Huawei Enters the United States Essay Example

Huawei is a telecommunication firm that faced greater resistance in the United States due to the pressure from the foreign policy between the antagonizing Chinese and US governments. The committee in the United States that deals with the control of foreign investments caused sanctions on Huawei company because it was believed that it had closer bonds with the Chinese State at large therefore resulting in fear for its citizens in the security domain. (Harold, et al. 2011)

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The committee further suggested that Huawei breaks acquisition of 3Leaf assets from the server technology company in the United States thus making Huawei Company incur losses regarding monetary value. More so, it is clear that US authorities feared that the Huawei Company would swallow and paralyze the local Cisco Company since Huawei's products were of high quality. Huawei Company wondered on how they could get approval from the committee since despite performing well planetary its growth was utterly dismal in the United States context. Even after collaborating with H3C, still had little popularity in the United States. (Azad, S. 2017). The electronics manufacturing entity known as 3Com used to buy shares efficiently from Huawei with ease, but the committee got alarmed when Huawei Company became one with Bain capital with the intention of procuring 3Com. It was because the United States was using 3Com products in blocking any person intending to maliciously tamper with the security of cyber thus ultimately resulting at the end of the deal. This would ultimately allow the Chinese government to access most of the secret information of the United States since with was believed that Huawei had a close relationship with the Chinese government.

The committee comprised of nine important departments of which some included; Department dealing with the provision of justice, the department dealing with defense, the department dealing with commerce and department dealing with homeland security also composed of offices. Due to the existence of all these departments, Huawei continues suffering from the foreign policy of investment getting limited access to most areas.

Despite the restriction that Huawei Company received as a victim of large foreign policy, its operations were not blocked from advancing and growing in other countries though it did not grow further in the United States. Between the year 2001 to 2011, Huawei Company gained popularity not only in China but also other continents such as Europe and Africa. (Economy, E. 2018). Locally in China, the company took control of about 30% of the economy of China. It also expanded and acquired contracts from other countries in the world creating more job opportunities for the citizens. Its achievements came from foreign consultants which included Microsoft and other management.

Conclusion

The company further expanded its working areas to European countries gaining more popularity to the extent of being awarded due to its excellent performances and majorly important processes. In the year 2010, Huawei had sold over approximately 22billion equipment thereby ranked in the top three globally among other giant companies., In 2011, Huawei had expanded its operations in 140 countries in the world making it on the top list of leading provider of Information and communication technology. Huawei Company was also leading with $12.3 of operating profits followed by Cisco systems and ZTE Company trailing by $0.15 operating profits. (Kroeber, A. R. 2016).

References

Azad, S. (2017). Iran and China: A new approach to their bilateral relations.

Cao, H., & Poy, V. (2011). The China Challenge: Sino-Canadian Relations in the 21st Century. Ottawa: University of Ottawa Press.

Economy, E. (2018). The third revolution: Xi Jinping and the new Chinese state.

Harold, S., Libicki, M. C., & Cevallos, A. S. (2016). Getting to yes with China in cyberspace.

Kroeber, A. R. (2016). China's Economy : What Everyone Needs to Know. Oxford University Press.