Haier taking on America

People visiting Haier's pavillion at the 2010 International Consumer Electronics Show in Las Vegas. [Photo/Xinhua]

He took over the reins from former Haier America president Michael Jemal in 2009 after being his right hand man for a decade.

Kan insists that Haier America is "very much American" in terms of its employees composition and work culture.

The company celebrates Chinese New Year just as it celebrates the Fourth of July and every US holidays.

While most Chinese companies chose to enter other Asian markets before attempting to penetrate the more unfamiliar markets of the US and Europe, Haier's strategy has been exactly the opposite.

Kan said that it firmly believed that if it could succeed in the West, it would then be able to do well in other Asian markets.

Although Asian players such as Samsung and LG Electronics started their US businesses much earlier, Haier doesn't view them as threats but "strong Asian brands that we can emulate".

"They represent the Asian community. So we try to learn from the best. But we are very confident of our own approach," he added.

Carving out a niche market has proved to be key part of its strategy in a US home appliances market dominated by American companies, such as GE Appliances, Whirlpool and Maytag (before it was acquired by Whirlpool).

One of its best opening moves was to win over American customers, and Haier found early success with mini-fridges for hotels and offices and for home use, a segment that the big players had avoided due to its relatively small size.

But for Haier, it was an ideal opportunity to gain consumer trust, he said.

After establishing itself with its mini-fridges, Haier then began to move into higher-end refrigerators and other appliances such as air conditioners, washing machines, and dishwashers.

Another key area in its US success has been R&D and thorough market research.

To understand its customers' needs, Haier invested heavily in a program of sending its own R&D people out to talk directly to customers and salespeople in stores right across the country to get their feedback on its products.

Not only are its full-size refrigerators produced in-market, but a design center in Los Angeles makes sure all products are tailored for the US market.

"We are continuously looking to differentiate ourselves so we can create our own part of the US appliance market," Kan said.

He adds that Haier prides itself in its ability and speed to convert ideas into products in the shortest possible time.