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Case Study

Han’s Laser (C): Redefine the business (2009 and beyond)

By Winter Nie, Abraham Hongze Lu and James J. D. Wang

3 pages

December 2010

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Reference: IMD-3-2176

After redefining its growth strategy and repositioning itself as a light sourcing company, Han’s Laser diversified into providing industrial solutions (rather than just products and services) for other industries. This led it into the fast-growing LED and solar industries. It also entered the real estate industry and made a small foray globally with a small stake in an Italian company. The company also implemented a new service policy, whereby the company would provide service free of charge for the first year after which it would offer the possibility of purchasing a VIP worry-free plan with an annual fee equal to 3% to 5% of the value of the machine. However, there was some severe resistance to this from some of the company’s biggest customers.

Learning Objective

This case leads to a discussion centered on the options of redefining and repositioning a company for growth and profit. The change in service policy that the company implemented also leads to a discussion about how sales can deal with resistance from key customers.

Keywords

Laser Equipment, General Management, Strategy

Settings

China
2000-2009

Available Languages

English

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This case study is part of a series

Han’s Laser (A): A high-tech company with Chinese characteristics (1996-2000)
Han’s Laser (A1): Solving the cash problem (2000-2009)
Han’s Laser (B): The challenge of growth and profitability (2000-2009)
Han’s Laser (C): Redefine the business (2009 and beyond)

This case study is part of a series

Han’s Laser (A): A high-tech company with Chinese characteristics (1996-2000)
Han’s Laser (A1): Solving the cash problem (2000-2009)
Han’s Laser (B): The challenge of growth and profitability (2000-2009)
Han’s Laser (C): Redefine the business (2009 and beyond)

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