.3 G To Start Early China Unicom Competitive Strategy

China Unicom was founded in Jul, 7, 1994. Its foundation indicated the hard beginning of the China telecom industry reforming. Through more than 10 years' development, Unicom has established two mobile radio communication networks covering the whole nation. Up to June in this year, it customers has reached more than 135 millions. In china today, there are two oligarchs monopolize the mobile communication industry. In this market, China Mobile is the leader with market share of 65%; China Unicom is the second follower with market share of 35%.3G, the abbreviation of the 3rd Generation, indicates the 3rd generation technology of the mobile communication. So far, the authority has not granted any 3G license plate to any company. But it indicates that the authority may grant it at the end of this year or at the beginning of the next year in due course. The timing, quantity and the object of the license plate grant has been highly regarded by the relevant interest groups such as the manufacturers, operators. Then, the monopolization will be broken after the grant of the license plate of the 3G because many companies such as China Mobile, china Unicorn, China Telecom and China Netcom will own the license with the different types.It is an important strategic opportunity period for China Unicom during the first 3 or 5 years of the 3G startup. Which competitive strategy should be adopted by the Unicorn to compete in the 3G market, which is more complex than the 2G market? In this article, the author tries to formulate the competitive and developing strategy of the early days of the 3G startup for the China Unicom through the intensive study of the macro environment, industry environment and the inner strategic factors. I believe the differentiation strategy is the best option for China Unicom in the early days of the startup. By carrying out the differentiation strategy, China Unicom can narrow the gap between it and China Mobile gradually and will keep the advantage of the first mover to the market followers such as China Telecom and Netcom. By the great efforts in the first 3 or 5 years of the 3G startup, the object of the company—to create the first class and be the superior telecom enterprise in the world—will come into being gradually.