobile internet revolution. However, the main reasons are better margins for Original Equipment Manufactures (OEMs) and higher Average r chargeue per user (ARPU) for operators. The smartphone is essentially a combination of operating system, industriousness, and handset manufacturers. In addition, due to the increase in the application market of the smartphone and the growing popularity of OS used for mobile systems, it can be said that the near future will witness the most powerfull application running on phones with high powered operating systems.Considering current growth in the smartphone sector, it is estimated to grow by at least 18-20% by 2011 according to iSuppli. quest table shows gross revenue of smartphones during year 2008 and 2009.Worldwide Smartphone Sales to End Users in 2009 (Thousands of Units)Company2009 SalesMarket Share (%)2008 SalesMarket Share (%)Nokia440,881.636.4472,314.938.9Samsu ng235,772.019.5199,324.316.3LG122,055.310.1102.789.18.4Motorola58,475.24.8106.522.48.7Sony Ericsson54,873.44.593,106.17.6 separate299,179.224.7248,196.120.3Total1,211,236.6100.01222,252.9100.0Table 1 World Smartphone Sales3.2.1 Overview of Different Smartphone Operating SystemsBefore moving to mechanical man and iPhone, it is necessary to understand3.3 PEST AnalysisPEST analysis is stands for Political, Economic, Social, and Technological analysis and describes a framework of macro-environmental factors used in the environmental scanning component of strategic managementPolitical impactWhether the dispersion of Smartphone will contribute to info control and national unity, or strengthen information flow and centrifugal forces are question. However, it may enhance individual rights of policy-making involvement by spreading political information and critiques easier and faster than before. As a result, traditional presidential term control of information traffic maybe weakened.Ca lgary (1994) mentioned that, by using the increasing scotch interests of the foreign business in China and Hong Kong, the Chinese government could take advantage of the lobby power of the foreign tele communication theory multinationals touch on in the diffusion of mobile communications in China as a political card to force foreign governments to beget amicable policies toward China. The authorization of allowing AT T to sell its used mobile communications system in part of China and Chinas good relation with Motorola are two examples of an confirming political impact from the diffusion.Economic impactThe diffusion of Smartphone communications can help China and Hong Kong economic cultivation. Wireless communications devices can provide stratagem to commercial mobility and prompt access to business information in the current social wave of doing business first in China and Hong Kong. Business becomes more(prenominal) mobile than ever in an information age, but chinas stil l poor fit out telecommunications network cannot meet the demand for mobile communications which keep the information sharing and exchange fast to avoid the long clip economic bottleneck Chinas limited wired networks and transportation capabilities. There the Chinese people, believing time is money, turn their eyes to pagers and cellular phones as a very useful business tool to make money. As a result, the diffusion of mobile communications adds a new push to Chinas increasing economic activities.China is a unique, large market where a low per capita income combines with consumers desire for advanced communications products. Smartphone in China suck up created a profitable business in China in the past few years. Benefited by the present demand exceeding supply, sales and operations of pagers and cellular phones can get capital back very fast.Also according to the Western telecommunication professionals, the economics of radiocommunication technology as an alternative to wired services looks even more appealing. Due to difficult terrain, long local loops and the constant need for repairs, the cost of adding a new wired subscriber in China averages around $2k and is often more. But wireless technology cuts this by half.The demand for Smartphone has made the multinationals such as Microsoft, Apple and Android increase their sales and investment in China and Hong Kong. Thus China and Hong Kong can improve its inadequate communication system which has been one of the bottlenecks of its economic development by having the aid of these foreign resources. Also with more foreign players competing in Chinas market for mobile communications, China will be in a favorable position to make better business deals by the way of using one against another. However, the increasing market demand for imported finished products also drains more scarce foreign exchanges out of Chinas reserves. In turn the foreign drain may hurt Chinas economic expansion in other areas such as en ergy and transportation.Social impactThe diffusion will change the way the Chinese communicate and work. With more Smartphone devices used, the social contacts will increase so much that more social activities will be arranged easily and on time. These objects also provide a convenient channel for the personal dialogue among family members and friends who have been able to get together often like before because of busier individual time schedules and scattered living spaces. Also with more Smartphone adopters, social concerns about health safety, privacy, and intrusiveness will become salient gradually, though some of them are ignored by the Chinese at present time because of the Chinese basically positive attitude toward technological innovations and the relatively small portion of Smartphone users among the Chinese.At the same time, the diffusion, along with other socioeconomic factors, has widened the socioeconomic gap between the ahead of time Chinese adopters and the late ado pters or have-nots. Smartphone with their unreasonably high cost add a new symbol into the upstart culture which is usually regarded as a negative social phenomenon in Chinas media and a disgusting social habit in most Chinese eyes. A cultural conflict between the haves and the have-nots occurs. The haves penury to show their mobile phones in certain public occasions to let others know their social images they are bus, they are dealing business, they have money, they have more social connections, so they are important. Most users also think the negative social comments on them are form the have-nots jealous psychology the have-nots hate to jaw the impudence because they know most of the self-funded Chinese cellular users are dubious people with less education background and less social taste, some of them even are former criminals. Sun (1992) mentioned that, the have-lots also believe many of the users can afford a Smartphone because their money is made not through productive acti vities but through trade, speculation, or gambling on the stock market. The show-off manner of wealth has been accepted by many Chinese interviewees as an eye- attending feature in the Chinese culture though it is never seen as a good behavior. They think, however, that when more Chinese can afford the price lowering Smartphone and accessing mobile communications, the social cultural conflict will be resolved automatically because the present symbol of social status will be worth null when more people have Smartphone. This judgment is reasonable, but its prerequisite depends on the diffusion rate of Smartphone in China and Hong Kong.In addition, the diffusion of mobile communications may increase governments social control resource by equipping the police with various wireless devices to locate possible protesters, as one of the government preventive measures showed during the incident anniversaries these years.Technology impactThe diffusion of Smartphone help more Chinese become a ware of the technical advances of the wireless innovations. In general, the peoples think vivid science and technology are value-free and the continuing technological improvements and adaptations are positive to national development. They see the winners in todays world as determined by economic strengths and technological advantages, rather than ideology and military. So more people usually take a welcome attitude to new technology and like to get more fellowship about the innovations, unless they cannot afford or understand these new technologies.As for the Chinese communication professionals, the diffusion of mobile communications can make them learn more about equipment design, production, and standards either from imported products or from various technology transfer means such as joint venture and cooperative development. Because of their high-education and tech-management background, they have more ability, as change agents, to persuade the decision makers and common Chines e to adopt or reject certain technologies.The diffusion has helped its communications systems to catch up with the mobile communications technological trend in the world. The Chinese accepted the fact of their backwardness in most high-tech fields, but the professionals also know the leapfrogging advantage in a later adopter, having more technological choices after comparative evaluations, saving time and capital. The quick adoption to program controlled switches and visual fibers has provided a successful experience to the improvement of wired networks. So the improvement wireless communication technologies also gives more alternatives among the updated and appropriate innovations to leapfrog its mobile communications system.On the other hand, the diffusion also increases the technology dependence of foreign wireless innovators. Although can take advantage of leapfrogging by importing, it will never flummox the most advanced technology and the key techniques. But the diffusion wi ll stimulate market demands for newer mobile innovations, thus technologically rely on the wireless pioneers from the developed countries for quite a long time, regardless of how strong its national pride is.In short, the diffusion of mobile communications, on one hand, does raise the Chineses knowledge level and enhance Chins communication capability. On the other hand, it also reinforces the technology determinism in the Chinese minds and its technology dependence on the developed countries.