Why did Cook visit China seven times in four years?

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Looking back on these seven visits to China, we can see that Cook first received orders to save the situation in an emergency, then continued to make breakthroughs and expand market share, and then promoted the brand and enhanced the image. We can see that Cook had different purposes at different stages, and his intentions were obvious and in-depth.

Since the second visit to China, the media has reviewed each visit to China, mostly in the form of photos + brief text summary. I want to write something special. Jobs never came to China when he was in office, but Cook came seven times in four years. In addition to the event itself and the media press releases, there must be something behind it.
The first visit to China was in March 2012, with the purpose of: emergency rescue + crisis public relations

The most sensational event in the mobile phone market from the second half of 2011 to the first half of 2012 was Nokia's loss of the throne and Samsung's rise to the top. In the Chinese market, the trend of smartphones replacing feature phones driven by operators is about to come (in mid-2012, the share of smartphones exceeded that of feature phones for the first time).

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iResearch released a report on the Chinese smartphone market in 2011, showing that both Samsung overseas and ZTE and Huawei domestically have seen their market shares grow rapidly, while Nokia's market share has also declined, as has Apple. Therefore, Cook's visit has a lot to do with the decline in market share.

Along with the decline in market share, there was also the iPad trademark infringement case. Shenzhen Proview Technology sued Apple for trademark infringement and demanded a ban on the sale of iPad in Shanghai. Han Han and 22 other writers sued Apple for infringing on their personal copyrights in the name of the "Writers' Rights Protection Alliance." More importantly, 250,000 Americans petitioned for better treatment of Apple's Chinese workers, and domestic media reported on Apple's use of sweatshops, such as the Xinhua News Agency's special report "Topic: 250,000 Americans petition for better treatment of Chinese workers?".

As the market declined, the brand image also encountered a crisis, which forced Cook, who had just taken office, to come to China in person. He met with the top management of China Unicom and China Telecom and hinted at increasing investment in China. The purpose of this visit to China was basically achieved, with only a trademark dispute left, which was settled with $60 million a few months later.
The second, third and fourth visits to China were in January 2013, July 2013 and January 2014 respectively, within a year. The main purpose was to cooperate with China Mobile and expand the Chinese market.

The order of these three contacts with the three operators is:

In January 2013, China Unicom, China Telecom and China Mobile promoted cooperation with China Mobile.

In July 2013, China Mobile, China Unicom and China Telecom worked hard to reach cooperation with China Mobile.

In January 2014, China Mobile officially reached a cooperation agreement and launched a new product promotion campaign.

It can be seen that the negotiations between Apple and China Mobile have been protracted. In fact, looking at Apple's market share before its two visits to China in 2013, we can see the urgency of cooperating with China Mobile.

In Q4 2012, Apple's Asia Pacific business grew by 25% year-on-year, and the Chinese market contributed 2/3 of this business. After the iPhone 5 was launched in mainland China, it created a record high of more than 2 million units sold in three days. Apple recognizes the importance of the Chinese market, but China Mobile, the world's largest operator, has not yet reached a cooperation agreement with it.

In Q2 2013, Apple's revenue in Greater China was 4.64 billion yuan, a year-on-year decrease of 14% and a month-on-month decline of 43%. Perhaps the most effective way to save the market is to cooperate with China Mobile.

There is another important statistic. As of the end of 2012, the number of iPhone users online at China Mobile exceeded 30 million, accounting for 80% of iPhone users. However, China Telecom and China Unicom, which consumed a lot of subsidies, had only 1.7 million and 7 million iPhone users respectively during the same period.

In fact, since the first generation of iPhone came out in 2007, China Mobile has taken the lead in launching substantive cooperation negotiations with Apple. Over a period of six years, the top leaders met eight or nine times, and the negotiation team held countless meetings. During these three visits to China, there was also promotion from the Ministry of Industry and Information Technology. The two proud people both gave in and reached a cooperation. Whether it was too late or not, the evaluation is different.
The fifth, sixth and seventh visits to China were in October 2014, May 2015 and October 2015 respectively, within a year. The biggest purpose was to promote the brand at a higher level.

It is well known that Apple products have a high brand premium. They cost about 2,000 yuan but can be bought for 5,000 or 6,000 yuan, but consumers are more willing to accept this value. Generally, brand communication is achieved through advertising and other means. There are also less commercial methods, which foreign companies such as Microsoft, Qualcomm, Samsung, and Intel have done in the process of entering China, such as environmental charity, management concept and innovation model communication, and cultural concept promotion. These projects seem to have nothing to do with direct market behavior, but they help to integrate into the local culture and enhance the image of the company and brand.

Since 2014, Apple's market share in China has continued to rise. At this time, it is difficult for Apple to have a sudden breakthrough in market share, nor will it have an inexplicable decline. It is the time to deeply root in the Chinese market and move forward step by step. It is necessary to carry out higher-level brand communication. So what we have done in the past three visits to China is:

1. Internal care. Visited the Foxconn factory in Zhengzhou in October 2014, and visited Apple employees in May and October 2015. Strengthening internal care is conducive to word-of-mouth communication from the inside out. Of course, it can also strengthen its humanized communication through the media.

2. Management philosophy and cultural communication. In October 2014, Apple exchanged management experience as a member of the Advisory Committee of Tsinghua SEM, and strengthened the cooperation between Apple and Tsinghua University in energy technology and other fields. Apple University will soon be promoted in China, and it is an important tool for promoting Apple's cultural philosophy.

3. Focus on education, environmental protection and charity. In May 2015, he visited a primary school in Beijing that used iPads for teaching, and in the past two visits to China, he promoted Apple's new environmental protection project in China.

Looking back at these seven visits to China, we can see that Cook first received orders to save the company in a time of crisis, then continued to work hard to expand market share, and then promoted the brand and enhanced its image. We can see that Cook had different purposes at different stages, and his intentions were obvious and in-depth. From the seven visits to China, we can also see that Apple is gradually gaining a foothold in the Chinese market.

So, what will be the mission of the next phase of the visit to China? When the innovation of Apple products gradually weakens, is it to promote new products? When the dominant position of operators in the channel weakens, is it to promote channel reform? With the increase in the share of domestic operating systems and chips, is it to cooperate on information security? The goals of these three levels have been more or less reflected in the three recent visits to China, but they are not the focus. What do you think?