Three years a go, Blackberry held 43% of the market share in Indonesia, which is the Canadian company’s largest “market-bastion.” Blackberry’s mismanagement has led to its demise, resulting in a 3% Indonesian market share today. The brand’s appeal has been lost in the emergence of low cost competition.

In order for blackberry to regain global market share and moreover mitigate losses, it is essential for the company to reevaluate their business plan. Recently, Blackberry has partnered with Foxconn, a Taiwanese based hardware manufacturer. Through outsourcing, this partnership will allow Blackberry to compete with lower cost androids, as Blackberry can cut manufacturing costs and can focus their attention on innovation and software development. However, Blackberry must clearly define their customer segment; previously, they had a significant influence on businessmen. This customer segment that once differentiated the Blackberry from other mobile devices has been lost. It may be too little too late with Blackberry’s current touch screen phones, as they are losing out to smart phones on both the high and low ends. This is not because Blackberry produces a relatively worse device; it is simply because the consumer mindset has changed and moved on. Although it is unlikely for Blackberry to regain its dominant market share, it can still compete and generate profits through the cost efficiency it achieves with Foxconn and through the decentralization of the company away from Canada.

Blackberry Article