Home Articles Abstract
Research Article

The Case Study of the Entry and Expansion Strategy of Haier in Korea: Will the Myth of ‘Haier with Higher’ be Continue in Korea?

Han Byoung Sop

Sunchon National University

Published: January 2007 · Vol. 11, No. 1 · pp. 1-27
Full Text

Abstract

Recent years have witnessed the emergence of Chinese multinationals with a presence in both developed and developing countries. Yet little is known about them. This paper presents a case study of one of the leading Chinese multinationals, the Haier Group. The Haier Group is China’s ambassador to appliance stores all over the world. Formerly Qingdao Refrigerator Plant, the company climbed from the verge of bankruptcy to establish itself as a world-renowned brand. China’s largest appliance maker manufactures refrigerators, freezers, air conditioners and more. Haier Group exports goods to more than 160 countries. CEO Zhang Ruimin took the reins of the government-controlled company in 1984. His first act as CEO was to smash 76 poor-quality refrigerators with a hammer to drive home his intentions to improve product quality. Under the Zhang Ruimin’s tutelage, this appliance manufacturer has grown from its humble beginnings as a small refrigerator factory on China’s eastern coast, to a $8.73 billion company, which recently became the No. 1 fridge maker worldwide. Haier, which already has 13 overseas factories from the Philippines to Iran is focusing on expanding into Korea. Will The Myth of “Haier with Higher” be Continue in Korea?. This case study focused on the entry and expansion strategy of Haier in Korea.
Keywords: 하이얼시장진입시장확대중국한국다국적기업