STRATEGIE: TAKING THE COMPETITION TO COMPETITORS WITH “TRANSACTIONAL MODEL” Agenda • Brief Summary about the case • Global PC Industry • Lenovo: From Emerging to Surging • Key Challenges of Lenovo from the case • Recommendations Agenda • Brief Summary about the case • Global PC Industry • Lenovo: From Emerging to Surging • Key Challenges of Lenovo from the case • Recommendations Overview of Global PC Industry Overview of Global PC Industry • Since early 1980s, PC industry
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Introduction Lenovo was founded in 1984 as one of the institute-sponsored companies in Beijing. It started as the New Technology Development Company (NTD Co.) of the Institute of Computing Technology (ICT) of the Chinese Academy of Sciences (CAS) and considered a pioneer of Chinese market reform in the science and technology sectors. The company’s first technological innovation, a Chinese-language add-on card, was stemmed from ICT researcher Ni Guangnan. The name of the add-on card- Lianxiang-
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9B13N017 LENOVO GROUP LIMITED – A GOOD INVESTMENT FOR THE FUND? 1 Ken Mark wrote this case under the supervision of Professors Craig Dunbar and Stephen Foerster solely to provide material for class discussion. The authors do not intend to illustrate either effective or ineffective handling of a managerial situation. The authors may have disguised certain names and other identifying information to protect confidentiality. This publication may not be transmitted, photocopied, digitized or
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LENOVO GOES GLOBAL 1. What are the three major challenges that Lenovo faces in the next 5 years? How should we address them? a. The first major challenge that Lenovo will face is turning their recent purchase of Motorola from red to black regarding profits. According to CRN.com, in 2013, Motorola was operating with a $928 million loss. The prior year, 2012, was not much better with a loss of $616 million. Lenovo has proven that they are capable of turning unprofitable markets around when they
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Product: Lenovo refers to an organization which manufactures laptops, PC’s, workstations, software’s, accessories, storage devices. The number of IT software’s offered by Lenovo are marketed under the name Think Vantage (ThinkPad) has been generating about half of the revenues in China. Lenovo’s major chunk of business comes from selling desktops, laptops & notebooks & the workstations. The highest revenue generating countries refers to Japan, China & US. Lenovo adopts a special product
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case • Global PC Industry • Lenovo: From Emerging to Surging • Key Challenges of Lenovo from the case • RecommendaKons Agenda • Brief Summary about the case • Global PC Industry • Lenovo: From Emerging to Surging • Key Challenges of Lenovo from the case • RecommendaKons
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LENOVO – The Global Challenger from an Emerging Market. Background information: Lenovo -Chinese multinational technology firm -Headquarters in Beijing, China -North Carolina, United States -Year 2011, world’s second largest personal computer vendor by unit sales after HP -operate > 160 Countries -Founded in Beijing in 1984 Lenovo is one of the largest famous personal computer makers in the world. Today, Lenovo strives to be the global market share leader in each of the market we serve
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International Expansion Strategy for Lenovo Company Table 1. Introduction 2 2. Motives of international expansion strategy of Lenovo 2 3. Determination of target market 4 3.1 Macro environment factor 4 3.2 Characteristic of Lenovo Company 6 4. Market entry mode 7 4.1 Exporting mode 7 4.2 Licensing and franchising mode 8 4.3 Joint Venture 9 4.4 Wholly owned subsidiary 10 5. International competitive strategy 10 5.1 Strategy clock model 11 5.2 Center identification
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Lenovo Inc. Income Statement Analysis In most Chinese people’s minds, Lenovo is the most famous computer brand. In the past few decades, Lenovo computer has become a lot of Chinese families’ first computer. Lenovo Inc. is a Chinese multinational computer technology company with headquarters in Beijing, China, and Morrisville, North Carolina, United States. It designs, develops, manufactures and sells personal computers, tablet computers, smartphones, workstations, servers, electronic storage devices
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For years, the amount of outward investment from China had been small compared to investment into China. The main reasons for this are rooted in China’s history and politics. From 1949, when the Communist regime of the People’s Republic of China began, through 1979, there was virtually no outward FDI from China. This was partially due to political obstacles, as the regime was not recognized as the official government of China by many companies until the late 1960s or early 1970s. However, the
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