Download pdf
Xiaomi: An Analysis of Market Strategy under the High Cost-Performance Ratio
- 1 University of Illinois Urbana-Champaign
* Author to whom correspondence should be addressed.
Abstract
Xiaomi Corporation, which was established in 2010 in Beijing, is well-known for its smartphones along with other smart hardware as well as IoT devices. It is the second-largest manufacturer of smartphones in the world, behind Samsung, with a market share of about 12%, most of which run on the MIUI (now HyperOS) operating system. It mainly focuses on providing products that are of excellent quality and performance but still maintain affordability which attracts customers from around the world. This research delves into Xiaomi's adaptive marketing tactics as a reaction to evolving market dynamics and changing consumer demands, and examines Xiaomi’s market plan by looking at three clear instances. The first is how Xiaomi keeps its strong position in the smartphone market by bringing out improved models every year with a steady price tag. This helps to maintain their image of being very good value for money. Second, the choice of the company to put $300,000 for three years into remaking its logo with Japanese designer Kenya Hara. This highlights how redesigning has a strategic effect on brand image and worldwide identification. Thirdly, this study talks about Xiaomi’s start in the car industry when it introduced the first car model called Xiaomi SU7 in month April. It shows a major shift from making only smartphones to also producing electric cars.
Keywords
Xiaomi, Logo Design, Strategic Diversification, High Cost-Performance Ratio, Electric Vehicles.
[1]. Zhang, X., Chun, D. (2023) Business model innovation of exponential organizations: The case of Xiaomi. Sustainability, 15:5738.
[2]. Luan, Z. (2022). The Marketing Strategy of Xiaomi Company from the Perspective of Brand Value Research. Graduate School of Business, Siam University, 2022.
[3]. Jiang, X., Liu, S., & Yi, C. (2023). Xiaomi: Entering the New Energy Vehicle Industry. Ivey Publishing, W32633.
[4]. Zhang, W., Li, H., & Wang, Y. (2022). The marketing strategy of Xiaomi Company. International Journal of Business and Management, 15:23-39.
[5]. Tabassum, R., Ahmed, S. (2020). Xiaomi invades the smartphone market in India. DECISION: Official Journal of Indian Institute of Management Calcutta, 12(5), 77-79.
[6]. Panigrahi, A. (2019). A Case Study on Marketing Strategy of Xiaomi. International Journal of Management, Technology, and Social Sciences, 4(2).
[7]. Feng, J. (2021). Xiaomi launches electric car division, and a new logo that looks exactly like its old logo. https://thechinaproject.com/2021/03/31/xiaomi-launches-electric-car-division-and-a-new-logo-that-looks-exactly-like-its-old-logo/
[8]. Lin, C. (2021). Five Lessons From Xiaomi’s Path to Smartphone Supremacy. INSEAD Knowledge
[9]. Hara, K. (2021). Xiaomi’s New Logo: A Study in Design and Branding. Art4d Publishing. Bangkok.
[10]. Shen, X. (2021). Xiaomi's new "squircle" logo becomes the butt of online jokes with many claiming they could have made it for much less money. https://www.scmp.com/tech/big-tech/article/3127984/xiaomis-new-squircle-logo-becomes-butt-online-jokes-many-claiming
[11]. Zhang, X., & Chun, D. (2023). Business model innovation of exponential organizations: The case of Xiaomi. Sustainability, 15:5738.
[12]. Kartini, E. (2023). Xiaomi's Entry into Electric Vehicles: A Game-Changing Strategy?. https://www.technobezz.com/news/xiaomi-s-entry-into-electric-vehicles-a-game-changing-strategy/
[13]. Adams, H. S. (2024). Xiaomi's Electric Vehicle Debut, the SU7, is Unveiled. https://evmagazine.com/technology/xiaomis-electric-vehicle-debut-the-su7-is-unveiled
Cite this article
Hou,Y. (2024). Xiaomi: An Analysis of Market Strategy under the High Cost-Performance Ratio. Advances in Economics, Management and Political Sciences,121,194-198.
Data availability
The datasets used and/or analyzed during the current study will be available from the authors upon reasonable request.
Disclaimer/Publisher's Note
The statements, opinions and data contained in all publications are solely those of the individual author(s) and contributor(s) and not of EWA Publishing and/or the editor(s). EWA Publishing and/or the editor(s) disclaim responsibility for any injury to people or property resulting from any ideas, methods, instructions or products referred to in the content.
About volume
Volume title: Proceedings of the 8th International Conference on Economic Management and Green Development
© 2024 by the author(s). Licensee EWA Publishing, Oxford, UK. This article is an open access article distributed under the terms and
conditions of the Creative Commons Attribution (CC BY) license. Authors who
publish this series agree to the following terms:
1. Authors retain copyright and grant the series right of first publication with the work simultaneously licensed under a Creative Commons
Attribution License that allows others to share the work with an acknowledgment of the work's authorship and initial publication in this
series.
2. Authors are able to enter into separate, additional contractual arrangements for the non-exclusive distribution of the series's published
version of the work (e.g., post it to an institutional repository or publish it in a book), with an acknowledgment of its initial
publication in this series.
3. Authors are permitted and encouraged to post their work online (e.g., in institutional repositories or on their website) prior to and
during the submission process, as it can lead to productive exchanges, as well as earlier and greater citation of published work (See
Open access policy for details).