Hadlee Simons / Android Authority
TL;DR
- HONOR CEO George Zhao has outlined the corporate’s growth plans.
- The agency mentioned it needs to develop in Latin America and views Brazil as “crucially important.”
- Brazil has confirmed to be an immensely powerful market for smartphone manufacturers, although.
HONOR is an enormous identify within the Chinese market, vying with Apple and HUAWEI for the primary spot within the nation. Now, the smartphone producer has outlined its plans for growth.
“Three years from now, over 50% of HONOR’s sales will come from the global market,” HONOR CEO George Zhao famous to a gaggle of journalists (together with Android Authority).
Zhao added that HONOR needs to develop its presence in Latin America over the next three years, particularly pointing to Brazil as a key goal.
“HONOR is eager to enter Brazil, and we are preparing for that,” the smartphone govt defined, including that they wished to make sure a robust provide chain earlier than getting into the nation. He additionally pressured that Brazil is “crucially important” for the producer.
Zhao broadly outlined the way it deliberate to compete in Brazil:
The smartphone is a common product. It’s utilized in Europe, Brazil, within the Middle East the identical (sic). If Honor can compete with Samsung within the premium market in Europe, I consider we will compete in Brazil. Motorola additionally has enterprise in China, but its market dimension is fairly low. For us, now we have confidence about our product portfolio.
One of the hardest markets on the earth
Paul Jones / Android Authority
It’s simpler mentioned than executed for a smartphone producer to achieve Brazil, although. The nation has lengthy been dominated by Samsung and Motorola and has confirmed to be a tricky nut to crack for brand spanking new entrants.
Compounding issues is the truth that Brazilians have historically paid a fortune in gross sales tax on smartphones. This has resulted in firms like Motorola manufacturing telephones domestically to scale back taxes and provide extra aggressive costs.
The excellent news is that Zhao acknowledged these manufacturing and tax challenges. However, the corporate didn’t announce any concrete plans to deal with these hurdles simply but.
Needless to say, it is going to take extra for HONOR to achieve Brazil than merely providing better-quality smartphones. So we hope the corporate does certainly have options earlier than leaping footlong into the market.