Xiaomi is a smartphone maker from China. The company was founded in 2010 and officially established its first phone in 2011. During the last three years, it has achieved success. One of the most essential reasons is that it attaches great importance to customers’feedback.

Being aware of what customers need can lead a firm to success.”Product managers at the company can spend half their time perusing the company’s active user forum “,and Xiaomi improves its products frequently. Since Xiaomi has not been founded for a long time, and the scale of the company is not that large, it is easier for it to make reactions to change. In the long run, Xiaomi would definitely expand its scale. Whether it can maintain the high frequency of improvement is a determinant of success.

http://www.forbes.com/sites/parmyolson/2013/10/22/how-chinas-xiaomi-does-in-a-week-what-apple-does-in-a-year-update-devices/

http://gadgets.ndtv.com/mobiles/news/chinas-mini-apple-takes-slice-of-smartphone-pie-302577

https://blogs.ubc.ca/dorisjy/2013/11/14/price-discrimination-in-china/(Link to the classmate’s blog)

I disagree agree with the author’s opinion. In India, most people prefer tea but Starbucks sets much lower price in India than in China. When a kind of good is needed, its price will be set high.

China is now developing at a considerable speed. Most companies consider China as a large market, and it exactly is. People can earn more money than before, and the large population is a factor that cannot be neglected. Chinese, especially young people are willing to accept different cultures. Some young people like to have Starbucks coffee only because they think it is a way to show off. As long as there is large demand for Starbucks coffee, the price would not be cut.

Ultimately, the high price results from the diffident. We think that import commodities and foreign brands are more credible and are of higher quality. Some Chinese firms produce goods of poor quality, which results in the distrust. One drop of poison infects the whole tun of wine. Chinese enterprise must regains trust with honesty.

http://www.forbes.com/sites/greatspeculations/2012/09/07/starbucks-is-finally-coming-to-india-cautiously/

http://blogs.reuters.com/india/2013/04/04/starbucks-in-india-if-coffee-cools-please-reheat/

I was studying in a boarding school in Nanjing, and I went home every weekend by metro. In every metro station, there are two to four vending machines with food and drink. While I was waiting for the metro, I found that few people bought things from vending machines. I thought it was because of the price, but once my friends and I bought some water there, I found that the price is almost the same as sold in supermarket.

In Nanjing, people can buy a kind of transportation card called Jinlingtong which can be used to take bus, metro, taxi and some other kinds of transportation. If this card is able to be used on vending machines, I believe, the sales will increase. Some people need to catch the subway. So, they will find that opening their bags, looking for wallets and then taking out the money are troublesome. And people need to put the change back to their wallets if the value of the money they use is too much. At the station, some people hold the transportation card in their hand in advance. Using the card is much more convenient and time-saving. This way can benefit both the consumers and the owner of those vending machines.

According to the article, it sees a drop in usage among teenagers while  there are increases in numbers of users of many mobile apps such as  We chat and Vine.

Mobile phones are playing an increasingly important role in people’s life. There is no denying that large population in China contribute to the boost in usage of We chat among teenagers. However, although Facebook can be installed on cellphones, people cannot use it to send voice messages. Comparing to texts, voice messages can convey information more accurate and fast. Pictures can also be sent immediately to friends.  In addition to this, teenagers often wants to share something only with their close friends and would like to  receive replies soon, and mobile apps like We chat can meet their requirements.

http://www.forbes.com/sites/parmyolson/2013/11/12/heres-where-teens-are-going-instead-of-facebook/

https://blogs.ubc.ca/shingtzewoo/2013/10/05/milka-giving-the-french-some-love/(Link to classmate)

I have to admit that Milka’s idea about the missing piece of chocolate is ingenious. When talking about chocolate, people always associate it with gorgeous words like “romantic” and “sweet”. And this idea undoubtedly strengthen people’s feeling. Just imagine that after going back home, you open your mailbox, finding an envelop with a piece of chocolate and greeting words from your friend. It is a really nice surprise, isn’t it?

As the technology becomes more advanced, people are increasingly relying on electronic goods, leading to less face-to-face communication. As a result, people are estranged from each other. Some people keep sending texts even when they are having lunch with their family or friends. Milka’s offering can narrow the gap between people, adding a savor to people’s lives. This marketing ideas can capture customers attention and leave a deep impression on customer. In addition to this, customer make tag words such as “tender” , ” thoughtful” and “innovation” to the brand, Milka.

Further information: http://www.brandingmagazine.com/2013/08/31/milka-last-square/

It seems that everything could happen in the mercurial world. Nowadays, everything is changing at a fast past pace. Faced with such situation, a firm can choose to keep steady cash flows or to invest in risky new projects. Mahindra & Mahindra, an Indian multinational automobile manufacturing corporation, took some risk in the last decade. In 2002, it launched a SUV model which became a huge hit in 2005. It bought an IT service firm in 2007, which helped to boost the value of the combined entity. And in 2011, it bought Ssang Yong, and Mahindra & Mahindra, which focused on  manufacturing SUV and tractors, wanted to use the brand to sell pick-up trucks and two-wheelers. Hitherto, these decisions has benefited Mahindra & Mahindra a lot.

A company cannot survive if it stay immutable. Kodak is a typical example. Since everything is changing, change must be made in order to let companies adapt to new circumstance. Certainly, decisions should be based on reality. Mahindra & Mahindra took reality and future prospects into consideration and achieved huge success. Being rigid for a long time is dangerous since a fit of ease may lead a firm to an end.

Reference : http://www.economist.com/news/business/21588885-mahindra-has-become-pin-up-indian-capitalisma-home-grown-automotive-champion-now-it