- National Security Concerns 2) Geopolitical Tensions 3) Technological Leadership and Innovation 4) Corporate Strategy and Global Expansion
Huawei’s ascendancy as a leading provider of telecommunications equipment, especially in 5G technology, underscores the pivotal role of technological leadership in shaping competitive advantage within the industry. Huawei’s success can be attributed to its relentless pursuit of innovation, substantial research and development (R&D) investments, and adept navigation of regulatory challenges and market uncertainties (Porter, 1990, p. 88). However, the ban on Huawei poses significant challenges to its continued innovation and technological advancement.
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The exclusion of Huawei from key markets impedes its access to vital resources, talent pools, and collaborative opportunities, hindering its ability to sustain its competitive edge (Ghemawat, 2001, p. 145). Moreover, the erosion of trust in Huawei’s brand due to security concerns could undermine its efforts to foster partnerships and alliances with other industry players. Consequently, Huawei must recalibrate its innovation strategies, enhancing transparency, reliability, and security in its products and services to regain market confidence and ensure long-term sustainability (Orr & Tao, 2019, p. 2).