High-tech computer corporation (HTC,) for the first time in its history of sixteen years, recorded a quarterly loss. The company, being one of the first ones to enter the android market, rather shocked everyone as it recorded a loss of as high as $120 million. The company’s market share dropped from 10.3% to 2.6%. The company’s stubbornness to use the expensive components in a price sensitive market, and weak marketing strategies, are a few reasons for this drop.

To overcome these issues, the company should primarily invest in its marketing department. The company’s biggest competitors, Apple and Samsung, make large investments in their marketing department, simply to create a strong brand image. This thus helps them to beat HTC, despite HTC entering the market much earlier. HTC could invest especially more in its ad-campaigns, so as to increase brand awareness. A strong brand image would strongly help the company increase revenues. HTC uses expensive components in its production. The customer, on the other hand, is rather seeking for a cheaper product. The company is thus losing out on higher profit margins, as it could rather use cheaper components. A reluctance to change can affect HTC to an even greater level, and it should thus adapt to the changes rather than neglecting it!