Firms should focus on higher profit margins rather than boosting shipments, say experts

Premier Li Keqiang's first trip of 2015, to the headquarters of smartphone giant Huawei Technologies Co Ltd in Shenzhen, Guangdong province, sent the world a clear message of the importance attached to the country's domestic handset industry.

But as local vendors continue to take on established industry heavyweights such as Apple Inc and Samsung Electronics Co, experts are warning of a less-profitable market in 2015 and beyond, and suggesting that many should focus on higher profit margins rather than simply increasing shipments.