Consumer Perception towards Chinese Mobile Brand and their

International Journal of Research in Finance and Marketing (IJRFM) Available online at: http://euroasiapub.org/current.php?title=IJRFM Vol. 8 Issue 11, November - 2018 ISSN(o): 2231-5985 | Impact Factor: 6.397

International Journal of Research in Finance & Marketing Email:- [email protected], http://www.euroasiapub.org

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An Empirical Analysis of Consumer Perception towards Chinese Mobile Brand and their Brand Development Strategy (A Case Study of Lucknow City, India)

1Ms. SADIYA SIDDIQUI Research Scholar Integral University Lucknow, India

2Dr LEENA S SHIMPI Deptt. Of Social Science & Commerce

Babasaheb Bhimrao Ambedkar University of Lucknow, Lucknow, India

3PROF.BIMAL JAISWAL Department of Applied Economics

Faculty of Commerce University of Lucknow, Lucknow, India

ABSTRACT Globalization and Liberalisation has lead to the increase in international trade from all over the world. Due to increase in global marketing consumer’s perception towards products belonging from various countries like China is also changing .Growth of electronic devices in China such as mobile phones is among relevant to study. China’s mobile brand captured 50% of the market share in India in the year 2016. This revolution by China’s mobile brand proves to be a landmark event in the history of India. In this study a total of 100 set of samples were distributed randomly in Universities such as Lucknow University and Integral University in Lucknow among youths. The hypothesis which were tested using Pearson Correlation have revealed that all predetermined variables like price, brand awareness, perceived quality and perceived feature are correlated in influencing consumer purchase intention towards mobile phone brand from China. Apart, from this the reliability test (Cronbach alpha value) was also carried to ascertain the relationship of all the variables, items and scale in the questionnaire. Other than providing remarkable change of people perceptions towards mobile phone brand from China, the findings would provide insight to the consumers and marketers especially who are related directly and indirectly with the country of China as their product and service providers’ origin. KEYWORDS: Country of Origin, Brand familiarity, Perceived features, Perceived quality, Purchase intention

INTRODUCTION: As, the economy is growing, the demand for the mobile phones are also increasing. Globalisation has made it easier for the global brands to enter into a new market easily. Hence, in order to face the intense competition it becomes necessary for the firms to understand the consumers attitude towards a particular product (Jemenz, N.H., & San Martion, S., 2010) and (Zuhal and Cidgem 2014). With, the increasing number of brands from outside the countries consumers has little or no knowledge about the foreign products hence, it is important to provide knowledge about the foreign brands to the customers. Thus country of origin effect will be used as a source of information. In this paper, the perception of Youth towards mobile phones of China brand is investigated.

International Journal of Research in Finance and Marketing (IJRFM) Vol. 8 Issue 11, November - 2018 ISSN(o): 2231-5985 | Impact Factor: 6.397 |



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‘Made in China’ is seen everywhere in the international market. In fact, the country expanded into the international market due to their excellent manufacturing, low cost and high economies of scale (Xiaoxia Wang., 2010).Previously, the ‘Made in China’ image is not that positive in the minds of the consumers (Ahmed, Johnson, Xia & Chen, 2004). the country had started as the leading manufacturer in the world but the quality of the products is still being perceives as likely low (Lew &Sulaiman, 2013).

However, nowadays researcher had assumed that scenario had changed to the other way round. Being the second largest economy followed by U.S. Chinese companies and factories are shifting their focus from OEM (original Equipment Manufacturer) to ODM(Original design manufacturer) that means they have started handling total manufacturing and designing process all by itself (Wade Shephard., 2016).Chinese companies are creating and investing in building their own brands like (Lenovo (computer), TCL(television), Haier (appliances). This also include mobile brands like Oppo, Xiaomi, Gionee, Asus, Vivo, Huawei etc. have gained world class reputation. Hence, emergence of these qualities is expected to change the previous negative stereotype perception that consumers have in their mind (Nor Sara et al, 2016).

Many, studies have been conducted in past that have investigated the factors affecting the purchase intention on mobile phone. Factors such as price, function, country of origin are one of them.

But, What if the mobile phone is limited to specific country brand? It is not from the mobile phone from any brand but it is the mobile phone of China brand and what are the factors that consumers will considered when country of origin effect is taken as a whole and how the consumers will evaluate it are the drivers of this research.

OBJECTIVES:

To ascertain youth perception towards Chinese mobile brands To investigate consumer brand awareness of Chinese mobile brands. To find the most preferred brand and rank the top five brand. To ascertain post purchase behaviour.

LITERATURE REVIEW

COUNTRY OF ORIGIN

Robert Schooler (1965)- was the first author who introduced the concept of Country of Origin in It studies were based on single cue of COO of different products in different countries

Reierson’s ( 1966 & 1967)- he focused on perceptions on product quality and came to a conclusion that COO effects existed whether it was general products, specific products or classes of products. Stereotyping was present among the respondents

Johansson, et al.(1985)- they included 13 product attributes(find out the attribute) to access the effect of country of origin on automobiles . They found out that the effect of COO was minor ad do not affect the overall rating. Their findings supported the hypothesis that consumer uses country of origin information when they have little familiarity with particular products. Hooley, et al (1988) conducted study on stereotyping and found out that stereotype perceptions appear to be held countrywide for COO. Information on six products attributes was presented including country of origin in a study of clothing products (shirt and blouse)choice, before and after exposure to a “made in the USA”. Their results found the country of origin effect to be relatively small than that of price and quality attributes both before and after launching of the campaigns.




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Olson and Jacob, (1972) – The consumers uses both intrinsic(e.g. quality, style,taste,performance) and extrinsic cues(e.g. brand name and price) to evaluate the products. Consumers often apply extrinsic cues when they are unable to detect its true intrinsic attributes prior to actually experiencing it. Hence, the country of origin cue is conceptualized as one of these extrinsic cues.

Han,(1989)- studied the consumer perception of quality for products made in a particular country (defined as “country image”. He came to a conclusion that when consumers are not familiar with a country’s products, country image serve as a important factor from which consumers summarizes brand attributes that affect their attitude towards brand indirectly. In such case, country image is based on whatever knowledge or stereotype the consumer has about these countries, which in turn affect product evaluation.

Wall et al.’s(1991)- He found out more than brand and price, country of origin is the more important factor in accessing product quality. For all the three products in their study (shirt, wallet and telephone), higher quality ratings occurred for the developed countries and lower quality ratings for the developing countries.

Lee, et al.(1992)-conducted a conjoint analysis to measure the importance of price, warranty and country of origin. They found the price factor to have the highest relative importance, second the warranty and country of origin though still significant, third. Studies conclude that buying intentions are influenced by factors like political maturity, traditions, economic development and level of industrialisation

Chen-Yu and Kincade(2001) concluded that there was a positive relationship between product image, perceived quality, performance expectation and price but, no direct relationship between participant satisfaction and product image.

Keller (1993)- stated that brand awareness is one of the factors that influence the buying intention of the consumer. The statement was further supported by Macdonald and Sharp by saying that when the customers are aware of the product, the buying intention is more like to be triggered.

Johansson, et al.(1985)- they included 13 product attributes(find out the attribute) to access the effect of country of origin on automobiles . They found out that the effect of COO was minor ad do not affect the overall rating. Their findings supported the hypothesis that consumer uses country of origin information when they have little familiarity with particular products.

Hooley, et al (1988)- conducted study on stereotyping and found out that stereotype perceptions appear to be held countrywide for COO. Information on six products attributes was presented including country of origin in a study of clothing products (shirt and blouse)choice, before and after exposure to a “made in the USA”. Their results found the country of origin effect to be relatively small than that of price and quality attributes both before and after launching of the campaigns.

Olson and Jacob, 1972 – The consumers uses both intrinsic(e.g. quality, style,taste,performance) and extrinsic cues(e.g. brand name and price) to evaluate the products. Consumers often apply extrinsic cues when they are unable to detect its true intrinsic attributes prior to actually experiencing it. Hence, the country of origin cue is conceptualized as one of these extrinsic cues.

Han,(1989) -studied the consumer perception of quality for products made in a particular country (defined as “country image”. He came to a conclusion that when consumers are not familiar with a country’s products, country image serve as a important factor from which




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consumers summarizes brand attributes that affect their attitude towards brand indirectly. In such case, country image is based on whatever knowledge or stereotype the consumer has about these countries, which in turn affect product evaluation.

Wall et al.’s(1991)- He found out more than brand and price, country of origin is the more important factor in accessing product quality. For all the three products in their study (shirt, wallet and telephone), higher quality ratings occurred for the developed countries and lower quality ratings for the developing countries.

Lee, et al.(1992)-conducted a conjoint analysis to measure the importance of price, warranty and country of origin. They found the price factor to have the highest relative importance, second the warranty and country of origin though still significant, third.

Conceptual Framework:

Figure 1.1

Independent Variable Dependent Variable

Source:Lai Chi Choy,(2015),accessed on 31 July 2017

In Figure 1.1 shows that the four independent variable are taken by the researcher (Brand awareness, price, quality and feature.) which are on the left hand side of the model while purchase intention is on the right hand side of the model as a dependent variable.

Brand awareness has been taken in the model as it is one of the important extrinsic cue that affect the buying intention of the consumers. Price and quality are adapted as these 2 factors frequently discussed to impact the purchase intention. Lastly, perceived features can counted as a single factor that able to impact the intention of purchase. This particular model is proposed in the context of country of origin to study the impact of the factors on the buying intention of youth towards China brand mobile phones.

Brand Awareness

Price

Purchase Intention

Quality

Perceived

Features




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Hypothesis Development

Based on the conceptual framework, the hypothesis is as follows:

H1= There is a significant relationship between brand awareness and purchase intention.

H2= There is a significant relationship between price and purchase intention.

H3= There is a significant relationship between quality and purchase intention.

H4= There is a significant relationship between features and purchase intention.

Research Methodology

Data collection method

Both primary and secondary data is adapted in this study to collect the most accurate information. Primary data is gathered using questionnaires survey while, online database, journals and articles served as a source of secondary data.

Target population

According, to the topic of the research the target population is Lucknow Youth residents. Youth is the most valuable segment of the population. It represent the present of the country. They show strong passion and motivation when buying any commodity. This is one of the reasons why most of the companies target them. As the youth are both the buyers as well as the users of the product.

They are more aware of the types of mobile brands and its country of origin so, as per the researcher they can provide the accurate information on the various factor considered before buying a mobile phones.

Sampling elements

The respondents who are chosen in this research are the mobile users in Lucknow. This research is directed to the users of 18-30 age groups as they got spending power, able to fully understand the contents of the questionnaires (Ahmad &Judhu, 2010).

Sampling size

Sample with an amount in range of 30 to 500 are appropriate for most researchers (Roscoe, 1975). Coolican’s study stated that one variable is subjected to 20 to 30 samples. However, in this study 120 samples are distributed out of which only 100 samples were selected to obtain the results from the data gathered.

Questionnaire Design

Close ended/structured questions were adopted to form the questions where the respondents have to answer according to a set of limited choice of answer. The close- ended questions are chosen since it convenient the parties that took part in the research and it is a time saving method also.

The questionnaire is consisting of 2 sections, containing the demographic information of the respondents and the evaluation of variables in terms of country of origin, brand awareness, price, quality, features and purchase intention. Questions are formed and modified by referring to the past studies of other researchers. The questionnaires are formed by using simple English to ensure the understanding of the respondents towards the questions.




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DATA ANALYSIS

Demographic Profile of the Respondents

Table 1.1

Elements Demographic profile

Number of responder

Percentage

Gender Male Female

58 42

58% 42%

Age 18-24 25-30

51 49

51% 49%

Monthly Household Income

Less than 10,000 10,000-20,000 20,000-30,000 30,000-40,000 40,000-50,000 Above 50,000

02 10 21 18 15 34

2% 10% 21% 18% 15% 34%

Occupation Student Working Both

51 39 10

51% 39% 10%

Educational Qualification

Intermediate Undergraduate Postgraduate PhD

35 15 32 18

35% 15% 32% 18%

Source: Research Developed

As per the Table 1.1, male respondents occupied 58% of the 100 respondents, while there are 42 female respondents, where is the 42% of the total respondents. For Age, 51% of the respondents are from the age group of 18-24, while 49% of the respondents are from the age group of 25-30. In Monthly Household Income, there are only 2 respondents whose monthly household income is less than 10,000, 10% of the respondents income lie between 10,000-20,000, 21% of the respondent income lie between 20,0000-30,000, 18% of the respondent income lie between 30,000-40,000, 15% of the respondent income lie between 40,000-50,000 and 34% of the respondent income is above 50,000.

For, Occupation 51% of the respondentsare student, 39% of the respondent are working and remaining 10% are both student are working. In Educational Qualification, 35% of the respondent is Intermediate, 15% of the respondents are holding UG degree, 32% of the respondent are post graduated and lastly, 18% of the respondent are holding PhD degree.

Central Tendency Measurement of Constructs

Descriptive Statics- Brand awareness

Table 1.2 Source-Research Developed

Variables Items Mean Std. Deviation Rank BA 1 China’s brand comes to my mind quickly

2.7952 1.12357 3

BA 2 I can recognize China’s brand mobile phone

3.1687 1.05714 1

BA 3 I am familiar with China’s brand mobile phone 3.1084 1.19972 2




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Table 1.2 is showing 3 items of brand awareness. Item 2 ranked top with the mean score of 3.1687 and standard deviation of 1.05714. BA 3 with the mean score of 3.1084 and standard deviation 1.19972 is ranked second. Lastly, BA 1 is ranking third with 2.7952 mean score and 1.12357 standard deviation.

Descriptive statics – Price Table 1.3

Variables Items Mean Std. Deviation

Rank

Price 1 The China’s brand mobile phone Provide value for money

3.1084 1.15834 2

Price 2 The China’s brand mobile phone are affordable

3.7108 1.22504 1

Source-Research Developed

Table 1.3 is showing 2 items of price factor, Item 2 is the highest ranked with the mean of 3.1084 and standard deviation of 1.15834 while Item 2 is ranked second with the mean of 3.7108 and standard deviation 1.22504.

Descriptive statics-Perceived Features Table 1.4

Variables Items Mean Std. Deviation Rank

PF 1 China’s brand mobile phone offer better functions and services

3.0241 1.07040 3

PF 2 It is easy to use

3.4096 1.00044 1

PF 3 China’s brand mobile is more fashionable

3.1205 1.06379 2


Based on the table 1.4 PF 2 got the first ranking with the mean of 3.4096 and standard deviation of 1.00044. PF 3 is ranked second with the mean of 3.1205 along with the standard deviation of 3.1205. Nevertheless, the third position is occupied the PF1 due to lower mean score 3.0241 and standard deviation 1.06379 respeceitevely.




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Descriptive statics-Purchase Intention Table 1.5


Based on the Table 1.5 PI-2 is ranking the highest with the mean score of 2.8313 and the standard deviation of 1.02195. PI-3 is ranked the second with 2.7229 mean score and 1.08553 as standard deviation. Next, PI-1, is one got the lowest ranking with a mean score of 2.7229 and standard deviation 1.08553.

Frequency-Quality

Table-1.5 How would you rate the Quality of mobile phones of China’s brand

Factors Frequency Percent Valid Percent Cumulative Percent

Valid

poor 8 8.0 8.0 8.0

fair 26 26.0 26.0 34.0

good 51 51.0 51.0 85.0

very good 12 12.0 12.0 97.0

excellent 3 3.0 3.0 100.0

Total 100 100.0 100.0


Table 1.6 shows that 51% of the respondents rated the quality of China’s brand as good, 12% of them choose very good and 3% of the respondents rated excellent. On the other side 26% of them rated the quality as fair while, the remaining 8% of the respondents rated the quality of China’s brand mobile phone as poor. This clearly shows that most of the people started trusting and liking the quality of China’s brand mobile phones.

Variables Items Mean Std. Deviation Rank

PI 1 I am willing to buy China's brand mobile phones

2.7108 1.16378 3

PI 2 I will recommend China’s brand mobile phone to others

2.8313 1.02195 1

PI 3 I will continue to buy China’s brand mobile phone in future

2.7229 1.08553 2




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Summary of Correlation Analysis Hypothesis Testing-

Table 1.9

**Correlation is significant at the 0.01level (2 tailed)

Table 1.9 shows the summary of correlation analysis and hypothesis testing for all variables Firstly, the variable Brand got low but definite relationship with the dependent variable purchase intention with( r = 0.276 p<0.01), which lead to the acceptance of H1. The other two variable price and perceived quality got moderate relationship with the dependent variable purchase intention where( r = 0.428 & r = 0.499). Lastly, the variable perceived feature is highly correlated with the dependent variable purchase intention with( r =0.712). These three variable are also significant with (p<0.01).Hence, These results lead to the acceptance of H2, H3,H4 respectively. The finding clearly shows that perceived quality has the most influential impact on the consumer purchase intention towards mobile phone brand from China. Perceived quality and price will be the second and third factor that impact the buying intention. Lastly the brand awareness got low rate in comparison to the factors.

The Overall findings therefore shows a support for a positive relationship between H1, H2, H3, H4.The positive relationship between dependent and independent variable is consistent with the study by Lai Chi Choy (2015).

FINDINGS:

As the study revealed that the youth perception towards mobile phones from China has a positive image. Most of the respondents are the actual users of Chinese branded cell phones and they are satisfied with the quality, brand and with the features of the product. When buying mobile phones most of the respondents state that for them features and quality of the product comes first and then the price and brand. This clearly shows that China image as a low quality producer is changing and people have started trusting their brands.

Only 45% of the respondents are aware of the China’s brand cell phone when measured on the five point Likert scale. This is because Country of Origin(COO) hardly matter for consumers they lay more emphasis on quality and features which is also tested that shows that they both have moderate correlation with the Purchase intention while, Brand and price shows low correlation with the Purchase intention. When asked to name some top mobile brands that are capturing the

HYPOTHESIS r-value p-value Results

H1:Brand awareness(BA) Purchase Intention(PI)

0.276** 0.012 Accepted

H2= Price Purchase Intention(PI)

0.428** 0.004 Accepted

H3= Perceived Quality. Purchase Intention(PI)

0.499** 0.000 Accepted

H4= Perceived Feature. Purchase Intention(PI)

0.712** 0.000 Accepted

OBJECTIVE 2 -To investigate consumer brand awareness of Chinese mobile

brands.

OBJECTIVE 1-To ascertain youth perception and towards Chinese mobile

brands




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Indian market Most of the respondents named brands like One plus, Oppo,Lenovoetc but, they are not aware that these high rated brands are from China. This clearly shows that lack of awareness is there among consumers. Although, China is making effort to overcome the negative image of low cost producer and focussing on product innovation and building brand image but, it need to focus more on advertisement strategies to create a long lasting impact in the minds of the consumers.

The top five China’s Mobile brand rated by respondents is as follows:

1. Xiaomi 40% 2. Oppo 25% 3. Lenovo 15% 4. Asus 11% 5. Vivo 09%

Among the various Chinese Brand 40% of the respondents rated Xiaomi as their most preferred brand followed by Oppo which occupied second position (25%). Lenovo scored third position rated by 15% of them. While, 11% of the respondent preferred Asus and remaining 9% of them rated Vivo which occupied the fifth position as per this study.

Table- 2.1 Do you have a Chinese brand mobile phones?

Frequency Percent Valid Percent Cumulative Percent

Valid

yes 51 51.0 51.0 51.0

no 49 49.0 49.0 100.0

Total 100 100.0 100.0

Table-2.2

I am satisfied with the performance of the product

Frequency Percent Valid Percent Cumulative Percent

Valid

strongly disagree 10 10.0 10.0 10.0

Disagree 11 11.0 11.0 21.0

Neutral 27 27.0 27.0 48.0

Agree 12 12.0 12.0 60.0

strongly agree 40 40.0 40.0 100.0

Total 100 100.0 100.0

Table 2.1 shows that 51% of the respondents are using China’s brand cell phone and remaining 49% of the respondents are non users. Table 2.2 clearly shows that 40% of the respondents are (strongly agree)satisfied with the performance of the product,12% of them agree, 27% of them have no idea about the performance, 11% of the respondents disagree. Lastly 10% of the respondents strongly disagree with the performance of the China’s mobile phones. This clearly

OBJECTIVE 4- To ascertain post purchase behaviour

OBJECTIVE 3-To find the most preferred brand and rank the top five Chinese

Mobile brand.




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shows most of the people have positive perception about China’s brand mobile phones and are satisfied to a large extent.

Brand China With the advent of Globalisation and opening of the Chinese economy in the year 1978 allowed various Chinese firms to access natural resources and various strategic assets including R&D, Brand names and worldwide reputation through outward foreign direct investment (OFDI). The ‘Go Global’ strategy initiated by the Chinese government in 1999 and the China joining WTO in 2001 accelerated their internalisation paces. This strategy led most of the Chinese MNEs to globalise in the world market. For instance Lenovo after acquiring IBM becomes world largest PCs manufacturer; Haier finds its huge market in US for consumer electronics; Geely acquired Volvo in 2010 and becomes one of the major exporter of car in 19 countries outside China.

Many global brands from the advanced countries used to outsource its products from China due to its low cost and keep its (R&D) with itself. Many manufacturers in China started out as a Original Equipment manufacturer (OEM), producing already designed products of other companies. Then due to sophistication and advancement many firms started making complete products for other companies, they began transitioning to Original Equipment Manufacturers (ODM), which other companies could merely stamp their own brand prior to retail sale. This clearly shows that China is able to transform itself from (OEM) to (ODM).

The debt crisis in Euro Zone economies in 2009 i.e. European Crisis badly hit the Chinese companies. The exports and the demand of Chinese products began decreasing. The manufacturers in China started finding themselves with a lack of contracts to produce their design. One solution for them to overcome with this effect is to come up with their own brand names and unloading them on the domestic markets themselves.

This lead the Chinese manufactures to become Original Brand Manufacturer (OBM). This movement changed the China’s manufacturing empire, from copycat factories to Original Brand builder and producing the products under their own brand nameBrand Development Strategies by China.

Figure 1

Source: Weifeng Chen & John M.T. Balmer (2015)

China's Brand

Devlopment Strategies

Home Grown

e.g. Huwaei Corporate

Heritage

e.g. TongRen Tang

Joint Ventures

e.g. Volkswagen

Shanghai Automotive

Industry Corporation

Alliances

e.g. Air China and the Star

Alliance

Acquisition

e.g. Volvo by Geely

Associations

e.g. Lenovo with IBM




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These are some of the strategies adopted by Chinese brands to compete in the world market and introducing the product under its own Brand name. From the past so many years China used to import unbranded products in bulk at low price. The product ‘Made in China’ is always critized of cheap and low quality products.

This forced the Chinese government to take imitative to introduce new policies and reforms that not only improve the image of China as a country of Origin but launching the products and importing it under its own brand name.

Figure 1 provides the summary of the 6 major strategies adopted by China’s brands that are discussed below.

Home Grown: China has various brands, some which are known on the global stage, such as Huwaei, Haier etc.

Corporate Heritage: There are comparatively few corporate heritage brands that have survived from the last century and the trails of the Cultural Revolution. Few brands that are dating back to the seventeenth century. One of these is the Tong Ren Tang traditional Chinese medicine corporate brand.

Acquisition: This strategy help the Chinese companies to market its products under its own brand all over the world. China’s loe and admiration of overseas brands, the desire to own global brand, the lack of well established home brands and ability acquire extant brands are key features of China’s brand development strategy. For instance, the acquisition of the Volvo car brand Geely.

Association: one means of burnishing China’s indigenous corporate brands and other brand development strategy has been to engage in a temporary association with a high profile overseas corporate brand. The most celebrated instance of this is Lenovo’s temporary association with IBM.

Joint Ventures: this is a very common corporate brand development strategy that is been adopted by various companies. Consider the joint ventures of Shanghai Automotive Industry Corporation and Volkswagen (for example, Shanghai Volkswagen).

Alliance: This also represents different aspect of China’s brand development strategy. It is especially prominent in terms of airline alliances, Consider Air China and Shezhen Airlines’ membership of the One World Alliance; and China Eastern Airlines, China Southern Airlines and Xiamen Air’s membership of the Sky Alliance.

Branding In China: The Future Chinese MNEs developing international brands in the competing environment has not been straightforward. Competing with well established brands from the developed countries posed lot of difficulty for them. Chinese products have always been critized for its low and cheap quality. Chinese multinational companies ( for example Huwaei, Geely, Lenovo, Haier) laid emphasis and focused on lower price, advanced features, good quality, better customer service, innovation and product diversification.

Nirmalya Kumar, Visiting Professor, Marketing, at London Business School says: Chinese brands are following Tortoise Strategy just like Japan’s Toyota and Honda and Korea’s Samsung and Hyundai. The basic step is to enter with products that are sold at low price initially. This low price product provides access to price-sensitive consumers. Eventually, this move lead to the increase in Brand image that lead to the increased in quality and price of the products and commodities.

The various strategies adopted by Chinese firms to enter into the international market are strategic alliances, Joint ventures, acquisition etc. For instance, Lenovo after acquiring IBM launched its first Chinese computer brand in 2005. Similarly the acquisition of Volvo by Geely in 2010 and recently London Taxi in 2013, has made the Chinese automobile manufacturer as one




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of the toughest competitor in the automobile market. Huwaei is regarded as the China’s most innovative and global companies in the world (McGregor, 2012). No doubt, that China’s brand development is truly remarkable, the major role is played by the Chinese government in supporting the development of these Chinese international brands. With strategies that include innovation via public speeches, frequent visits to makers spacers and factories, creating prudential economic policies for the growth of domestic companies , providing large amount of funding R&D, innovative initiatives etc. There are various brands which are backed by the Central Government that will bring high value jobs and build the China Inc.

Tanner said “Many in Beijing aren’t happy about purchase of Japanese toilet seats and rice cookers, with the ‘Supply-Side Reforms’ buzzword in the capital hoping to address this. Though, Chinese brands are able to gain popularity in recent years but still it has long way to go.

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Consumer Perception towards Chinese Mobile Brand and their