Transsion, known as the "King of Smartphone in Africa," holds a 40% market share in Africa. Its focus on low-end smartphones and effective brand promotion has contributed to its success in the region.

Global smartphone shipments grew by 10% year-on-year in Q1 2024, reaching 296.2 million units, according to data from Canalys. This marks the first double-digit growth after ten quarters of contraction. The growth was driven by emerging markets such as Latin America, the Middle East, and Africa, while mature markets like North America and Europe lagged behind.

Li Fei sees immense potential in Africa's growing consumer electronics market, akin to Huaqiangbei in China's tech hub Shenzhen city a decade ago. Despite rising competition, the African market promises substantial profits for those with the right skills and perseverance.

Xiaomi's strategy of offering high-quality products at affordable prices, coupled with effective localization and strong online presence, has significantly contributed to its growth in overseas markets. By tailoring products and marketing strategies to suit local preferences, Xiaomi has been able to establish a strong brand image and gain market share in various regions, particularly in emerging markets.

Second-hand phones are popular in the Middle East due to their affordability and the availability of highly sought-after device brands, such as Apple and Samsung. The growing popularity of refurbished devices, driven by factors like economic reform and digital transformation, has also contributed to the demand for second-hand phones in the region.

Chinese brands face several challenges in emerging markets, such as navigating local customs, economic disparities, and diverse channel operations. Additionally, they must tackle policy uncertainties, the need for localization, and unfair practices under the guise of supporting local industries. Despite these obstacles, Chinese brands are adapting by understanding local market demands and building reputations through quality products and after-sales support.

In 2024, the growth of the smartphone market was driven by emerging markets such as Africa, the Middle East, and Southeast Asia, while mature markets like North America and Europe lagged behind. This growth was fueled by economic recovery, demographic dividends, and increased technological penetration in these regions.