联想的国际化战略 英文 lenovo27s international strategy
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解说联想国际化之路联想是中国最为著名的科技企业之一,在过去的几十年里,它经历了一个非常成功的国际化之路。
本文将解释联想国际化的起因、过程和成果,并分析其成功的原因。
联想的国际化始于20世纪80年代末期,那时候中国正处于经济改革的初期阶段。
经济改革使中国开始开放对外贸易,并吸引了大量外国投资。
为了迎接这一新的挑战,联想首先将目光投向了国际市场。
国际化的初衷是为了扩大销售渠道,提高品牌知名度,以及获取技术和管理经验。
在国际化起步阶段,联想采取了两条战略路径:海外销售和国际合作。
联想通过出口销售销往全球多个国家和地区,并与一些外国企业合作生产和销售计算机产品。
这些合作有助于联想获取先进的技术、管理经验和市场渠道,同时也为合作方提供了中国市场的机会。
在国际市场上,联想遇到了许多挑战,例如来自国际竞争对手的压力和国际贸易壁垒。
为了应对这些挑战,联想不断提高产品质量和技术创新能力,并加强品牌推广。
同时,联想也在国际市场上积极寻求合作伙伴,并通过并购国外公司来扩大市场份额。
2004年,联想宣布收购美国IBM的个人电脑业务,这一收购被认为是联想的国际化进程中的重要里程碑。
这次收购使联想一跃成为全球最大的个人电脑制造商之一,并进一步扩大了在国际市场上的影响力。
通过收购IBM的个人电脑业务,联想不仅获得了宝贵的技术和知识产权,还帮助联想在全球市场上树立了自己的品牌形象。
经过多年的努力,联想不仅在国际市场上取得了巨大的成功,而且也为中国科技企业树立了一个典范。
截至目前,联想已经成为全球最大的个人电脑制造商之一,并在全球范围内拥有广泛的销售渠道和服务网络。
此外,联想还进军智能手机、数据中心和物联网等领域,进一步扩大了在全球科技市场上的影响力。
联想成功的原因有多方面的因素。
首先,联想具有强大的技术创新能力和产品质量。
它致力于持续改进产品的性能和功能,不断满足用户的需求,赢得了国内外用户的信任和好评。
其次,联想注重品牌建设和市场推广,通过全球性的广告活动和赞助项目,提高了品牌知名度和影响力。
案例分析—联想“Lenovo”的国际化战略第一部分:联想品牌更新与国际注册的战略意义何在?品牌更新是指随着企业经营环境的变化和消费者需求的变化,品牌的内涵和表现形式也要不断变化发展,以适应社会经济发展的需要。
品牌更新是社会经济发展的必然。
只要社会经济环境在发展变化,人们需求特征在趋向多样化,社会时尚在变,就不会存在一劳永逸的品牌,只有不断设计出符合时代需求的品牌,品牌才有生命力。
品牌创新是品牌自我发展的必然要求,是克服品牌老化的唯一途径。
由于内部和外部原因,企业品牌在市场竞争中的知名度、美誉度下降,以及销量、市场占有率降低等的品牌失落的现象,称为品牌老化。
现代社会,技术进步愈来愈快,一些行业内,产品生命周期也越来越短,同时社会消费意识、消费观念的变化频率也逐渐加快,这都会影响到产品的市场寿命。
企业国际化战略,是指在经济全球化的背景下,企业积极参与世界分工体系,由国内经营向全球经营发展的过程中所做出的战略选择。
从企业的发展历程来看,基本表现为在规模上是由小到大,在经营范围上由国内市场走向国际市场,在价值链网络上由单一走向复杂。
企业国际化发展历程实际就是与世界经济发生联系、融合的一个过程,具体包括生产要素方面的联系、经营活动的联系。
品牌企业重要的无形资产,是一种超过商品或服务本身利益以外的价值。
品牌的更新实际上是对品牌重新定位、重新设计、塑造品牌新形象的过程。
由于营销环境的变化,对品牌进行适时、适当的阶段性调整是非常必要的。
联想的品牌更新是为了拓展海外市场必须进行国际注册,联想国际化的必备条件之一,是拥有一个全球通行的品牌标识。
原来的品牌商标在国外已经被注册了,联想要进行国际化战略,商标国际统一是必须的,所以联想最终将商标改为现在的LENOVO。
也标志着联想正式开始国际化战略!(分析整理:胡福初国贸072班14号)第二部分:简要评析联想品牌国际化的战略步骤通过案例的介绍我们可以概括出,联想国际化的第一步是更名并进行国际注册,第二步是加入TOP计划赞助奥运会,第三步是巨资并购“蓝色巨人”IBM个人电脑事业部,第四步是联想产品海外上市,联想在全球范围内打造Lenovo国际品牌的行动迈入新的阶段。
联想集团的品牌国际化案例分析随着全球经济的发展,品牌国际化已经成为许多公司追求的目标。
在这个过程中,联想集团作为中国领先的科技企业,成功地实施了品牌国际化战略。
本文将就联想集团的品牌国际化案例进行分析,并探讨其成功的原因。
1. 联想集团的品牌国际化战略联想集团是一家总部位于中国的全球性科技公司,成立于1984年。
在品牌国际化方面,联想集团采取了一系列策略。
首先,联想集团积极推进全球化发展。
通过收购IBM个人电脑事业部等重要业务和品牌,联想将其覆盖范围扩大到全球市场。
这使得联想能够在品牌上享有国际认可度,并且进一步提高全球市场份额。
其次,联想集团注重跨文化传播。
品牌国际化过程中,联想注重理解不同市场的文化差异。
他们积极研究并融入当地文化,在产品设计、传播方式等方面进行调整,以适应不同国家市场的需求。
最后,联想集团致力于创新和品质。
在全球市场中,品质和创新始终是消费者关注的重点。
通过持续投入研发和技术创新,联想集团提供高品质的产品和服务,从而赢得了消费者的信任和好评。
2. 联想集团的品牌国际化案例联想集团的品牌国际化策略取得了显著的成果。
以下是几个成功的案例:首先,联想在国际市场上取得了重要的地位。
通过收购IBM个人电脑事业部,联想迅速在全球市场占有了一席之地。
目前,联想的产品和服务遍布全球180多个国家和地区,品牌影响力得到了广泛的认可。
其次,联想在品牌推广方面取得了积极的成果。
联想积极参与国际体育盛事的赞助与合作,如奥运会、世界杯等。
这些活动使联想能够利用体育平台推广品牌,并与全球消费者建立了紧密的联系。
最后,联想在产品创新和技术研发方面取得了显著进展。
他们的研发团队将技术创新作为品牌国际化的核心驱动力。
联想不断推出高品质、具有创新科技的产品,如Yoga系列笔记本和Moto智能手机。
这些产品的推出进一步提升了联想的品牌价值和竞争力。
3. 联想集团品牌国际化成功原因联想集团的品牌国际化之所以取得成功,主要有以下几个原因:首先,联想集团在品牌国际化中始终坚持以消费者为中心。
联想集团国际化战略环境分析1、联想集团的背景简介2010年11月,联想集团财年第二季度业绩显示,联想在全球的市场份额达10.4%,位居全球第四,在中国市场上稳居第一,市场份额达32.2%。
联想集团采取“稳中求进”策略,在保持企业稳步发展的同时,抓住机遇,积极扩展自己的市场,采取的战略属于发展型战略,意图谋取全球性的大型跨国集团。
联想的国际化战略从联想并购IBM的全球PC业务开始显露端倪,2011年1月,联想与日本NEC公司宣布成立名为“联想NEC控股B.V.”的新合资公司,形成战略合作伙伴,更加凸显出联想的全球战略。
然而,联想的国际化战略的进程并不是很顺利,其国际化战略进程还是长途漫漫。
在过去的2010年,IDC报告显示,排名第一的惠普的市场份额是19.7%,第二的戴尔为12.5%排名第三的宏碁的市场份额是12.3%,,而第四的联想市场份额为9.9%。
Gartner的统计,2010全年,排名第三的戴尔的市场份额为12%,第二的宏碁为12.9%,第四的联想为9.7%。
2010年,在全球前五大PC厂商里,联想是增速最快的PC厂商,增速达到37.3%。
2、外部环境分析2.1宏观环境分析宏观环境的分析,采用PEST模型。
2.1.1政治角度:中国政府在“十二五规划”指出要实现转型升级、提高产业核心竞争力,需要从以下几方面着手,具体包括改造提升制造业、培育发展战略性新兴产业、推动能源生产和利用方式变革等,新一代信息技术产业重点发展新一代移动通信、下一代互联网、三网融合、物联网、云计算、集成电路、新型显示、高端软件、高端服务器和信息服务。
这些导向对于PC产业来说,是一个极大的机遇。
针对“十二五规划”对于中国商用PC市场的影响,IDC指出:新医改将促进医疗行业信息化快速发展,扩大内需战略带动制造业、零售业以及服务业的新增长,高铁城轨建设成为四大重点之一,交通行业信息化受益,节能减排将推动能源与公共事业行业信息产业升级。
Lenovo's business strategy of entering internationalmarketIntroductionChoosing what kind of strategy to enter the overseas market is not only important to the business success of accessing to overseas markets, but also important to the business to further develop and expand. This influences the company's competitive position in the global market and international development pace. This management report is based on the related theory, company’s advantages and the objective s of the international business company. Its aim is to put forward for Lenovo to enter the international market and international business model design.1. Lenovo business backgroundLenovo was founded in 1984 by the CAS Institute and being invested 20million Yuan. The founders are 11 scientific and technical people. And today Lenovo has grown into a diversified development large enterprise groups in the information industry. At the beginning, the turnover of the company is only 300 million. But the number was 1.1 billion i n 1994 and 30 billion i n 2004 in annual sales development. Today's Lenovo Group is China's leading IT Company. It is primarily engaged in the desktop computer, notebook computer and mobile phone devicesand servers .It has developed into a diversified development company. Lenovo has been across two steps from its beingset up: Before the 90s in the 20th century, Lenovo was mainly a trade-oriented enterprise. Survival is the main purpose; the secondAfter stage is the development of its own brand in the later ten years.20 years’ development, Lenovo has been ranked first in Asia in the computer industry, dominating the Chinese market; the future of the space is the global market and global competition.2 Lenovo Corporate CultureLenovo has made brilliant achievements and attracted worldwide attention in the past 20 years in the territory of China. It is a charming legend of Chinese enterprises. T hen what is Lenovo’s secret of success? Through the course of development and the understanding for Lenovo business culture, we think the success is based on different stages of the corporate culture and making theappropriate adjustments according to the situation. Thatis, with the transition o f the company time after time, that the cultural evolution are carried out again and again.Recalling the past 20 years, the association of11people enterprises has developed as a major international enterprise groups.Liu and 11 others started by 20 million to set up the Institute of Computer Technology - the predecessor company. This stage primarilyused technology services to accumulatefunds through open market with its competitive products. The corporate culture of this period mainly represented that entrepreneurs developed that the researchers stood behind the counter and made some Lenovo rules, etc to explore the managementof enterprise management. Among them, the association put forward that we want the results not the process and the benefits notthe effort. The market outlook included the quality is life, the user is Queen and the reputation is even more expensive than gold.2.1 Liu's business and customer cultureThe culture of Liu’s period emphasized the pursuit of a strong executive. In 1984, Lenovo was set up in a square room of the Chinese Academy of Sciences. 11 staff started the business by 20 million invested by CAS Institute of Technology. What Lenovo face during thisperiod is related to the competitive pressures of survival. They are full ofdetermination to start business and full o f the spirit t o overcome allAt that time Lenovo often say that we should let 5% of difficulties.possibility turn to 100% of reality. This is a very strong entrepreneurialculture shown in the environment at the time. In the view of Liu’sword being word, action being action which is executed firmly, the staffshave a very strong response. This will help Lenovo the target ofcustomer-centric orientation at this time. Lenovo believes that thecustomer is queen, and treating customers are going to face the cold ass.This reflects the association has strong customer awareness. Fromchanging from scholarship to do the market, Lenovo began tounderstand what to be concerned about is what customers need,consider what products we should go for sale, consider how to controlcosts in order to earn money, consider creating our own brand. As aresult, business sense builds up step by step Lenovo people often saythat there is no master. It is ourselves lead us into the door of themarket; At the same time, the most impressive cultural memories haveto be realistic and enterprising spirit of the association, which requirespeople to have the spirit o f down to earth and the realistic spirit o fmaking progress.2.2 Yang's strictness and entrepreneurial cultureWhen the company first got into the business and a long-termsustainable development objective shown in front of Lenovo, the corporate culture walks toward the rules-oriented. Lenovo people want precise and efficient rules, want everyone to be strict, serious, active and efficient. They put a lot of things into one workflow system to have specifications. They say obeying the three principles of working, turning around the rule. The behavior of employees needs to be regulated, howto carry out the business needs norms, businesses management alsoneeds to be regulated. Lenovo culture gets into a strict culture period. That strict c ulture as a management style appears at this time is conducive to the overall management level. The company promotes thestrict accurate culture of this period which ensures the rapid development trend of Lenovo's 1997-1999 three-year.When the company got more and more developed, more and more departments, Lenovo discovered that simple strict culture is not conducive to focus on collaboration within the company. So this period Lenovo spoke more about team sense, telling us the truth that how towork in little company, how to be a man in large company. Meanwhile,the company advocated equality, trust, appreciation, affection of family culture to make Lenovo a little more conducive to collaboration withinthe company's air. Family culture promoted mutual support, promotedmutual customer philosophy, implemented matrix management model,required the co-ordination between departments and levels andresource sharing, promoted equality, trust, appreciation and affection. At this time the corporation culture began the transition that is guidance from the rules to the support. In 2000 Lenovo formally definedthe support of family-oriented culture. Yang yuan qing is Called From the revered teacher, to the respected the manager, now as Yuan Qing. Three such changes have been achieved for China's IT flagship corporation for 17 years after its setup. Yang admitted: Lenovo was more left early in the days and family composition is relatively small. So we began to emphasize the family culture two years ago. There will be a fixed day each month, leading members of the team standing in front ofthe company to meet the staff. Yang let all Lenovo employees call him Yuan Qing. Who called president Yang would get a fine of 100 Yuan. Lenovo stressed family culture for a time. Researchers at the Institute follow the work in Silicon Valley, such as the allocation of working hours can be on their own decision, casual dress in the office and so on. Yang also proposed that in the staff birthday, present birthday cake asthe company name; even on Valentine's Day let everyone get off to date early. Family culture is the content of building creativity i n a more relaxed, vibrant atmosphere.Since the moment the new generation of Yang truly took over the future from the older generation Liu, Lenovo began its new journey, which is Lenovo's second business. Lenovo now advocate entrepreneurialculture on the basis of culture in the family. In the full sense of post-industrial designed Lenovo's new building in Shenzhen, offices, elevators, cafeterias and even bathrooms can find small banners everywhere associated with the entrepreneurial culture. Yuan Qing want to always remind people to think that let everyone back together to have a self-made spirit to face the current competitive environment. Lenovo's new entrepreneurial culture is precisely in line with the profound sentiment which Yang points: Lenovo ten years, the most basic thing which never should be lost, is never satisfied, keep making progress, look at the big, lofty goals. There is a goal, then always another goal, which is the kind of jumping to reach.If the Lenovo culture which is from an entrepreneurial culture, clientis on behalf of the company’s culture to strict culture, family cultureculture of past and present, then the culture which is about to start the business is Lenovo's future culture. Therefore, the culture is Lenovo's core competitiveness. Today it is the culture that creates Lenovo. Lenovo is not only changing their culture step by step, but also creating their own culture in another step. In Lenovo's cultural construction, Lenovo have learned international advanced enterprise culture, and ultimately the unique formation is formed. This is Lenovo's business model of cultural development at different stages of development and showing a different orientation. The development of corporate culturespiraled up. In general, the company carries out the evolving corporate culture from the innovation (first business) oriented, goal-oriented, rules-oriented, support-oriented and high level of innovation (second business) oriented and finally form the formation of spiral trend.3 Lenovo’s challengesDecember 2004, "Lenovo" took over IBM PC Division by huge amountsof money of the company, which caused great shock and marks that Lenovo began to walk the road of export-oriented by the help of "International Strategic Alliances". Lenovo's international road faces complex international market. Lenovo needs to build up its own comparative advantages. Through the integration of the IBM brand, management and channel edge, it needs to form a unique competitive edge.Beijing December 8, 2004 in Beijing, Lenovo Group announced it getthe acquisition of IBM's global PC business as total 1.25 billion, including business desktop and notebook business. Specifically, Lenovo paid 1.25 billion, including 0.65 billion in cash and 0.6 billion stock composition of Lenovo. The Chinese shareholder, Legend Holdings will hold a stake of around 45%. IBM will own about 18.5% ofthe shares. Lenovo also announced a high-level change adjustment,IBM senior vice president Stephen • Ward will serve as the new Lenovo CEO while Yang was named chairman of the company.Contact the previous March 26, 2004, Lenovo signed with the International Olympic Committee. The signing ceremony theme is: letthe world think of China. Lenovo became the 6th Olympic Partner. Lenovo's international journey has started long time ago. The acquisition is actually two acts of IT cooperation about China-US strategic partnership. Lenovo will be changed from international import-oriented to export-oriented of the road through "international strategic alliances “.Facing the new challenges of the Internet economy, the new era of Lenovo is ready to step forward at the new strategies, new journey of the oath-taking rally. As Yang who is the core leaderships of the new generation said that the culture and the new Lenovo's strategy is the first and foremost urgent problem. Then through the review of corporate culture changes, founder Liu said, "Western management emphasizes standardization. Oriental Management stresses human, family, or more artistic management. Lenovo should take the standardized and scientific management as the foundation, and regulate with human feelings and family. “‘Main ingredient’ stil l needs to be standardized.”4 International market developmentInternationalization has always been a goal and strategic objectives of Lenovo. Raising the 2001 target, the 2002 Technology InnovationConference, April 8, 2003 the new association's name, 2008 Lenovo sponsors Olympic Games, being an Olympic sponsor and the Lenovo acquisition of IBM are all tactical measures for the association International, which have become an integral part of this strategic action. This acquisition is a historical powerful combination between Lenovo and IBM. Lenovo is bullish on IBM's influence in the international and excellent technique and management resources. Modern Marketing tells us that if companies want to ensure their survival in the competition, and actively explore the market, the best way is to seek some new mode of competition in order to achieveco-existence and common development goals. In an increasingly competitive international market, the principle pursued by the previous competitors that competitors are enemies to each other has become increasingly obsolete business concepts and is abandoned by people. International strategic a lliance is just a new marketing organization having the function of both competition and cooperation.World's fourth largest PC maker Lenovo Group released fiscal earnings 2008/2009 in the third quarter. Until December 31, 2008 in the third quarter, Lenovo's net loss is up to $ 97,000,000. Lenovo Group must acknowledge its remaining issues and positive response in order to get more healthy and stable development in the current global financial crisis situation, and sustaining process of international business. Theprincipal analyst Ye Lei of Gartner which is China's leading market research firm in Chinese hardware market said 2009 is the key. Lenovois ready to fight to defend against the war.4.1 Mature markets recognition overseasThe global market is divided into emerging markets and mature marketby Lenovo. In the United States mature market, the main customershave an approval for Think Pad and Think Centre products, whileLenovo has no attractiveness. There has been a "U.S. Department ofState Procurement storm" interpreted by the industry analysts aslow-cost sales strategy in China American Psychological conflict. Lenovo Group former vice president and chief marketing officer De Puke • Advani pointed out that Lenovo is really not fully involved in all over about small businesses in the U.S. market, in product, market accessand other aspects related to the brand. He pointed out actually "It contains a full market opportunities inside it." As a result, Lenovo will be in broader product coverage in the United States. The market is not just the Think brand, but also focuses on small business users. Onlythe multimedia home user market is not being involved. Therefore, in mature markets recognition overseas, only the Lenovo Group seize this opportunity in the complete market, its international business can be protected.4.2 New product market opening upIn the business strategy, product strategy for Lenovo Group International Trade, we have already explained that in the third quarterof fiscal year 2008/09, it is high time for Lenovo to launch a Netbook. At that time Asus was selling netbooks, but Lenovo worried about that the netbook would fail to keep up the pace of PC market. So Lenovo oncehad a negative attitude towards the market. But when the netbook started to show the market's early growth, Lenovo is still a attitude of seeing. It is the positive attitude that let Lenovo lose opportunities in the shopping mall. And meanwhile it led to miss opportunities to avoid the crisis for Lenovo. As many manufacturers have started entering the netbook market, Lenovo finally reached the market. So seize the opportunity to develop new products for Lenovo later days in the market should be a good suggestion.In international business course, Lenovo should do develop new products to get more market share, seize new opportunities in time andhave a keen insight into the market.4.3 Human ResourcesThe accumulation of human resources plays a key role in business growth for IT Corporation. Lenovo has been hired former IBM executive Stephen Ward • M as the new Lenovo's CE O, former senior vice president of Dell William •J • Amelio as president and CEO, formerpresident of China Dell Michael David as president of Lenovo in Asia Pacific and Lenovo senior vice president. Lenovo announced that former Vice President Gerry Smith of Dell took over Liu Jun’s position who is the original senior vice president. Stakeholders once reckoned that Lenovo was changing into "Dell". And if Lenovo truly wants to become a successful international entrepreneur, it must have international talent, and the courage to reuse experienced personnel in order to have the opportunity to gain surprise.Followed by the acquisition of IBM PCD, the internal association breedsa culture of inertia. It represents mainly that the weak performance in innovation, the negative promotion at business model and the setbacksfor the PC market sensitive (such as the netbook market in the late judge). Lenovo personnel innovation incentive mechanism should be established. Except in the marketing model, staff motivation and successful innovation on the organization, Lenovo should eradicate the culture of inertia of the staff in the most important technological innovation. So let it be a business full of vitality and vigor. Therefore, in the international business, Lenovo should do to deal with human resources issues and open up better international business.4.4 Establishment of a global consumer businessIn announcing layoffs, restructuring and a series of heavy news, Lenovo has finally started to beat back to the market: In one year, Lenovo willlaunched nearly 50 consumer computer products worldwide. In this counter-attack war, China indisputably becomes the most important piece. It not only provides a successful model for the global market, but also stays ahead of a situation gesture when more powerful enemy arrives to.In the system of international business, Lenovo Group should have the ability t o resume the global sales operations in order to protect the integrity of the process of its international business.5. A more developed structureIn order to effectively carry out international business activities and ensure the strategic goals of international business, Lenovo Group should establish a strategy of the organization and a form of controlling consistent with its international business. It should continuously improve the management of the organization in the international business.In recent years, Lenovo Group makes some appropriate adjustments inthe organizational structure. And headquarters move to the United States from Beijing. But the personnel arrangements, information flowing problems, the effective m anagement of business activities, controlling and coordination problems, the level of appropriate management, the range of management issues, centralization, decentralization and allocation of responsibilities have always impactedon the enterprise's international business results.The establishment of transnational network structure represents the ability f or rapid response for the local environment. And it is a new solution for taking advantage of global economies scale, seeking places for complex needs such as the superiority of global knowledge sources.ReferenceLenovo. 2010, Annual Report and Financial Statements.Chen, F., 2001.. O mega, 29(3), pp. 221-231Emilia, R. & Sara, M., 2008.. Journal of World Business, 43(2), pp. 171-185Jarko, F. & Iikka, K., 2010.. Journal of Asian Economics, 21(3), pp. 293-303Jerry, B. & Tracy, D., 2005.. Organizational Dynamics, 34(1), pp. 89-102.Kevin, G. & Mark, U., 2003.. T ransportation Research Part A: Policy and Practice, 37(6), pp. 479-497Mika, G. & Manek, K., 2004.. International Business Review, 13(5), pp. 555-571Ming, C. & Shih, W., 2010.. Expert Systems with Applications, 37(11), pp. 7394-7407Riku, L. Mika, G., 2007.. I ndustrial Marketing Management, 36(8), pp. 1104-1117Robert, K. & Steve, W., 2002.. Human Resource Management Review, 12(3), pp. 405-418Saeed, S., 2008. . Industrial Marketing Management, 37(1), pp. 3-8.Salomão, A. & Rajan, N., 2009.. Journal of Business Research, 62(6), pp. 667-672Sanjay, G. & Vicki, C., 2008.. International J ournal of Production Economics, 113(2), pp. 914-927Susan, R., 2002.. Journal of Banking & Finance, 26(9), pp. 1889-1918。
Lenovo’s International Strategy Step 1:Abstract:In the 21st century, the globalization has become an unconvertible objective reality and“global thinking, global acting ”has already been a rule for multinational companies to observe. For most Chinese companies that have been or is going to be international companies, there is only one way to become a “visionary company”and gain lasting competitiveness : that is to involve themselves in the globalization trend and face the challenge in the future positively. The Lenovo Group has been an vanguard for the Chinese IT companies, and after its acquisition of IBM PC division, Lenovo has become an important PC manufacturer.The purpose of this paper is to revelatory and indicative to the New Lenovo and other companies that desire to become great global companies through deep study of the success and failure of Lenovo’s international practices during the past twenty years.Introduction:Origins:The company was founded in 1984 by a group of eleven engineers, headed by Liu Chuanzhi, in Beijing. Originally known as Legend Group Ltd and New Technology Developer Incorporated, the listed holding company was incorporated in 1988 inHong Kong. The company had become the biggest PC manufacturer of domestic and distributed third party products through its wholesale business.The company underwent restructuring and separated into two entities. They were Lenovo and Digital China Holdings Limited. Lenovo became the personal computer manufacturer and Digital China took on the wholesale and distribution of IT products and services.In 2005 Lenovo purchased IBM's PC Division which transformed it into a major international personal computer manufacturer. Lenovo paid $1.27 billion to IBM which consisted of $655 million in cash and $600 million in Lenovo stock. As a result of the acquisition, Lenovo gained the rights to the product lines as well as licensed trademarks such as ThinkVision, ThinkPad, ThinkVantage, ThinkCentre, Aptiva, and NetVista. As of May 1, 2005, IBM owned 19.9% of Lenovo. development:1980s1981: IBM PCD introduces its first personal computer, the IBM PC.1984: IBM PCD introduces its first portable computer, the IBM Portable PC, weighing 30 pounds. With an initial capital outlay of only RMB300,000 (US$30,000) Lenovo’s founding chairman Liu Chuanzhi, together with 10 like-minded colleagues, launches the New Technology Developer Inc. (the predecessor of the Legend Group) funded by the Chinese Academy of Sciences.1986: IBM PCD announces its first laptop computer, the PC Convertible, weighing 12 pounds.1987: IBM PCD announces the Personal System/2 personal computer. Legend successfully rolls out the Legend Chinese-character card.1988: Legend’s Chinese-character card receives the highest National Science-Technology Progress Award in People's Republic of China. Legend Hong Kong is established.1989: Beijing Legend Computer Group Co. is established.1990s1990: The very first Legend PC is launched in the market. Legend changes its role from that of an agent for imported computer products into that of a producer and seller of its own branded computer products. Legend PCs are ratified and accepted by the China Torch Program.1992: IBM PCD introduces ThinkPad series, the industry’s first notebook with a 10.4 inch color Thin Film Transistor (TFT) display and a TrackPoint (red ball) pointing device. Legend pioneers the home PC concept and Legend 1 + 1 home PCs enter the Chinese marketplace.1993: Legend enters the Pentium era, producing People's Republic of China’s first “586”PC. Legend establishes 1+1 retail network.1994: IBM PCD introduces the industry’s first notebook with integrated CD-ROM,the ThinkPad 755CD. Legend is listed on the Hong Kong Stock Exchange. The Legend PC business division is formally established.1995: IBM PCD introduces the “butterfly”keyboard. Lenovo moves from Boca Raton, Florida, to Raleigh, North Carolina. Legend introduces the first Legend-brand server.1996: Legend becomes the market share leader in China for the first time. Legend introduces the first Legend brand laptop.1997: IBM PCD introduces the industry’s first notebook equipped with a DVD-ROM, the ThinkPad 770. Legend signs an Intellectual Property agreement with Microsoft, the most valuable deal ever made in China at the time. Legend launches the first multi-function laser printer.1998: IBM PCD introduces the ThinkLight, a small light that illuminates the keyboard for use in low-light work environments, such as aboard an airplane. The millionth Legend PC comes off the production line. Intel Chairman Andy Grove attends the ceremony, and takes the PC for Intel’s museum collection. Legend establishes the first Legend Shop.1999: IBM PCD introduces the industry’s first sub-notebook, weighing under three pounds, with standard ports and a keyboard that is 95 percent the size of full-size keyboards. Lenovo announces its exit from the retail business. IBM PCD introduces the industry’s first PC with an embedded security chip. Legend becomes the top PC vendor in the Asia-Pacific region, and heads the Chinese national Top 100Electronic Enterprises ranking. Legend launches pioneering Internet PC, with its “one-touch-to-the-net”feature, which enables millions of Chinese PC users to easily access the Internet.2000s2000: IBM PCD ships its 10 -millionth ThinkPad notebook PC. Legend becomes a constituent stock of the Hang Seng Index - HK. Legend ranked in top 10 of world’s best-managed PC vendors.2001: An IBM notebook with an embedded security chip becomes the industry’s first notebook with a security chip designed to the Trusted Computing Group specification, an industry body setting data security standards. Legend successfully spins off Digital China Co. Ltd., which is separately listed on the Hong Kong Stock Exchange. Legend appoints Yuanqing Yang as President and CEO. Legend first introduces “digital home”concept and launches accessories-enabling PC. 2002: Lenovo PC outsourcing pact with Sanmina-SCI. Legend debuts the DeepComp 1800 supercomputer. It is People's Republic of China’s first computer with 1,000 GFLOP (floating point operations per second) and PRC's fastest computer for civilian use, ranked 43rd in the Top 500 list of the world’s fastest computers. The mobile handset joint venture announced, marking Legend’s formal entry into the mobile handset business.2003: Lenovo introduces a notebook with battery life up to 11 hours. Lenovo introduces its ThinkCentre desktop PC line. IBM PCD ships its 20-millionth ThinkPadnotebook PC.2004: IBM PCD introduces the ThinkCentre desktop PC. Lenovo ships its 100-millionth PC. Lenovo becomes an Olympic worldwide partner. Lenovo launches the “Yuanmeng”PC series designed for home users in small villages. Lenovo and IBM announce an agreement by which Lenovo will acquire IBM’s Personal Computing Division, its global PC (desktop and notebook computer) business. 2005: Lenovo completes the acquisition of IBM’s Personal Computing Division, making the company the world's third largest computer manufacturer (after Hewlett-Packard and Dell). Lenovo announces it closed a US$350 million strategic investment by three leading private equity firms: Texas Pacific Group, General Atlantic LLC and Newbridge Capital LLC. Lenovo establishes a new Innovation Center in Research Triangle Park, N.C. Lenovo introduces the ThinkPad X41 Tablet and Z60. William Amelio is appointed as CEO and President of Lenovo.2006: Lenovo introduces dual-core ThinkPad notebook PCs. Lenovo supplies the 2006 Olympic Winter Games in Torino, Italy with 5,000 desktop PCs, 350 servers and 1,000 notebook computers. The first Lenovo-branded products outside of China debut worldwide.2007: Lenovo introduces the ThinkPad R61 and T61 notebook PCs. These are the first notebooks to use the new Santa Rosa platform from Intel.2007: Lenovo announces that they are to start selling laptops to business and consumers with Linux pre-installed on their machines.2008: Lenovo enters the Worldwide consumer PC market with the new "Idea" Brand. Lenovo announces 3 new IdeaPad laptops, the Y510 and Y710 desktop replacement computers available by the end of January and the ultraportable U110 available by March 2008Products:Lenovo produces desktops, laptops, servers, handheld computers, imaging equipment, and mobile phone handsets. Lenovo also provides information technology integration and support services, and its QDI unit offers contract manufacturing. Lenovo also offers Internet access through its portal. Lenovo Group Limited is the fourth largest personal computer manufacturer in the world today, after Hewlett-Packard and Dell of the US, and Acer of T aiwan.Its executive headquarters are located in Beijing, People's Republic of China and in Morrisville, North Carolina, USA. It is incorporated in Hong Kong.Step 2:Reasons for International Strategy:Background:2001 to 2004, the diversification strategy which is designed by Yang (the chairman of the board) is ultimately lost, ending up as a failure.After strategic reflection, Yang’s final choice is the tightening strategy, and putting the focus back to PC business. PC again become the top priority of the conpany.Because the capacity of the domestic market limits, as well as the intensified competition. Internationalization is Lenovo’s inevitable choice.Increase market share:Since 1996, Lenovo had become the top 1 seller for 11 years in domestic market,.In the second quarter of 2002, sales of Lenovo desktop computers became the world's top five for the first time. Until the end of 2003 March , Lenovo Group has been the first in Asia-Pacific market (excluding Japan) for 12 consecutive quarters.So, Lenovo has occupied the domestic market, Lenovo needs to open up overseas markets, he needs a springboard to increase the market share in worldwide. Return on investment:The president Liu and Mary Ma and his entourage visited London, Edinburgh, New York, Boston, Denver,LA, made a total of more than 60 speeches to the Fund. At the same time, Lenovo share price raise from HK $ 5.3 to HK $ 8.2. Mainly because the major fund investors and the managers of Lenovo had deep communication, deepen the confidence in the management of Lenovo. Investors are very optimistic about the current situation and prospects of the Chinese economy. So it’s important to show the foreign investors some confidence,to let global markets to justify the capital outlays.Economics of scale or learning:Lenovo needs a further expand of the scale of the enterprise. The international market is able to offer opportunities for Lenovo to share resource and technologywith other giants in the industry as well as learning experience.Location advantage:We have lower cost labor in China, which is a good advantage, but we are lack of brand awareness in foreign market. And IBM ,as a PC giant in US have great brand loyalty and the key suppliers.Step 3:Lenovo’s International Strategy:Business-Level International Strategy--International Differentiation:Brand differentiation:In 2008,Lenovo created a new brand "idea" facing the global consumer PC market, and the Think brand would focus more on the commercial market. Such an action would break the Lenovo’s past plight of lacking product diversity in the international market. Lenovo’s chairman Yang Yuanqing said that in the future there would be only Think and idea--the two major brands in the world, other existing sub-brand would gradually transit to the two brands. This strategy has been very clearly shown that in the overseas market, Lenovo is planning to use the IBM brand identity as well as Lenovo's own brand.Given of the Lenovo brand is not yet recognized by the international market, the implementation of the dual-brand strategy is the best choice. Early in theintegration, the brand identity of IBM played a crucial role in stabilize customers, agents and overseas staff,.With the help of the giant IBM, Lenovo’s PC sales increased 30%, overseas customers has also been impressed by the Lenovo brand and good quality of computers. In foreign countries,the brand Think is a very well-known, so Lenovo’s brand strategy in foreign markets is to enhance the visibility, using the IBM brand to expand the international market,then Lenovo would begin trying to dilute IBM brand effect.Gaining brand loyalty in the world wide is the ultimate goal of Lenovo, diluting the IBM brand is inevitable, sooner or later.Product differentiation:Product differentiation is that the corporate design a series of products to distinguish the products of competitors’. Lenovo sell more than products, it emphasizes the product's features. Lenovo focus on product design, research and development and also the quality, to ensure to always stay ahead in technology, so as to provide users comprehensive and reliable applications.At he same time Lenovo has always been concerned about the individual needs of the user, so the design is very fashion and unique, to meet all kinds of users’ preferences. Lenovo also develop a variety of softwares to make PC more friendly. Lenovo gain competitive advantage through technological innovation. Lenovo technological innovation is divided into three stages--product technology innovation, functional technology innovation and core technology innovation. Lenovo’s successful differentiation strategy is based on maintaining the technological leadershipthrough innovation. Innovation is the core competitiveness of the enterprise,in fact, the “novo”in Lenovo is a latin root, which means innovation.Service differentiation:The entire industry is restructuring from product-oriented to service-oriented , Lenovo is also trying to achieve innovation in all aspects, seeking service differentiation. According to Lenovo’s policymakers, Service is the main line of development throughout the Lenovo, is Lenovo's core values. Lenovo Benefit much from this , after which, in the face of the new situation after the accession to the WTO, Lenovo would do service work more practical. "They think that technology is always impersonal, technology will only be accepted by more people if it is developed more friendly and has emotional communication functions. Therefore, in the final analysis, who are willing to stand at the view of consumers, who can provide consumers best service, will firmly grasp the initiative in the market, will finally become a truly outstanding enterprise.In order to turn from a product-oriented to a service-oriented enterprise one, Lenovo made a promise of “4-hour response, 48-24-hour repair”to meet the needs of customers’quick repair, which is the first in the industry to commit repair time vendors. To improve the quality of service of the service personnel, Lenovo has developed a strict system of Training and auditing mechanisms, which play a significant role in improving maintenance standard.By these methods, Lenovo build a good image of allowing users to not only buy the best, but also receive the bestservice. According to the latest market survey, over 50% of constomers claimed that Lenovo was their first choice for a personal computer. Through these service innovation, Lenovo is able to shape the brand and establish a differential advantage.Corporate-Level International Strategy--Global Strategy:In order to shape their own international brand, Lenovo has implemented a three-step strategy of globalization:First:Lenovo announced a global brand change . Legend is the English name adopted in Hong Kong in 1988. After 19 years, the Lenovo brand name has grown from the earliest product’s name to a brand that worth more than 600 billion today. However, when it is to embark on a journey to become an international brand, there comes some problems.According to Liu(the Chairman of the Board): "When I established the company which was named Legend at the first time. Hong Kong had already has many Legends, for example, in auto industry, there’s almost dozens of Legend companies, and hundreds of Legend products "In the world, there’s more companies named LEGEND and it is almost impossible to buy them all. "At first, I just want to make a living, so I did not think about the international problem." Liu said. Without a simple logo, how could Lenovo start the international expansion, so in 2003, Lenovo global changed their brand name from Legend toLenovo. “Le”refer to legend, which shows the determination to make a legendary company. “novo”is a latin root which means innovation, pointing out the significance of creative thinking. From then,Lenovo has taken their first step to real internationalization and the world's top 500. At that time,Lenovo and IBM were still in secret contact. Lenovo’s acquisition of IBM PC business is still unknown, but Liu’s determination to build a global enterprise has been set.Second:tthe acquisition of IBM PC business.Lenovo paid $ 1.5 billion in cash and stock in total in the acquisition of IBM PC business and at the same time Lenovo set up a new joint venture company. This meant that Lenovo would promote as the world's third-largest PC manufacturer. The acquisition range of IBM PC business included notebook and desktop PCs. After the acquisition, Lenovo would have the right to use IBM's famous "Think" brand! After the completion of the acquisition, the new Lenovo Group’s global headquarters is located in New York and the main operations centers are set up in Beijing and Raleigh (North Carolina). Two years after the implementation of the investment strategy, Lenovo had branched in 60 countries around the world, throughout the sales network of the world's 160 countries. Lenovo now has not only the leading business notebook product, leading R & D and leading product differentiation capacity, but also the more powerful innovation capability and richer product mix. Lenovo and IBM formed a long-term strategic alliance, IBM became Lenovo's preferred services and customer financing provider and Lenovo became IBM’s preferred PC suppliers,.So that IBMcan provide a variety of PC solutions to its customers.Three overseas private investment institutions invested $ 350 million as share in the new Lenovo Group after the merger. Lenovo stock soared all the way since issuance, especially because Lenovo’s rising stock price-earnings ratio in the past six months,. Its market value was almost the number of times exceed its total assets. At that point, the Lenovo was not only international in product marketing network, but also in the shareholding structure and financing channels.Third:support great international events in China(the Olympic Games and World Expo).In march 26, 2004, Lenovo Group signed a cooperation agreement in Beijing with the International Olympic Committee (IOC),announcing that it officially became the sixth (2005-2008) Worldwide Partner of the International Olympic Committee (referred to as TOP, TheOlympicProgramme). This was the first time that a Chinese enterprise to become an Olympic top partner. Lenovo's Olympic strategy helped Lenovo beat a lot of competitors. Lenovo also regarded "the World Expo" as part of its planned market strategy for a long time. As early as before the Beijing Olympics, Lenovo has begun an "Expo" project. First, this is the responsibility as a national enterprise. Second, this was a fantastic opportunity to demonstrate the Leno vo’s strength. It’s obvious that Lenovo never forget to pay attention to seize the opportunity to complete its goal to build a multinational enterprise.Step 4:Lenovo's Internationalization Strategy effectiveness analysis:Beneficial effects:●Expand the size of the market.Build the foreign markets. Increase revenue.Lenovo has become more attractive after entering the international market.●Promote the economies of scale and learning effects.Lenovo’s international market expansion led a further expand of the scale of the enterprise. The international market offered opportunity for Lenovo to transfer its core competitiveness . it created the conditions for the resource and knowledge sharing across borders. In addition, different markets and different practice provided a lot of opportunity to learn.●Make full use of the advantages of the company's capabilities and resources.Lenovo not only establish a competitive position in the domestic market, but also gained a competitive position in the international market.●Disperse the business risks.Lenovo established a wide range of market-based companies operating in foreign markets, thus spreading the risks rather than entirely relying on the domestic market.●Improve the brand value .Lenovo had become an international brand.Adverse effects:●Loss of customers.After Lenovo's acquisition of IBM's PC division, a conservative expectation said that lenovo may lose at least about $ 2 billion’s market value.●Different corporate culture.Lenovo and IBM has a huge difference between management and the laws of enterprise, and how to fix it is a great challenge for Lenovo.●Brand Risk.Lenovo’s corporate brand need a lot of improvement in the international market,and thinking about how to get rid of IBM’s effect is imperative.●Sports market stategy is not very mature.Lenovo had spent millions dollars on sport market stratedy.How to effectively control its risks needs a lot of work.Step 5:Major risks and solutions:Market risk:After Think is acquired and the brand was owned by the Chinese. Customers’brand loyalty needed attention. Lenovo had taken a lot of measures: First, the establishment of two headquarters (in China and the United States). Second, ensure that the CEO is an foreigner.Third, send 2000 IBM salemen to visit all big buyers to explain the situation.At last, Think’s sales didn’t suffer a lot.Staff loss:Staff were worrying about that Lenovo’s large-scale investment would receive lessthan expecting, and also were worrying about that the acquisition would fail. Culture conflict:The so-called culture conflict is about how to make managers, especially top ones work together effectively, which is one of the most fundamental factors to decide if a company can develop well.When financial crisis appeared, Lenovo took a heavy loss. The surface reason for this is that the direct impact of the financial crisis. Fundamentally, there are problems in management. So, on February 2, 2009, the Board determined to reconstruct the company.Six months later, Lenovo not only reached a strong growth in business above the market average, but also achieved a good integration in team and culture.。
联想集团的国际化战略案例分析随着全球经济一体化的深入发展,企业之间的国际竞争日益激烈。
为了在全球市场中占据一席之地,许多企业选择采取国际化战略来拓展业务。
联想集团作为中国最具国际竞争力的企业之一,在国际战略方面发挥了重要作用。
本文将从联想集团的国际化战略案例出发,进行深入分析与探讨。
一、背景介绍联想集团是中国著名的电子产品制造商,成立于1984年。
起初,联想只是一家主要致力于国内市场的计算机制造商,但随着中国加入WTO和全球市场的开放,联想迅速意识到国际化是取得长期竞争优势的必要手段。
二、国际化战略的演进2.1 跨国战略联想最早采取的是跨国战略,即在海外设立分支机构,向国外市场输出产品。
通过与国外合作伙伴的合作,联想成功进入了一些国外市场,并获得一定的市场份额。
尽管取得了一些成功,但跨国战略也暴露出诸多问题,如高额成本、质量管理等,限制了联想的国际化进程。
2.2 兼并与收购战略为了加快国际化进程,联想开始采取兼并与收购战略。
2005年,联想收购了IBM的个人电脑部门,这是中国企业首次收购一家国际知名企业的头号业务。
此举不仅为联想带来了在全球范围内的知名度,还使其继承了IBM的技术和市场资源。
通过这一战略,联想成功打入全球市场,并在全球范围内实现了一体化运作。
2.3 跨国创新战略为了进一步提升竞争力,联想开始追求跨国创新战略。
联想在全球范围内建立了一系列的研发中心和创新实验室,吸纳全球范围内的创新资源和人才。
通过全球创新网络的搭建,联想能够更好地适应不同市场的需求,提供更具竞争力的产品和服务。
三、国际化战略的影响3.1 增强品牌影响力联想通过国际化战略,成功将自己打造成了一家享有全球知名度的品牌。
在收购IBM个人电脑部门后,联想成为全球第三大个人电脑制造商,并且在全球范围内获得了广泛的用户认可和好评。
3.2 提高技术实力通过兼并与收购战略以及全球创新网络的建设,联想不断吸收全球范围内的先进技术和创新资源。
01 Chapter联想集团概况创业初期:1984-1994年高速发展期:1995-2000年国际化转型期:2001-2004年•经过前几个阶段的发展和积累,联想集团已经具备了较为坚实的基础和实力。
在稳步发展期,联想集团继续加强研发和创新投入,推出了一系列新产品和技术。
同时,它还通过持续优化管理、拓展市场渠道等方式,保持了稳定的增长和盈利能力。
此外,联想集团还积极参与公益事业和社会责任承担,为社会做出了积极贡献。
稳步发展期:2005年至今02 Chapter国际化战略背景中国市场饱和技术驱动全球化扩大市场份额提高品牌影响力国际化战略目标与规划国际化战略实施路径建立海外生产基地设立研发中心收购IBM个人电脑业务国际化战略的挑战与风险03020103 Chapter创新研发能力建设创新研发成果展示推出新产品联想集团在创新研发过程中获得了大量的专利,这些专利为企业的技术积累和创新提供了重要的支撑。
获得专利提升市场竞争力人才流失由于竞争激烈,联想集团需要不断提高员工福利待遇,留住和吸引更多的人才。
技术更新换代快随着技术的更新换代速度不断加快,联想集团需要不断更新技术,保持技术的领先性。
资金投入大创新研发需要大量的资金投入,联想集团需要不断加大投入,保证研发的顺利进行。
创新研发的挑战与对策04 Chapter1全球市场布局战略23联想集团在发展过程中,采取了多元化战略,通过不断开拓新的市场,扩大公司的业务范围。
多元化战略联想集团在21世纪初开始实施国际化战略,通过并购和合作等方式,进入全球市场。
国际化战略联想集团对全球市场进行细分,针对不同的市场制定不同的策略,以满足不同国家和地区的需求。
市场细分收购IBM PC业务2005年,联想集团收购了IBM的PC业务,包括ThinkPad笔记本电脑和ThinkCentre台式电脑,使联想成为全球最大的PC制造商之一。
收购Motorola智能手机业务2014年,联想集团收购了Motorola智能手机业务,使其成为全球最大的智能手机制造商之一。
联想的国际化战略英文 lenovo27s internationalstrategyLenovo’s International StrategyStep 1:Abstract:In the 21st century, the globalization has become an unconvertible objective reality and“global thinking, global acting ”has already been a rule for multinationalcompanies to observe. For most Chinese companies that have been oris going to be international companies, there is only one way to become a “visionarycompany” and gain lasting competitiveness : that is to involve themselves in the globalization trend and face the challenge in the future positively. The Lenovo Group has been an vanguard for the Chinese IT companies, and after its acquisition of IBM PC division, Lenovo has become an important PC manufacturer. The purpose of this paper is to revelatory and indicative to the New Lenovo and other companies that desire to become great global companies through deep study of the success and failure of Lenovo’s international practices during the past twenty years.Introduction:Origins:The company was founded in 1984 by a group of eleven engineers, headed by Liu Chuanzhi, in Beijing. Originally known as Legend Group Ltd and New Technology Developer Incorporated, the listed holding company was incorporated in 1988 inHong Kong. The company had become the biggest PC manufacturer of domestic and distributed third party products through its wholesale business. The company underwent restructuring and separated into two entities. They were Lenovo and Digital China Holdings Limited. Lenovo became the personal computer manufacturer and Digital China took on the wholesale and distribution of IT products and services.In 2005 Lenovo purchased IBM's PC Division which transformed it into a major international personal computer manufacturer. Lenovo paid $1.27 billion to IBM which consisted of $655 million in cash and $600 million in Lenovo stock. As a result of the acquisition, Lenovo gained therights to the product lines as well as licensed trademarks such as ThinkVision, ThinkPad, ThinkVantage, ThinkCentre, Aptiva, and NetVista. As of May 1, 2005, IBM owned 19.9% of Lenovo. development: 1980s1981: IBM PCD introduces its first personal computer, the IBM PC. 1984: IBM PCD introduces its first portable computer, the IBM Portable PC, weighing 30 pounds. With an initial capital outlay of onlyRMB300,000 (US$30,000) Lenovo’s founding chairman Liu Chuanzhi, together with 10 like-minded colleagues, launches the New TechnologyDeveloper Inc. (the predecessor of the Legend Group) funded by the Chinese Academy of Sciences.1986: IBM PCD announces its first laptop computer, the PC Convertible, weighing 12 pounds.1987: IBM PCD announces the Personal System/2 personal computer. Legend successfully rolls out the Legend Chinese-character card.1988: Legend’s Chinese-character card receives the highest National Science-Technology Progress Award in People's Republic of China. Legend Hong Kong is established.1989: Beijing Legend Computer Group Co. is established.1990s1990: The very first Legend PC is launched in the market. Legend changes its role from that of an agent for imported computer products into that of a producer and seller of its own branded computer products. Legend PCs are ratified and accepted by the China Torch Program.1992: IBM PCD introduces ThinkPad serie s, the industry’s first notebook with a 10.4inch color Thin Film Transistor (TFT) display and a TrackPoint (red ball) pointing device. Legend pioneers the home PC concept and Legend 1 + 1 home PCs enter the Chinese marketplace.1993: Legend enters the Pentium era, producing People's Republic of China’s first“586” PC. Legend establishes 1+1 retail network.1994: IBM PCD introduces the industry’s first notebook with integrated CD-ROM,the ThinkPad 755CD. Legend is listed on the Hong Kong Stock Exchange. The Legend PC business division is formally established.1995: IBM PCD introduces the “butterfly” keyboard. Lenovo movesfrom BocaRaton, Florida, to Raleigh, North Carolina. Legend introduces thefirst Legend-brand server.1996: Legend becomes the market share leader in China for the first time. Legend introduces the first Legend brand laptop.1997: IBM PCD introduces the industry’s first notebook equippedwith a DVD-ROM,the ThinkPad 770. Legend signs an Intellectual Property agreementwith Microsoft, the most valuable deal ever made in China at the time. Legend launches the first multi-function laser printer.1998: IBM PCD introduces the ThinkLight, a small light thatilluminates the keyboard for use in low-light work environments, such as aboard an airplane. The millionth Legend PC comes off the production line. Intel Chairman Andy Grove attends the ceremony, and takes the PCfor Intel’s museum collection. Legendestablishes the first Legend Shop.1999: IBM PCD introduces the industry’s first su b-notebook,weighing under threepounds, with standard ports and a keyboard that is 95 percent the size of full-size keyboards. Lenovo announces its exit from the retail business. IBM PCD introduces the industry’s first PC with an embedded security chip. Legend becomes the top PC vendor in the Asia-Pacific region, and heads the Chinese national Top 100Electronic Enterprises ranking. Legend launches pioneering Internet PC, with its “one-touch-to-the-net” feature, which enables millions of Chinese PC users to easily access the Internet.2000s2000: IBM PCD ships its 10 -millionth ThinkPad notebook PC. Legend becomes a constituent stock of the Hang Seng Index - HK. Legend ranked in top 10 of world’s best-managed PC vendors.2001: An IBM notebook with an embedded security chip becomes the industry’sfirst notebook with a security chip designed to the Trusted Computing Group specification, an industry body setting data security standards. Legend successfully spins off Digital China Co. Ltd., whichis separately listed on the Hong Kong Stock Exchange. Legend appoints Yuanqing Yang as President and CEO. Legend first introduces “digital home” concept and launches accessories-enabling PC.2002: Lenovo PC outsourcing pact with Sanmina-SCI. Legend debuts the Dee pComp 1800 supercomputer. It is People's Republic of China’s first computerwith 1,000 GFLOP (floating point operations per second) and PRC's fastest computer for civilian use, ranked 43rd in the Top 500 list of the world’s fastestcomputers. The mobile handset joint venture announced, marking Legend’s formalentry into the mobile handset business.2003: Lenovo introduces a notebook with battery life up to 11 hours. Lenovo introduces its ThinkCentre desktop PC line. IBM PCD ships its 20-millionth ThinkPadnotebook PC.2004: IBM PCD introduces the ThinkCentre desktop PC. Lenovo shipsits 100-millionth PC. Lenovo becomes an Olympic worldwide partner. Lenovo launches the “Yuanmeng” PC series designed for home users in small villages. Lenovo and IBM announce an agreement by which Lenovo will acquire IBM’s PersonalComputing Division, its global PC (desktop and notebook computer) business. 2005: Lenovo completes the acquisition of IBM’s Personal Computing Division,making the company the world's third largest computer manufacturer (after Hewlett-Packard and Dell). Lenovo announces it closed a US$350 million strategic investment by three leading private equity firms: Texas Pacific Group, General Atlantic LLC and Newbridge Capital LLC. Lenovo establishes a new Innovation Center in Research Triangle Park, N.C. Lenovo introduces the ThinkPad X41 Tablet and Z60. William Ameliois appointed as CEO and President of Lenovo. 2006: Lenovo introduces dual-core ThinkPad notebook PCs. Lenovo supplies the 2006 Olympic Winter Games in Torino, Italy with 5,000 desktop PCs, 350 servers and 1,000 notebook computers. The first Lenovo-branded products outside of China debut worldwide.2007: Lenovo introduces the ThinkPad R61 and T61 notebook PCs. These are the first notebooks to use the new Santa Rosa platform from Intel. 2007: Lenovo announces that they are to start selling laptops to business and consumers with Linux pre-installed on their machines.2008: Lenovo enters the Worldwide consumer PC market with the new "Idea" Brand. Lenovo announces 3 new IdeaPad laptops, the Y510 and Y710 desktop replacement computers available by the end of January and the ultraportable U110 available by March 2008Products:Lenovo produces desktops, laptops, servers, handheld computers, imaging equipment, and mobile phone handsets. Lenovo also provides information technology integration and support services, and its QDIunit offers contract manufacturing. Lenovo also offers Internet access through its portal. Lenovo Group Limited is the fourth largest personal computer manufacturer in the world today, after Hewlett-Packard and Dell of the US, and Acer of Taiwan. Its executive headquarters are located in Beijing, People's Republic of China and in Morrisville, North Carolina, USA. It is incorporated in Hong Kong. Step 2:Reasons for International Strategy:Background:2001 to 2004, the diversification strategy which is designed by Yang (the chairman of the board) is ultimately lost, ending up as a failure.After strategic reflection, Yang’s final choice is the tightening strategy, and putting the focus back to PC business. PC again become the top priority of the conpany.Because the capacity of the domestic market limits, as well as the intensified competition. Internationalization is Lenovo’s inevitable choice.Increase market share:Since 1996, Lenovo had become the top 1 seller for 11 years in domestic market,.In the second quarter of 2002, sales of Lenovo desktop computers became the world's top five for the first time. Until the end of 2003 March , Lenovo Group has been the first in Asia-Pacific market (excluding Japan) for 12 consecutive quarters. So, Lenovo has occupied the domestic market, Lenovo needs to open up overseas markets, he needs a springboard to increase the market share in worldwide. Return on investment:The president Liu and Mary Ma and his entourage visited London, Edinburgh, New York, Boston, Denver,LA, made a total of more than 60 speeches to the Fund. At the same time, Lenovo share price raise from HK $ 5.3 to HK $ 8.2. Mainly because the major fund investors and the managers of Lenovo had deep communication, deepen the confidence in themanagement of Lenovo. Investors are very optimistic about the current situation and prospects of the Chinese economy. So it’simportant to show the foreign investors some confidence,to letglobal markets to justify the capital outlays.Economics of scale or learning:Lenovo needs a further expand of the scale of the enterprise. The international market is able to offer opportunities for Lenovo to share resource and technologywith other giants in the industry as well as learning experience.Location advantage:We have lower cost labor in China, which is a good advantage, but we are lack of brand awareness in foreign market. And IBM ,as a PC giant in US have great brand loyalty and the key suppliers.Step 3:Lenovo’s International Strategy:Business-Level International Strategy--International Differentiation: Brand differentiation:In 2008,Lenovo created a new brand "idea" facing the global consumer PC market, and the Think brand would focus more on the commercial market. Such an action would break the Lenovo’s past plight of lacking product diversity in theinternational market. Lenovo’s chairman Yang Yuanqing said tha t inthe futurethere would be only Think and idea--the two major brands in the world, other existing sub-brand would gradually transit to the two brands. This strategy has been very clearly shown that in the overseas market, Lenovo is planning to use the IBM brand identity as well as Lenovo's own brand.Given of the Lenovo brand is not yet recognized by the international market, the implementation of the dual-brand strategy is the best choice. Early in theintegration, the brand identity of IBM played a crucial role in stabilize customers, agents and overseas staff,.With the help of the giant IBM, Lenovo’s PC salesincreased 30%, overseas customers has also been impressed by the Lenovo brand and good quality of computers. In foreign countries,the brand Think is a very well-known, so Lenovo’s brand strategy in foreign markets is to enhance thevisibility, using the IBM brand to expand the internationalmarket,then Lenovo would begin trying to dilute IBM brand effect.Gaining brand loyalty in the world wide is the ultimate goal of Lenovo, diluting the IBM brand is inevitable, sooner or later.Product differentiation:Product differentiation is that the corporate design a series of products to distinguish the products of competitors’. Lenovo sell more than products, itemphasizes the product's features. Lenovo focus on product design, research and development and also the quality, to ensure to always stay ahead in technology, so as to provide users comprehensive and reliable applications.At he same time Lenovo has always been concerned about the individual needs of the user, so the design is very fashion and unique, to meet all kinds of users’ preferences. Lenovoalso develop a variety of softwares to make PC more friendly. Lenovo gain competitive advantage through technological innovation. Lenovo technological innovation is divided into three stages--product technology innovation, functional technology innovation and core technology innovation. Lenovo’s successfuldifferentiation strategy is based on maintaining the technological leadershipthrough innovation. Innovation is the core competitiveness of the enterprise,in fact, the “novo”in Lenovo is a latin root, which means innovation.Service differentiation:The entire industry is restructuring from product-oriented to service-oriented , Lenovo is also trying to achieve innovation in all aspects, seeking service differentiation. According to Lenovo’s policymakers, Service is the main line ofdevelopment throughout the Lenovo, is Lenovo's core values. Lenovo Benefit much from this , after which, in the face of the new situation after the accession to the WTO, Lenovo would do service work morepractical. "They think that technology is always impersonal, technology will only be accepted by more people if it is developed more friendly and has emotional communication functions. Therefore, in the final analysis, who are willing to stand at the view of consumers, who can provide consumers best service, will firmly grasp the initiative in the market, will finally become a truly outstanding enterprise.In order to turn from a product-oriented to a service-oriented enterprise one, Lenovo made a promise of “4-hour response, 48-24-hour repair”to meet theneeds of customers’quick repair, which is the first in the in dustry to commit repair time vendors. To improve the quality of service of the service personnel, Lenovo has developed a strict system of Training and auditing mechanisms, which play a significant role in improving maintenance standard.By these methods, Lenovo build a good image of allowing users to not only buy the best, but also receive the best service. According to the latest market survey, over 50% of constomers claimed that Lenovo was their first choice for a personal computer. Through these service innovation, Lenovo is able to shape the brand and establish a differential advantage.Corporate-Level International Strategy--Global Strategy:In order to shape their own international brand, Lenovo has implemented a three-step strategy of globalization:First:Lenovo announced a global brand change . Legend is the English name adopted in Hong Kong in 1988. After 19 years, the Lenovo brand name has grown from the earliest product’s name to a brand that worth more than 600 billion today. However, when it is to embark on a journey to become an international brand, there comes some problems.According to Liu(the Chairman of the Board): "When I established the company which was named Legend at the first time. Hong Kong had already has many Legends, for exampl e, in auto industry, there’s almostdozens of Legend companies, and hundreds of Legend products "In the world, there’s more companies named LEGEND and it is almost impossible to buy them all. "At first, I just want to make a living, so I did not think about the international problem." Liu said. Without a simple logo, how could Lenovo start the international expansion, so in 2003, Lenovo global changed their brand name from Legend toLenovo. “Le”refer to legend, which shows the determination to make a lege ndary company. “novo” is a latin root which means innovation, pointing out the significance of creative thinking. From then,Lenovo has taken their first step to real internationalization and the world's top 500. At that time,Lenovo and IBM were still in se cret contact. Lenovo’s acquisition of IBM PC business is still unknown, but Liu’s determination to build a global enterprise has been set.Second:tthe acquisition of IBM PC business.Lenovo paid $ 1.5 billion in cash and stock in total in the acquisition of IBM PC business and at thesame time Lenovo set up a new joint venture company. This meant that Lenovo would promote as the world's third-largest PC manufacturer. The acquisition range of IBM PC business included notebook and desktop PCs. After the acquisition, Lenovo would have the right to use IBM's famous "Think" brand! After the completion of the acquisition, the new Lenovo Group’s global headquarters is located in New York and the main operations centers are set up in Beijing and Raleigh (North Carolina). Two years after the implementation of the investment strategy, Lenovo had branched in 60 countries around the world, throughout the sales network of the world's 160 countries. Lenovo now has not only the leading business notebook product, leading R & D and leading product differentiation capacity, but also the more powerful innovation capability and richer product mix. Lenovo and IBM formed a long-term strategic alliance, IBM became Lenovo's preferred services and customer financing provider and Le novo became IBM’s preferred PC suppliers,.So that IBMcan provide a variety of PC solutions to its customers.Three overseas private investment institutions invested $ 350 million as share in the new Lenovo Group after the merger. Lenovo stock soared all the way since issuance, especially because Lenovo’s rising stock price-earnings ratio in the past six months,. Its market value was almost the number of times exceed its total assets. At that point, the Lenovo was not only international in product marketing network, but also in the shareholding structure and financing channels.Third:support great international events in China(the Olympic Games and World Expo).In march 26, 2004, Lenovo Group signed a cooperation agreement in Beijing with the International Olympic Committee(IOC),announcing that it officially became the sixth (2005-2008) Worldwide Partner of the International Olympic Committee (referred to as TOP, TheOlympicProgramme). This was the first time that a Chinese enterprise to become an Olympic top partner. Lenovo's Olympic strategy helped Lenovo beat a lot of competitors. Lenovo also regarded "the World Expo" as part of its planned market strategy for a long time. As early as before the Beijing Olympics, Lenovo has begun an "Expo" project. First, this is the responsibility as a national enterprise. Second, this was a fantastic opportunity to demonstrate the Lenovo’sstrength. It’s obvious that Lenovo never forget to pay attention to seize the opportunity to complete its goal to build a multinational enterprise. Step 4:Lenovo's Internationalization Strategy effectiveness analysis:Beneficial effects:, Expand the size of the market.Build the foreign markets. Increase revenue.Lenovo has become more attractive after entering the international market. , Promote the economies of scale and learning effects.Lenovo’s international market expansion led a further expand of the scale ofthe enterprise. The international market offered opportunity for Lenovo totransfer its core competitiveness . it created the conditions for the resource andknowledge sharing across borders. In addition, different markets and differentpractice provided a lot of opportunity to learn., Make full use of the advantages of the company's capabilities and resources.Lenovo not only establish a competitive position in the domestic market, butalso gained a competitive position in the international market., Disperse the business risks.Lenovo established a wide range of market-based companies operating inforeign markets, thus spreading the risks rather than entirely relying on thedomestic market., Improve the brand value .Lenovo had become an international brand.Adverse effects:, Loss of customers.After Lenovo's acquisition of IBM's PC division, a conservative expectation saidthat lenovo may lose at least about $ 2 billion’s market value., Different corporate culture.Lenovo and IBM has a huge difference between management and the laws ofenterprise, and how to fix it is a great challenge for Lenovo. , Brand Risk.Lenovo’s corporate brand need a lot of improvement in the internationalmarket,and thinking about how to get rid of IBM’s effect is imperative., Sports market stategy is not very mature.Lenovo had spent millions dollars on sport market stratedy.How to effectivelycontrol its risks needs a lot of work.Step 5:Major risks and solutions:Market risk:After Think is acquired and the brand was owned by the Chinese. Customers’brand loyalty needed attention. Lenovo had taken a lot of measures: First, the establishment of two headquarters (in China and the United States). Second, ensure that the CEO is an foreigner.Third, send 2000 IBM salemen to visit all big buyers to explain the situation. At last, Think’s sales didn’t suffer a lot.Staff loss:Staff were worrying about that Lenovo’s large-scale investmentwould receive lessthan expecting, and also were worrying about that the acquisition would fail. Culture conflict:The so-called culture conflict is about how to make managers, especially top ones work together effectively, which is one of the most fundamental factors to decide if a company can develop well.Whenfinancial crisis appeared, Lenovo took a heavy loss. The surface reason for this is that the direct impact of the financial crisis. Fundamentally, there are problems in management. So, on February 2, 2009, the Board determined to reconstruct the company.Six months later, Lenovo not only reached a strong growth in business above the market average, but also achieved a good integration in team and culture.。