Saturday, October 5, 2013


HTC Corporation the largest manufacturers of smart phones in Taiwan revealed its financial results for the third quarter of the current year , which reported a net loss to 101 million U.S. dollars , but this remains more than analysts' expectations , which had been indicating that the company would incur losses to 58.293 million U.S. dollars only. It also comes These figures also given the decline in HTC Corporation for the list of the top five manufacturers as a result of the large competition that became imposed by Chinese companies such as Huawei and ZTE and others , in addition to compete with other companies highlights such as Samsung and Apple , especially in the United States, which are among the important markets .
In this context, " Wang Wanli " , an analyst at one of the companies active in the field of risk management Securities in Taipei said :
The HTC Corporation should take a definite decision on the focus on the smart phone market with the highest specifications and developed, or focus on low-phone market, at least in terms of specifications and prices, and thus the angle of vision and the competition of the company will become clearer.
Decline in sales:

There were some expectations in July about HTC company , which indicated that the quarterly sales of the latter will see decreased for the eighth time in a row ,  HTC confirmed then that its sales for the third quarter amounted to 1.602 billion U.S. dollars, while the operating loss for the same period amounted to 119.3 million U.S. dollars . This at a time when the company is trying to compete with Samsung and Apple by "HTC One" phone which saw shipments decline significantly after its launch , due to the presence of some of the problems in the camera of the phone.

It should also be noted that HTC Corporation , which currently occupies the ninth position in the list of smart phone manufacturers globally, has dropped its market share is the other from 5.8 percent in 2012 to 2.8 percent in the second quarter of this year , and this , according to the Foundation IDC Research .

Strategy Options:

Despite all this crisis situation, but that there are strategy options remains on the table in front of HTC Corporation to adopt and out so the current crisis, where we find that there are plans to guide the company towards the demobilization of 20 percent of its employees and thus the possibility of reducing the losses Alchglah, the same style that she wanted company BlackPerry followed through demobilization for 40 percent of its employees. Or perhaps there is an option adopted the Taiwanese company to own the idea of ​​Microsoft launched a series ignite Regular Android phones and Windows Phone together, which will give a strong boost to sales, or it may be beyond that when we see the possibility of HTC Corporation for sale.
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