Published May 22, 2015 | Version v1
Publication

Developing new integrated business model to consolidate heat pump products in Chinese Market

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Description

This thesis is based on a project, which began in September 2014 and finished until in May 2015. The commissioning company in this project is Oilon Oy. Oilon Oy is a Finnish company based in Lahti, which has branches in over 20 countries. Oilon has launched its heat pump products in Chinese market two years ago. Currently Oilon is facing challenges in increasing sales and gaining market shares due to certain critical factors in the Chinese market. For instance, the heat pump industry in the Chinese air-conditioning market lacks of legislation and regulation. Heat pump products had lost their reputation due to the chaos in the market. On the other hands, the competition in Chinese air-conditioning market is huge. However, due to the increasing level of pollution, Chinese government is keen on supporting low carbon environment-friendly products politically and financially. These factors above give both incentives and challenges for Oilon to develop its heat pump product in China. Therefore, the development of a new business model for Oilon is necessary. In this thesis, the current business model was analyzed as well as the current external environment and dynamic performance of Oilon. After this, a new integrated business model was developed based on the analysis and research. The mechanism of the new business model is to integrate and utilize different business partners in order to approach to new customer segments, providing new value propositions with new activities and eventually generate new revenue streams.

Additional details

Created:
February 22, 2023
Modified:
November 28, 2023