This case study describes HereWay Inc., a fictional telecommunications company based in Guangdong, China that manufactures a popular line of smartphones called Soar. At present, HereWay is highly successful at serving its domestic markets. Despite their current local success, however, HereWay has been planning to expand into several international markets. Their initial expansion plans involved introducing their product to the United States market in order to compete with low-cost smartphones being sold by other Chinese and Korean manufacturers. The benefit of constructing local distribution will be discussed.