As part of our TQM studies, we choose Lenovo as a company to study.Information given in this presentation where all came from the references that the researchers (students) explore from the internet. The references where at the end of the presentation. Thank you. THIS IS FOR EDUCATIONAL PURPOSES ONLY.
1. Competition in the global PC market
2 a) The strategies of the major competitors in PC
industries
b) Reasons for Lenovo’s increase in Market Share
3. Lenovo’s current strategy
4. Contribution of IBM for Lenovo in global market
5. Lenovo’s keys for generic successful global strategy
Hult IBS - Case Study HBS 701052 -- Legend Lenovo -- FEB-2013Maximilien Meilleur
Case Study of HBS 701052: Technology Legend in China as part of Global Strategy (STR5923) at Hult International Business School
-----------------------
Main question:
How can we increase revenues from US$2.3bn to US$10bn by 2005?
Secondary questions:
Is the current strategy sufficient to achieve that goal? And if not, what else could be done?
How did Legend beat the “top dogs” and became the #1 PC manufacturer in China?
When Chinese computer company Lenovo dispatched a team to New York in 2004 to discuss acquiring the personal computer division of IBM, Lenovo was an offshoot of a Chinese government research institute, and none of the leadership team had operated outside Chinese-speaking Asia. Yet they were dealing with executives from IBM, a sophisticated multinational active in 160 markets.
Once Lenovo acquired the much larger but unprofitable PC division on May 1, 2005, for US$1.75 billion, the two sides discovered that they truly didn’t understand each other.
Around 2010, after overcoming many challenges, the company finally began to click. Today, Lenovo has emerged as China’s first true multinational. Lenovo’s experience thus has broad implications for the future of China’s economy and its outreach into the world.
The company deserves the technical management especially in the research of the product and development. Lenovo holds the largest customer share in china. Europe has the opportunity of the global market share. The objective of the company is developing the overall experience of pc ownership driving to the total cost.
As part of our TQM studies, we choose Lenovo as a company to study.Information given in this presentation where all came from the references that the researchers (students) explore from the internet. The references where at the end of the presentation. Thank you. THIS IS FOR EDUCATIONAL PURPOSES ONLY.
1. Competition in the global PC market
2 a) The strategies of the major competitors in PC
industries
b) Reasons for Lenovo’s increase in Market Share
3. Lenovo’s current strategy
4. Contribution of IBM for Lenovo in global market
5. Lenovo’s keys for generic successful global strategy
Hult IBS - Case Study HBS 701052 -- Legend Lenovo -- FEB-2013Maximilien Meilleur
Case Study of HBS 701052: Technology Legend in China as part of Global Strategy (STR5923) at Hult International Business School
-----------------------
Main question:
How can we increase revenues from US$2.3bn to US$10bn by 2005?
Secondary questions:
Is the current strategy sufficient to achieve that goal? And if not, what else could be done?
How did Legend beat the “top dogs” and became the #1 PC manufacturer in China?
When Chinese computer company Lenovo dispatched a team to New York in 2004 to discuss acquiring the personal computer division of IBM, Lenovo was an offshoot of a Chinese government research institute, and none of the leadership team had operated outside Chinese-speaking Asia. Yet they were dealing with executives from IBM, a sophisticated multinational active in 160 markets.
Once Lenovo acquired the much larger but unprofitable PC division on May 1, 2005, for US$1.75 billion, the two sides discovered that they truly didn’t understand each other.
Around 2010, after overcoming many challenges, the company finally began to click. Today, Lenovo has emerged as China’s first true multinational. Lenovo’s experience thus has broad implications for the future of China’s economy and its outreach into the world.
The company deserves the technical management especially in the research of the product and development. Lenovo holds the largest customer share in china. Europe has the opportunity of the global market share. The objective of the company is developing the overall experience of pc ownership driving to the total cost.
Lenovo Case Study - The raise to the global #1 PC manufacturerOliver Gottschalk
- History of Lenovo and overview of the global PC market
- Lenovo's acquisition of IBM: Match made in heaven
- Lenovo's further M&A's and globalization strategy
Upraiser LLC, an official agency representing Lenovo PC HK LTD.homeboyleps
We specialize in advancing Lenovo’s interests in the mobile digital advertising markets.
We invite You to partner with us to enhance Your market presence and expand Your influence by collaborating with Lenovo, a leading manufacturer of PC and mobile devices.
DB6 Lenovo Case StudyUsing the Chapter 12 Case Study for Lenovo.docxpetehbailey729071
DB6: Lenovo Case Study
Using the Chapter 12 Case Study for Lenovo (p. 318), answer all questions below. Include Topic # before your response, overall four (4) Topic #s.
Topic #1
What strategies does Lenovo employ to maximize company efficiency and flexibility? What does Lenovo management do to foster organizational learning?
Topic #2
What are the characteristics of Lenovo’s culture? How does the culture help Lenovo achieve its international goals?
Topic #3
Is the firm’s strategy primarily multi-domestic or global? Justify your answer. What advantages does Lenovo derive from the particular international strategy(s) that it pursues?
Topic #4
Examine Lenovo in terms of the integration-responsiveness framework. What are the pressures that Lenovo faces for local responsiveness? What are the pressures that Lenovo faces for global integration? What advantages do local responsiveness and global integration each bring to Lenovo?
.
2. Agenda
1. Recommendations
2. Industry analysis
3. Brand position
4. Effect of the IBM acquisition
5. Implementation of strategy
6. Next steps
3. Lenovo’s brand strategy will define the
success of it’s recent acquisition.
Question:
Situation:
Which brand strategy can we use to
Lenovo has taken a step towards the
help consumers understand the who
global market by acquiring IBM’s PC
we are and leads us into the global
division.
market.
1 2 3 4
Master Brand: House of Brands: Synergy: Lexus/Toyota:
An exclusive focus Moving away from Developing the Different brands
on building the the Lenovo in Lenovo brand and representing
Lenovo brand. favour of product leveraging product different offerings
specific brands. specific brands.
4. Lenovo is a confused brand who would
benefit from a synergy strategy.
When selecting a strategy the 3
follow are our key measures of
success: Synergy:
Developing the
1. Brand equity Lenovo brand and
2. New global position leveraging product
3. Maintaining market share specific brands.
This would allow us to effectively increase awareness of the
Lenovo brand while still leveraging the brand equity of ThinkPad.
5. Currently, Lenovo is positioned as a
Low Innovation, Medium Priced brand.
Price
High
We are here right now. HP
Low High Innovation
Dell
Low
6. We recommend positioning Lenovo to
be High Innovation, Medium Priced.
Price
High
HP We want to be here.
Low High Innovation
Dell
Low
7. With the acquisition of IBM’s PC line, Lenovo
increase awareness in markets outside of China.
The Chinese market Enterprise
Southern Pacific Beyond China
Small businesses
Consumer market
8. IBM’s core brand complements
Lenovo’s brand.
Core competency Lenovo IBM
Innovation
Customer focus
Trustworthiness
Other benefits
1. Complementary client bases
2. Complementary product lines
3. No channel conflicts
9. Investing $240 million into global
marketing efforts will translate into value.
Worldwide Olympics Partner
Global Advertising Campaigns
$240 million
Raise
Become
Building global
market
Brand awareness
leader in
Equity to increase
innovation
revenues
Introduce “Lenovo 3000”
10. Based on our forecasts, Lenovo will
generate the most sales using Synergy.
Conservative Base Positive Ideal
Synergy 124 127 129 131
House of 118 120 123 125
Brands
Master Brand 106 108 110 112.5
Lexus/Toyota 115 117 119.5 122
11. Through the Synergy brand strategy, we are
hitting Lenovo’s three key success factors.
When selecting a strategy the 3
follow are our key measures of
success: Synergy:
Developing the
1. Brand equity Lenovo brand and
2. New global position leveraging product
3. Maintaining market share specific brands.
This would allow us to effectively increase awareness of the
Lenovo brand while still leveraging the brand equity of ThinkPad.
12. A short term push in marketing is vital to the
development of our brand awareness
Global Advertising Campaign
High
Winter Olympics Summer Olympics
Priority
Medium
Innovation of ThinkPad
Increasing Unaided Awareness
Low
Advertising in Chinese Market
Year One Year two Year Three and beyond
Time Period