The analysis of the case study is based on the Liabilities of foreignness (LOF) and the strategies of Huawei Company in UK. The paper discussed the internationalization process of Huawei as it is a leading telecommunication manufacturer in China. The basic objective of the research is to explore important factors that could impact on the Chinese international environment in decision making. It provides a detailed explanation about the analysis of entering in foreign market. It explains the market entry model of Huawei in the UK and also explains the modes of entry in UK. There are also some uncertainties of entrance in the market such as structure and real competitors also have great influence in the market. Therefore there are many kinds of advantages as well as disadvantages in the international market. The paper explored the consequences of entering in UK market by providing a great combination of introduction to the current situation of Huawei in UK market. It also compared the entrance of a way in Japan and the United States that provide great conditions of different countries and also clarify what advantages have we could gain in the international market. Liabilities of foreignness analysis also provide brief in the situational theory of LOF that is used to provide analysis and also overcome the weaknesses of the organization. In the end, the paper is concluded with the closely related strategies of how a way that could be used to formulate and also make decisions that is according to the requirement of customers.

Introduction

Huawei was founded 23 years ago in 1988 by Ren Zhengfie, he was a retired Army officer. It's a corporate firm that was included in famous state owned Chinese companies and it was a privately owned company and 180000 employees working, however, it was just a small distributed of imported products and it was based without telecommunication. After that, Huawei achieved a basic knowledge of telecommunication and also implement digital telephone by switching the effective advantage of technology from Shanghai Bell. They started selling its digital phone and also capturing the market of rural areas of China. After that company monopolize to the Chinese rural markets and afterward Huawei engaged in higher product quality. With the continuous improvement and development of supply to China's three largest operator such as China Mobile, China Telecom, and China Unicom. When how will gain proper reputation in China with the regard of internationalization, however, started its foreignness process at early stage as compared to another Chinese firm (Tsang & Fuschi., 2020).

The company did its first step for internationalization by providing customized designs for several different services for Telecom Hong Kong in 1996, and it was made a decision by the company to enter in the international market. Huawei selected Russia and America for 1^st and marketing was developed for these types of products. In 1996, Huawei entered in the Russian market and start or joint venture with Beto-Huawei with Russian Beto concern and Russian Telecom Development Company for four continuous years Huawei could not get any order. After 2000, Huawei extended its target market to other countries such as Southern Asia and Middle East that was sold in the West Europe market and famous as a local agency. Huawei started its operation as local agents in German France Spain and the UK.

Liability of foreignness LOF is a famous concept in globalization of business that provides to concept of work, cost of doing business on an international level. The system is based on the social phase and economic cost of business when they are operating in foreign market. Some expenses and costs, such as the economic system, have a chance to overcome the financial cost and other costs such as unfamiliarity and discrimination could not be overcome. The location strategy of any firm is the necessity to underpin the LOF, as it is significant for the emerging market. The host country and government institutions well aware of the strategies of the country and Huawei culture and nature of structure of the industry are also familiar with the business of country that requires less effort and cost to explore the business (Gaur, Kumar, & Sarathy., 2011). But while expanding business on an international level have different kinds of challenges such as culture, differentiation, and other economic as well as government policies that would impact on the work of business. The liability of foreignness has a great impact on the multinational companies and there it could influence the internationalization strategies of companies and forms that are based on entry mode and performance implications on international level. LOF is a difficult concept and stream with the identification of different types of LOF. It relates to different kinds of hazards and risks, such as unfamiliarity about the policies, discrimination, and culture differentiation. Huawei enters the United Kingdom with the great effort and her continuously implemented development for three years and gained the results.

Case analysis of Huwaei entering foreign markets

Huawei is seeking a new market for the growth and development and expand the business on an international level. The majority of profits in Chinese firm is highly regulated and concentrated on the industry such as oil and gas mining and real estate that is controlled by state-owned companies. Huawei is a privately owned as well as also Italic Communication Company that is a great hindrance in the development and also have intense pressure on profit. Huawei is looking for development and expanding new markets and to gain potential profit with the less competition. For this purpose all, Huawei decided to enter an international market. The business environment of any company has a great impact on the environmental factors that could be helpful for the internationalization of business and it could be classified as internal environment as well as external environment. These factors could include specific advantage policies and experience as well as strategies that could be implemented by the company. External environment deals with demand, competition, cultural conditions and political conditions that could treat change with the country and on an international level (Liu., 2020). The analysis shows that China has rapid development in the telecommunication industry and companies are working for the demand of customers. It is a great direct investment across the border to implement the global standards and also change in near future. After getting the development in Russian market, the Chinese started its work in United Kingdom that was great work for Huawei. Huawei is including in few Chinese companies that went successfully in internationalization. It was important to structure, characteristics and other features that play an important role in the high tech firms to enter in a new market and capture the market.

Market entry model of Huawei in the UK, Modes of entry

Huawei started its international operations in United Kingdom and open First Office in 2001 which employs 1500 people. After that, in 2005 it was awarded to buy $12 billion projects that would be helpful for the mobile network and merge the existing technologies. With the help of this contract, Huawei entered the European market and subsequently builds a global reputation. In 2018, it was the considered that Chinese companies made 3% of equipment and it is also considered third of used by Vodafone (Sun., 2009). Huawei produced its equipment with the implementation of 2G 3G and 4G network in the United Kingdom and Europe market. It captured 65% market share and a 2G and 4G wireless access network that captured 50% of market and this year of Vodafone. The company adopted different internationalization models that could be helpful to enter the international market such as:

· No regular export activities

· Independent representatives

· Establishment of subsidiaries

· International unit of manufacturing

These modes were helpful to provide sequence from low to higher degree of globalization and it was also believed that the foreign market entry strategies could follow these rules and methods that would be helpful to gain the proper exporting competitive alliances and other resources. The case study of liability of foreignness of having a company explains that a high-tech company must implement different methods that could be helpful to host the market and internationalization of business. Huawei implement three methods of enter in the foreign market. These were highly based on export based entry modes and investment modes. The basic objective of this internationalization policy is to implement the factors to take into consideration while implementing appropriate entry methods. These factors would help to provide pieces of evidence according to the desire of company to get decided by host market. These characteristics play a vital role in the development of Huawei in the United Kingdom and the European market (Cooke., 2012). The International marketing entry modes and Case study analyzed the entry modes that were taken into consideration and factors that influence the harvest and internationalization process that provide market entry modes and provide a complete guideline for the enterprises that captured the international market.

The concept of liability of foreignness is highly based on internationalization processes that helpful for the firms to increase their international involve involvement. It provides an opportunity for the firms to increase awareness and to also influence the international transaction that would also helpful to improve the profitability of the country. The above-mentioned modes of entry are based on proper suggestions of past research and it also affects on the commitment of the company.

Uncertainty of Huawei entering into market of UK

After entering in globalization of business in 2004, Huawei looks back to its major turning point and a strategy, while rapidly implemented by international manufacturers Samsung and Apple. Huawei noticed that the bottom of the market requirement was mostly ignored by international competitors and to the rivalry of domestic brands were also engaged in interesting opportunity. This was a success and turning point for Huawei in the market therefore they could compete with the uncertainties that were developed before entering in international market. Other challenges were played by another player of Market and share back in China. The company deals with the growing number of competitors such as Oppo, Vivo, Xiaomi and others. Huawei gain the advantage of capturing the market with its strategy and prediction of market demand (Schaefer., 2020). The disadvantages of globalization were related with the culture differentiation policy, distractions, and loss of home market, etc. In UK, culture is completely different from China and therefore the company faces some challenges in operating UK. Huawei is based on highest market share of the base station of 5G networks and it receives signals from smartphones and connections of Huawei at work. It means that it will take years of working in UK to replace the Huawei kit and parts of companies that will cost billions of dollars.

The policies of the UK government also different from Chinese government and it was based on the loss of losing the home-based market as the operating in the UK was all based on without any subsidy from the government. As it was a great hurdle between the success of globalization of Huawei but the management of the company makes strategies that would be helpful to interpret the strategies in a way that could gain development on international level. However, it is also pursuing to implement 5G technology in the UK and to recover the main development, but government of the UK bans 5G as it is considered evaluation of relationship of firms with either another country.

The results of Huawei entering the UK market

Several data shows that Huawei success is based on market selection and the entire strategy. After involving in globalization, Huawei occupied more than 50% of the market and become the Chinese biggest investment at the international level such as Russia. In European countries it was considered much better performance and it was also considered that it captured the portion of Cisco. Huawei not only gains high profit from Internationalization, but also implemented innovation in different ways that provide IT capabilities and strength during the process. According to the Survey of World Intellectual Property Organization in 2009, it was reported that Huawei ranked as the largest applicant under cooperation, treaty and applications published in replacing the Philips Electronics (Koigi, 2013). After Apple and Google, it was ranked third the world's most influential companies listed. Globalization plays a vital role in the world of business to make it capable of reshaping the corporate landscape. The consequences of involving the UK market in business of power were pleasant. But after the introduction of 5G, Huawei is facing many difficulties to stay in the UK market.

The technology is promises to get faster speeds and capacity to support the wireless devices for mobile phones, and it must be based on higher quality that should be based on 5G connections that are all already available in cities of UK. It was considered bad news for, Huawei that everyone in the UK with a mobile phone has threatened and to be more digitalized with the digital world. It is China's ambassador in the UK and it was decision-making offer Chinese government to become questionable whether you could provide open and fair environment for Chinese companies or not different set of telecom operators also affected by this decision and it was given to provide fixed-line infrastructure to Internet providers. It removes the uncertainty of decision that was used to slow down the investment and her development of 5G in the UK. Different companies assemble their equipment and manufacturing units in China, and it was told that if you reduce the investment of Chinese company then they could also suffer. So it could be said that new Huawei equipment could be bought by UK Mobile’s this year and it is also based on the fact that up to 2027 Huawei would be removed by 5G kits from the entire network (Wan, Williamson, & Pandit., 2020).

Analysis of entering in other countries

In 1996, Huawei started its international business with Russia and it was started as a joint venture of beto away with the beto concern and the Russian telecom that was implemented as a new player in the international market. The first stage of development on international level in Russia was a great difficult stage for how away and Huawei spent four years on waiting for a single order. It was a starting point for Internationalization and market was targeting the strategy and Huawei telecommunication infrastructure. Therefore it could not develop potentially. Telecommunication must require innovative features that could make market according to the division of Poor Social and cultural conditions. After that, Huawei started its operation in West Europe and North America that was a developed market. Huawei started to implement a variety of different methods such as franchising Co-Research Co-production and Co-Sales of telecommunication products. For instance, it was stated that the Huawei market started its product development and marketing with the help of Marconi. Marconi assists, Huawei to sell the product in European market by using their channels and Huawei helps to sell the products of Marconi in the Asia and Chinese market.

Huawei in Japan

Huawei started its business in Japan in 2005 and two the present Huawei has four offices and three research and development Departments in Japan. Currently, 950 employees and 75% are locally hired employees or working in Huawei Japan (Wong., 2012). Huawei is considered for a Chinese company that joins Japan Business Federation and actively contributing to the local economy and ICT industry. Huawei Japan is working with a leading Japanese carrier network and finding trails for coming 5G technologies. It also help board banned devices and recognizing the global quality of sport phones as it ranked number one in smartphone market share in Japan. So, in nutshell, we could say that Huawei Japan is getting better opportunity and market share in Japan.

Huawei in US

Huawei is concerned with the Chinese government and the United States also have some conflicts with the Chinese government. Therefore it was a fearful fact that could be used to spy on the countries and companies. It is considered basic reasons that in 2012 US band companies were using Huawei network equipment and complete was added to US Department of Commerce Bureau industry. Concerning these things, Donald Trump effectively banned Huawei from US communication network.

Huawei started its business in the United State in 2003 with the networking form Cisco that was accused in intellectual property theft. In 2017, President Donald Trump took action against Huawei and Huawei to become fast and furious and resigned executive from United State. With the improved and early strategies, Huawei started to compete for US and kept hitting the development and become most developed product of telecommunication in the United State.

Comparison of the market condition of Huawei in different countries

In 2002, Huawei started its Corporation with Motorola Mobile, an infrastructure that was used in the methods of OEM. The market was developed for data communication in American and international markets. Therefore, Huawei started its joint venture and its main player was data communication. Huawei started to take advantage of research and development programs and also implement the resources that were based on alliances and the telecommunication industry to illustrate the purpose of their production and trading (Cao & Alon., 2020). Research shows that Huawei success is based on the market selection and marketing strategies for taking first orders in the international market. In 2003, Huawei got sales volume of more than 0.3 billion in Russia and also expanding its broadband products that was occupying 50% of the Russian market. It was the biggest investment of China in the Russian market and it play a revenue rising 36% that was generated in much better performance as compared to other competitors. After getting the development in Russian market, the Chinese started its work in United Kingdom that was great work for Huawei. Huawei is including in few Chinese companies that went successfully in internationalization. It was an important structure, characteristics and other features that play an important role in the high tech firms to enter in new market and capture the market.

Liability of forgiveness Analysis of Huawei in the UK

Huawei is a role model of most Chinese firms and it could be adopted the internationalization process with the following of strategy of Huawei. Huawei experienced the lawsuit with Cisco and it was ended up with the compromising withdrew of all products sold in US market. It is hard to get success way of always applicable or other companies in a developing country, but company could go into a market that can afford high-cost equipment that is provided in European and US companies to get sideway of crab strategy. It could also determine that more and more Chinese form could follow the development way of how away and start to take their place in international market. Cost-effectiveness strategies could be helpful to improve the market and to develop in the international market (Glowik., 2020).

Conclusion

Huawei is one of the best companies in China that go for Globalization. The case study of Huawei shows ability of foreignness of Huawei is based on the communication equipment industry and it is implemented with the proper analysis and characteristics that play a vital role in the high tech firms and foreign market. High Tech enterprises of China have less importance in choosing the entry mode, and it is also explained that Huawei follow basic methods and modes to enter the international market and wait for a long success way. The company has consistent development and consistency in waiting for getting orders, and it was a great development and a huge investment for strategic purpose (Szunomar, Karas, & Oehler-Sincai., 2020).

After the great efforts of two decades Chinese technology of Huawei Enterprise is able to enter in the globalization. Case study of internationalization of Huawei explains that high tech enterprises in new economy have to implement different methods in different markets to get the development. After getting development in Russia and other international market always started to focus on developing market and this provide it a stage of exploring the global market. However, Huawei started to enter in EU market and the Huawei’s first step was to target the journey. The company set up it’s headquartered in London, United Kingdom and with this step Huawei enters into UK. After exploring the European Union market power, Huawei also enter in United State market and face different challenges in Telecom Company called Cisco Systems that was occupied approximately 80% in the market. After continuous development of three year Huawei captured 12% and also reduced the value of Cisco to 69%. It was a great interest to assess the global market and considered necessary outlined with the relevant literature and provide field of better opportunity for standardization.

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