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Dalian Xinyi: Expanding from Offline Catch Doll to Online Catch Doll
Dalian Xinyi Electronics Co., Ltd. (Dalian Xinyi), founded in 2014 and based in the province of Liaoning, China, had created a catch doll brand, Paw Toy, and operated more than 10 physical catch doll stores across the country. To deal with fierce competition from offline competitors, Dalian Xinyi had developed an online claw game application (app) in 2018 and had become a domestic Chinese catch doll brand, operating both an online app and offline stores. Although the performance of the online catch doll app was improving, especially in the context of the COVID-19 pandemic, Zefei Su, the founder and president of Dalian Xinyi, knew that the online app still faced design flaws such as a lack of ranking and sharing functions, problems with simple brand promotion strategies, and fierce competition from other online catch doll apps. Su was facing an important decision concerning Dalian Xinyi’s future: Should the company return its focus to the operation of offline catch doll stores, even while online catch doll gaming seemed to be a future trend? -
Beijing Xiaomi Technology Co.: Growth Via Online Channels
Beijing Xiaomi Technology Co. Ltd. (Xiaomi) had grown into the third-largest cell phone brand in China and the sixth-largest in the world. The company solely deployed online channels, which contributed to its success. In the initial stage, Xiaomi depended on its own online channel to interact with consumers to develop user-friendly products and sell products. Three years after its inception, the company successfully established its flagship store on the largest business-to-consumer e-commerce platform in China. However, Xiaomi was facing a series of challenges, such as competitors’ imitation and consumer complaints regarding services. Xiaomi was at a crossroads: should it stick to its online channels or develop online-to-offline channels?